With interest rates raching lows not seen in 20 years, many are hoping they will continue to the 4.5% rumored to be "around the corner" by many in the industry.
However, the rumor is first just that until the money and the direction is provided. Second, the lowest rates will only be given to the best borrowers. That means if your credit score is less than 760, don't hold your breath for the lowest rates. However, if your credit is between 620 and 760, your chance of getting very good rates and terms remains fantastic.
If your credit is below 620, you need to sit down and see just where you are and set up a plan to get it up around 600 as a minimum, or face paying higher rates, requiring larger down payments, or not getting a loan at all.
So, what are you waiting for? Let's start looking for the right house that meets your needs and negotiate a great price and terms now!
Thursday, December 11, 2008
Wednesday, December 3, 2008
Interest Rates Moving Down, Job Growth
Great news! interest rates are down and jobs are up in the San Antonio market!
The article below goes over the increase in jobs in the greater San Antonio area as well as Austin, which is less than an hour up the road!
Interest rates are also lower than they have been in over a year...the average in Texas this week is only 5.52%!!! That is the average and you may pay a little more, or even less. Either way, now is certainly a great time to purchase a home!
Read about the job growth......................
Tuesday, December 2, 2008 - 2:52 PM CST Modified: Tuesday, December 2, 2008 - 3:00 PM Austin job creation slower, but still outpacing rivals Austin Business Journal Employment in the Austin-Round Rock region increased 1.9 percent between October 2007 and October 2008, outpacing many of Austin’s economic development competitors, according to data released Tuesday by the U.S. Bureau of Labor Statistics.
The local region added about 14,700 jobs in the 12-month period, bringing its total employment figure to roughly 781,000, according to the report. By comparison:
• San Jose, Calif. added 700 jobs for a 0.8 percent increase • Raleigh, N.C. added 8,800 jobs for a 1.7 percent increase • Nashville, Tenn. lost 2,200 jobs for a 0.3 percent decrease • Seattle lost 1,900 jobs for a 0.1 percent decrease • Phoenix lost nearly 50,000 jobs for a 2.3 percent decrease • San Antonio added 17,900 jobs for a 2.9 percent increase • Memphis, Tenn. lost 10,800 jobs for a 1.7 percent decrease • Albany, NY remained stagnant.
The article below goes over the increase in jobs in the greater San Antonio area as well as Austin, which is less than an hour up the road!
Interest rates are also lower than they have been in over a year...the average in Texas this week is only 5.52%!!! That is the average and you may pay a little more, or even less. Either way, now is certainly a great time to purchase a home!
Read about the job growth......................
Tuesday, December 2, 2008 - 2:52 PM CST Modified: Tuesday, December 2, 2008 - 3:00 PM Austin job creation slower, but still outpacing rivals Austin Business Journal Employment in the Austin-Round Rock region increased 1.9 percent between October 2007 and October 2008, outpacing many of Austin’s economic development competitors, according to data released Tuesday by the U.S. Bureau of Labor Statistics.
The local region added about 14,700 jobs in the 12-month period, bringing its total employment figure to roughly 781,000, according to the report. By comparison:
• San Jose, Calif. added 700 jobs for a 0.8 percent increase • Raleigh, N.C. added 8,800 jobs for a 1.7 percent increase • Nashville, Tenn. lost 2,200 jobs for a 0.3 percent decrease • Seattle lost 1,900 jobs for a 0.1 percent decrease • Phoenix lost nearly 50,000 jobs for a 2.3 percent decrease • San Antonio added 17,900 jobs for a 2.9 percent increase • Memphis, Tenn. lost 10,800 jobs for a 1.7 percent decrease • Albany, NY remained stagnant.
Monday, November 24, 2008
Thanksgiving
It is Thanksgiving week and many of you are looking forward to time with family and friends to celebrate and give thanks for our many gifts of being an American and the great wealth we enjoy. Not just the individual savings wealth, but the great things that make our country and citizens the absolute best in the world.
Today we are seeing the financial world going through ups and downs that make us crazy. But at least we have the freedom and wealth to enjoy a financial crisis and look for ways to profit from it. In many countries they wouldn't have a crisis because they couldn't! Not enough assets to cause concern for anyone, let alone a giant bank to worry about.
Here we take so much for granted, but we need to remember how blessed we really are and reflect on this with those family and friends that you will be near.
And don't forget our troops that are not spending time with family. They are with the greatest friends they will ever make and many will eat a larger meal than many in the USA. But they have made a choice to defend our way of life and protect the wealth we have created. Pray for their safety and that their efforts will not be in vain.
Thanks to all of you, enjoy.................
Today we are seeing the financial world going through ups and downs that make us crazy. But at least we have the freedom and wealth to enjoy a financial crisis and look for ways to profit from it. In many countries they wouldn't have a crisis because they couldn't! Not enough assets to cause concern for anyone, let alone a giant bank to worry about.
Here we take so much for granted, but we need to remember how blessed we really are and reflect on this with those family and friends that you will be near.
And don't forget our troops that are not spending time with family. They are with the greatest friends they will ever make and many will eat a larger meal than many in the USA. But they have made a choice to defend our way of life and protect the wealth we have created. Pray for their safety and that their efforts will not be in vain.
Thanks to all of you, enjoy.................
Tuesday, November 18, 2008
Military Protects Home Prices
SAN ANTONIO (Associated Press) – While home prices and sales are generally down nationwide, large military bases have buoyed their surrounding communities.
The Associated Press found that communities surrounding big bases fared better than national averages because of steady wartime employment, more moderate value increases and less reckless lending than in many other boom areas. Some communities have even seen a rise in home prices.
Higher home values also pool around high veteran populations.
Veterans receive loans more easily because of their guaranteed mortgage benefits through the Veterans Affairs Department and lower-than-average interest rates through the Texas Veterans Land Board. Their ability to secure a home keeps the housing demand higher, which allows the home prices around them to stay afloat.
For the 12 months ending in September, the average monthly median price in San Antonio was $151,500, up 1 percent from the same period in 2007, compared with a 9 percent decline nationwide for that period.
San Antonio is home to Fort Sam Houston, Lackland Air Force Base and Randolph Air Force Base.
Texas veterans also are more likely to pay their mortgages on time.
According to the Mortgage Bankers Association, of Texas homes purchased with VA-insured loans, 0.8 percent went into foreclosure in second quarter 2008. That is about half the 1.44 percent overall statewide foreclosure rate and less than one-third of the 2.75 percent national foreclosure rate.
The Associated Press found that communities surrounding big bases fared better than national averages because of steady wartime employment, more moderate value increases and less reckless lending than in many other boom areas. Some communities have even seen a rise in home prices.
Higher home values also pool around high veteran populations.
Veterans receive loans more easily because of their guaranteed mortgage benefits through the Veterans Affairs Department and lower-than-average interest rates through the Texas Veterans Land Board. Their ability to secure a home keeps the housing demand higher, which allows the home prices around them to stay afloat.
For the 12 months ending in September, the average monthly median price in San Antonio was $151,500, up 1 percent from the same period in 2007, compared with a 9 percent decline nationwide for that period.
San Antonio is home to Fort Sam Houston, Lackland Air Force Base and Randolph Air Force Base.
Texas veterans also are more likely to pay their mortgages on time.
According to the Mortgage Bankers Association, of Texas homes purchased with VA-insured loans, 0.8 percent went into foreclosure in second quarter 2008. That is about half the 1.44 percent overall statewide foreclosure rate and less than one-third of the 2.75 percent national foreclosure rate.
Monday, November 17, 2008
Local Real Estate Notes
Now that we have seen the DOW go back and forth a thousand points in a day, are you still watching the news? What to believe, which way to go, what to buy? Well, let's look local and see what is out there:
In the Schertz and Cibolo zip codes we have 465 current listings ranging from a $65,000 mobile home to a great custom home on over 28 acres for $930,000. Most of the listings are single family homes under $225,000! So, we can pretty much meet any buyer's needs.
As for forclosures, we have 11, ranging from $69,900 to $199,900. That is only 2.3% of our active market!
For renters, or investors looking to see what the local market has, we have 86 rentals ranging from a $650/month townhouse to a new exectuive home for $1795/mo. The average single family home rents for about $1200/month.
What does this mean? It means that we have a strong market with few foreclosures, and good values for both owners and renters. It means we have more inventory than historically at this time of the year, but this is historically the slowest time of the year for sales as well.
Interest rates are stying between 6% - 6.75% as well, making for attractive rates for long term ownership. And the Texas Vet program strives to stay about 1/2 point lower when it can.
Coem on out and see for yourself, we have a lot of great value now and why wait for the stock market when you can at least live in your investment, no matter what the DOW is doing!
In the Schertz and Cibolo zip codes we have 465 current listings ranging from a $65,000 mobile home to a great custom home on over 28 acres for $930,000. Most of the listings are single family homes under $225,000! So, we can pretty much meet any buyer's needs.
As for forclosures, we have 11, ranging from $69,900 to $199,900. That is only 2.3% of our active market!
For renters, or investors looking to see what the local market has, we have 86 rentals ranging from a $650/month townhouse to a new exectuive home for $1795/mo. The average single family home rents for about $1200/month.
What does this mean? It means that we have a strong market with few foreclosures, and good values for both owners and renters. It means we have more inventory than historically at this time of the year, but this is historically the slowest time of the year for sales as well.
Interest rates are stying between 6% - 6.75% as well, making for attractive rates for long term ownership. And the Texas Vet program strives to stay about 1/2 point lower when it can.
Coem on out and see for yourself, we have a lot of great value now and why wait for the stock market when you can at least live in your investment, no matter what the DOW is doing!
Tuesday, November 11, 2008
Foreclosure Update
Does a day go by that the media is not telling us that the sky is falling, and may fall further with the national housing crisis? Well, do they try to add some perspective? Of course not!
Did you realize that only 1.7% of Fannie Mae and Freddie Mac mortgages are failing? Sure, that is a huge dollar amount, but a fraction of the many more mortgages that are being paid by hard working, responsible home owners across the nation.
The real damage is in the many fraudulent mortgages that were offered by lenders, pushed by home builders, and re-sold by the investment banking industry. Instead of opting for an affordable home that met their real needs, buyers were wooed into purchasing larger, more expensive homes, and did not add in the real cost of ownership with higher utility bills, higher taxes, and longer commutes to and from work. Still, many buyers did not take the risk and remained within their budgets. They are still paying off their loans, working hard and hoping that the next economic stimulus will not ruin their ownership.
Take it all into context, don't believe the headlines, and know that home ownership is a great way to invest your hard earned dollars for both the present and the future.
Did you realize that only 1.7% of Fannie Mae and Freddie Mac mortgages are failing? Sure, that is a huge dollar amount, but a fraction of the many more mortgages that are being paid by hard working, responsible home owners across the nation.
The real damage is in the many fraudulent mortgages that were offered by lenders, pushed by home builders, and re-sold by the investment banking industry. Instead of opting for an affordable home that met their real needs, buyers were wooed into purchasing larger, more expensive homes, and did not add in the real cost of ownership with higher utility bills, higher taxes, and longer commutes to and from work. Still, many buyers did not take the risk and remained within their budgets. They are still paying off their loans, working hard and hoping that the next economic stimulus will not ruin their ownership.
Take it all into context, don't believe the headlines, and know that home ownership is a great way to invest your hard earned dollars for both the present and the future.
Tuesday, November 4, 2008
VOTE!
Today is election day - get out and VOTE!
If you have already voted, encourage others to do the same, and thanks for participating in our country's most important event.
If you have already voted, encourage others to do the same, and thanks for participating in our country's most important event.
Friday, October 24, 2008
Rated Top Again!
Forbes picks S.A. as top Spot – again !
San Antonio Express – News October 19, 2008 Section D
“You may all go to hell and I will go to Texas,” Davy Crockett once said.
This week, Fortune magazine gave pretty much the same advice for residential real estate.Forbes has named San Antonio and Austin as the top two cities in which to hunker down and to ride out the nation’s financial storm.It also recommended Dallas and Houston as among the top 10 cities with affordable housing and job growth, where a homeowner’s money goes far and homesaren’t likely to fall in value.Forbes noted that Texas is doing well thanks to energy, technology and growth in manufacturing.And the magazine also said San Antonio’s military bases continue to draw military personnel and government workers to the city.
Cities that Fortune says to avoid during the nation’s financial crisis: Los Angeles; Providence, RI; New Orleans; Philadelphia; and Cleveland.---Jennifer Hiller
San Antonio Express – News October 19, 2008 Section D
“You may all go to hell and I will go to Texas,” Davy Crockett once said.
This week, Fortune magazine gave pretty much the same advice for residential real estate.Forbes has named San Antonio and Austin as the top two cities in which to hunker down and to ride out the nation’s financial storm.It also recommended Dallas and Houston as among the top 10 cities with affordable housing and job growth, where a homeowner’s money goes far and homesaren’t likely to fall in value.Forbes noted that Texas is doing well thanks to energy, technology and growth in manufacturing.And the magazine also said San Antonio’s military bases continue to draw military personnel and government workers to the city.
Cities that Fortune says to avoid during the nation’s financial crisis: Los Angeles; Providence, RI; New Orleans; Philadelphia; and Cleveland.---Jennifer Hiller
Tuesday, October 21, 2008
Taxes and Economic Growth
I found this and want to share it. It comes from David R. Kamerschen, Ph.D. Professor of Economics, University of Georgia
Bar Stool Economics Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:
The first four men (the poorest) would pay nothing. The fifth would pay $1. The sixth would pay $3. The seventh would pay $7. The eighth would pay $12. The ninth would pay $18. The tenth man (the richest) would pay $59. So, that's what they decided to do. The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve.
"Since you are all such good customers, he said, "I'm going to reduce the cost of your daily beer by $20." Drinks for the ten now cost just $80. The group still wanted to pay their bill the way we pay our taxes So the first four men were unaffected. They would still drink for free.
But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his "fair share?" They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer.
So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay.
And so: The fifth man, like the first four, now paid nothing (100% savings). The sixth now paid $2 instead of $3 (33%savings). The seventh now pay $5 instead of $7 (28%savings). The eighth now paid $9 instead of $12 (25% savings). The ninth now paid $14 instead of $18 (22% savings). The tenth now paid $50 instead of $59 (15% savings). Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.
"I only got a dollar out of the $20," declared the sixth man. He pointed to the tenth man, "but he got $9!" "Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got nine times more than I!" "That's true!!" shouted the seventh man. "Why should he get $9 back when I got only two? The wealthy get all the breaks!" "Wait a minute," yelled the first four men in unison. "We didn't get anything at all. The system exploits the poor." The nine men surrounded the tenth and beat him up. The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill!
And that, boys and girls, journalists, and college professors, is how our tax system works.
The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.
For those who understand, no explanation is needed. For those who do not understand, no explanation is possible!
Bar Stool Economics Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:
The first four men (the poorest) would pay nothing. The fifth would pay $1. The sixth would pay $3. The seventh would pay $7. The eighth would pay $12. The ninth would pay $18. The tenth man (the richest) would pay $59. So, that's what they decided to do. The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve.
"Since you are all such good customers, he said, "I'm going to reduce the cost of your daily beer by $20." Drinks for the ten now cost just $80. The group still wanted to pay their bill the way we pay our taxes So the first four men were unaffected. They would still drink for free.
But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his "fair share?" They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer.
So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay.
And so: The fifth man, like the first four, now paid nothing (100% savings). The sixth now paid $2 instead of $3 (33%savings). The seventh now pay $5 instead of $7 (28%savings). The eighth now paid $9 instead of $12 (25% savings). The ninth now paid $14 instead of $18 (22% savings). The tenth now paid $50 instead of $59 (15% savings). Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.
"I only got a dollar out of the $20," declared the sixth man. He pointed to the tenth man, "but he got $9!" "Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got nine times more than I!" "That's true!!" shouted the seventh man. "Why should he get $9 back when I got only two? The wealthy get all the breaks!" "Wait a minute," yelled the first four men in unison. "We didn't get anything at all. The system exploits the poor." The nine men surrounded the tenth and beat him up. The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill!
And that, boys and girls, journalists, and college professors, is how our tax system works.
The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.
For those who understand, no explanation is needed. For those who do not understand, no explanation is possible!
Friday, October 17, 2008
A Wild Market
Wow! I've been trying to make sense of the wild market activity of late, but just can't. It seems that when the "housing bubble" started to burst a year or so agaon, a lot of smart folks tried to point out potential evils and fixes to them. Of course we are in a very charged Presidential campaign, so if a good idea emerges that can't be tied to a Red or Blue candidate, then it is doomed until after the elections. Problem is, we are living the spectacular bust while the campaigns run on.
So, as the Dow jumps and dives hundreds of points daily, as oil is coming down for now, and as commodity prices are staying put for a short time, why can't we find a few good ideas and put them to work? Well, I think the programs put into action the last couple of weeks are just what is needed. But our society has gotten used to immediate gratification and results, so when it takes a little time ( a few months maybe more) to see positive results, the media tells us that the programs are not working and we fall over trying to pass blame and find a new idea that will provide that short term fix.
In the meantime, people are still working, we still have clients looking for homes and the prices are still solid in our area. So, when you are tired of watching the Dow, talking politics, and you want to put your money in a great investment, call us and we'll get you in the real estate market here where the sun shines brighter and things are not as gloomy as Washington and the other media haunts!
So, as the Dow jumps and dives hundreds of points daily, as oil is coming down for now, and as commodity prices are staying put for a short time, why can't we find a few good ideas and put them to work? Well, I think the programs put into action the last couple of weeks are just what is needed. But our society has gotten used to immediate gratification and results, so when it takes a little time ( a few months maybe more) to see positive results, the media tells us that the programs are not working and we fall over trying to pass blame and find a new idea that will provide that short term fix.
In the meantime, people are still working, we still have clients looking for homes and the prices are still solid in our area. So, when you are tired of watching the Dow, talking politics, and you want to put your money in a great investment, call us and we'll get you in the real estate market here where the sun shines brighter and things are not as gloomy as Washington and the other media haunts!
Monday, September 15, 2008
Busy Month
Things have been busy here the last few weeks! We have had scares with two major hurricanes that passed by the San Antonio region, unfortunately damaging many other areas at the same time. Still, we had to prepare and watch out for our clients property as well.
We were also proud to host the annual Texas Realtors Convention in San Antonio this year. It was a week long event that took a year to prepare for, and it was a huge success. The Grand Hyatt was in good shape and the Convention Center was the perfect venue for the 1200+ attendees. Starting with governance meetings and workshops for certain task forces, we got a lot done and see a super future in the Texas Real Estate market. Protecting the property owner is a vital concern of your Texas Realtors and that was the theme during the many meetings that covered the upcoming Legislative year in 2009.
And, Tim graduated in only the fourth class of the Texas Realtors Leadership Program. This prestigious program accepts Realtors that are interested in the industry and the future. It provides an eight month executive program in leadership, communications, and Texas Real Estate legal issues, as well as a super background of the business of real estate. There are only 84 graduates in the central Texas region, so this is a small and elite group of professionals that are here to serve you in all real estate transactions.
And finally in this issue, one of the highlights of the Realtor Convention was the seminar on our economy and housing outlook. Dr. Mark Doutzour from the Texas A&M Real Estate Center, along with Dr. Ray Perryman, a nationally acclaimed economist chaired the program. Their years of experience provided the basis for the analysis that Texas is in good shape compared to the rest of the country; we are continuing to grow economically; Texas would have the 11th largest economy in the world if it was a nation! Still, there are challenges and the housing market will continue to be a buyers market for another 6-9 months (after the elections will start the transition). Their predictions and analysis is available on the Texas A&M Real Estate Center website at: http://recenter.tamu.edu/. Highly recommend this site for anyone interested in many things about our state and the real estate market.
More coming soon!
We were also proud to host the annual Texas Realtors Convention in San Antonio this year. It was a week long event that took a year to prepare for, and it was a huge success. The Grand Hyatt was in good shape and the Convention Center was the perfect venue for the 1200+ attendees. Starting with governance meetings and workshops for certain task forces, we got a lot done and see a super future in the Texas Real Estate market. Protecting the property owner is a vital concern of your Texas Realtors and that was the theme during the many meetings that covered the upcoming Legislative year in 2009.
And, Tim graduated in only the fourth class of the Texas Realtors Leadership Program. This prestigious program accepts Realtors that are interested in the industry and the future. It provides an eight month executive program in leadership, communications, and Texas Real Estate legal issues, as well as a super background of the business of real estate. There are only 84 graduates in the central Texas region, so this is a small and elite group of professionals that are here to serve you in all real estate transactions.
And finally in this issue, one of the highlights of the Realtor Convention was the seminar on our economy and housing outlook. Dr. Mark Doutzour from the Texas A&M Real Estate Center, along with Dr. Ray Perryman, a nationally acclaimed economist chaired the program. Their years of experience provided the basis for the analysis that Texas is in good shape compared to the rest of the country; we are continuing to grow economically; Texas would have the 11th largest economy in the world if it was a nation! Still, there are challenges and the housing market will continue to be a buyers market for another 6-9 months (after the elections will start the transition). Their predictions and analysis is available on the Texas A&M Real Estate Center website at: http://recenter.tamu.edu/. Highly recommend this site for anyone interested in many things about our state and the real estate market.
More coming soon!
Tuesday, August 26, 2008
Back to School
We've been busy the last few weeks, starting with a vacation to northern Michigan for a family reunion. We have closed on three homes for buyers and are ready to start working with more as school gets back in session and the "late" movers come in.
We know that most families are not looking to move unless forced to by work or other reasons. However, this is a great time to be in the market for a home as prices are starting to move up, but interest rates are still low and sellers are motivated. Back to school isn't just for the kiddos, it is time for buyers to study the market they are interested in and formulate a plan to get the best deal.
And don't take all the ads you see for new homes for granted until you study the location and reason they are providing the incentives. Just had a young couple faced with being "upside down" in their two year old home as the builder is now selling the same house plan they bought for $15,000 less! Caveat Emptor!
Call or drop an email and we will be happy to help you set up that plan so you are not faced with a similar situation.
We know that most families are not looking to move unless forced to by work or other reasons. However, this is a great time to be in the market for a home as prices are starting to move up, but interest rates are still low and sellers are motivated. Back to school isn't just for the kiddos, it is time for buyers to study the market they are interested in and formulate a plan to get the best deal.
And don't take all the ads you see for new homes for granted until you study the location and reason they are providing the incentives. Just had a young couple faced with being "upside down" in their two year old home as the builder is now selling the same house plan they bought for $15,000 less! Caveat Emptor!
Call or drop an email and we will be happy to help you set up that plan so you are not faced with a similar situation.
Thursday, July 31, 2008
First Time Home Buyer Tax Credit Facts
First-Time Home Buyer Tax Credit Fact Sheet
Who is Eligible
The $7,500 tax credit is available for first-time home buyers only.
The law defines a first-time home buyer as a buyer who has not owned a home during the past three years.
All U.S. citizens who file taxes are eligible to participate in the program.
Income Limits
Home buyers who file as single or head-of-household taxpayers can claim the full $7,500 credit if their adjusted gross income (AGI) is less than $75,000.
For married couples filing a joint return, the income limit doubles to $150,000.
Single or head-of-household taxpayers who earn between $75,000 and $95,000 are eligible to receive a partial first-time home buyer tax credit.
Married couples who earn between $150,000 and $170,000 are eligible to receive a partial first-time home buyer tax credit.
The credit is not available for single taxpayers whose AGI is greater than $95,000 and married couples with an AGI that exceeds $170,000.
Effective Dates for the Tax Credit
First-time home buyers would receive a $7,500 tax credit for the purchase of any home on or after April 9, 2008 and before July 1, 2009. To qualify, you must actually close on the sale of the home during this period.
Tax Credit is Refundable
A refundable credit means that if you pay less than $7,500 in federal income taxes, then the government will write you a check for the difference.
For example, if you owe $5,000 in federal income taxes, you would pay nothing to the IRS and receive a $2,500 payment from the government.
If you are due to receive a $1,000 tax refund from the government, your refund would grow to $8,750 ($1,000 plus $7,500 from the home buyer tax credit).
Buyers can take the tax credit in their 2008 or 2009 tax return.
If you purchased the home in 2008, the tax credit is taken on your 2008 tax return. If you buy in 2009, you have the option of taking the credit on your 2008 or 2009 tax returns.
Types of Homes that Qualify for the Tax Credit
All homes, whether single-family, townhomes or condominium apartments will qualify, provided that the home will be used as a principal residence and the buyer has not owned a home in the prior three years. This also includes newly-constructed homes.
Payback Provisions
The tax credit essentially serves as an interest-free loan to be repaid over 15 years.
For example, a home buyer claiming a $7,500 credit would repay the credit at $500 per year. However, the buyer doesn’t have to start repaying the credit until two years after the tax year in which the credit is claimed.
If the home owner sold the home, then the remaining credit would be due from the profit of the home sale.
If there was insufficient profit, then the remaining credit payback would be forgiven.
For more details on the tax credit, go to www.federalhousingtaxcredit.com
Who is Eligible
The $7,500 tax credit is available for first-time home buyers only.
The law defines a first-time home buyer as a buyer who has not owned a home during the past three years.
All U.S. citizens who file taxes are eligible to participate in the program.
Income Limits
Home buyers who file as single or head-of-household taxpayers can claim the full $7,500 credit if their adjusted gross income (AGI) is less than $75,000.
For married couples filing a joint return, the income limit doubles to $150,000.
Single or head-of-household taxpayers who earn between $75,000 and $95,000 are eligible to receive a partial first-time home buyer tax credit.
Married couples who earn between $150,000 and $170,000 are eligible to receive a partial first-time home buyer tax credit.
The credit is not available for single taxpayers whose AGI is greater than $95,000 and married couples with an AGI that exceeds $170,000.
Effective Dates for the Tax Credit
First-time home buyers would receive a $7,500 tax credit for the purchase of any home on or after April 9, 2008 and before July 1, 2009. To qualify, you must actually close on the sale of the home during this period.
Tax Credit is Refundable
A refundable credit means that if you pay less than $7,500 in federal income taxes, then the government will write you a check for the difference.
For example, if you owe $5,000 in federal income taxes, you would pay nothing to the IRS and receive a $2,500 payment from the government.
If you are due to receive a $1,000 tax refund from the government, your refund would grow to $8,750 ($1,000 plus $7,500 from the home buyer tax credit).
Buyers can take the tax credit in their 2008 or 2009 tax return.
If you purchased the home in 2008, the tax credit is taken on your 2008 tax return. If you buy in 2009, you have the option of taking the credit on your 2008 or 2009 tax returns.
Types of Homes that Qualify for the Tax Credit
All homes, whether single-family, townhomes or condominium apartments will qualify, provided that the home will be used as a principal residence and the buyer has not owned a home in the prior three years. This also includes newly-constructed homes.
Payback Provisions
The tax credit essentially serves as an interest-free loan to be repaid over 15 years.
For example, a home buyer claiming a $7,500 credit would repay the credit at $500 per year. However, the buyer doesn’t have to start repaying the credit until two years after the tax year in which the credit is claimed.
If the home owner sold the home, then the remaining credit would be due from the profit of the home sale.
If there was insufficient profit, then the remaining credit payback would be forgiven.
For more details on the tax credit, go to www.federalhousingtaxcredit.com
Wednesday, July 30, 2008
Housing Recovery Act Information
I will discuss details later, but wanted to get the information out as soon as I could. This is great news! Here are the main points of the Act as passed:
H.R. 3221, the “Housing and Economic Recovery Act of 2008,” passed the House on July 23, 2008, by a vote of 272-152. On Saturday, July 26, 2008, the Senate passed the bill by a vote of 72-13. The President signed the bill on July 30, 2008. The bill includes the following provisions:
GSE Reform – including a strong independent regulator, and permanent conforming loan limits up to the greater of $417,000 or 115% local area median home price, capped at $625,500. The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
FHA Reform – including permanent FHA loan limits at the greater of $271,050 or 115% of local area median home price, capped at $625,500; streamlined processing for FHA condos; reforms to the HECM program, and reforms to the FHA manufactured housing program. The downpayment requirement on FHA loans will go up to 3.5% (from 3%). The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
Homebuyer Tax Credit - a $7500 tax credit that would be would be available for any qualified purchase between April 8, 2008 and June 30, 2009. The credit is repayable over 15 years (making it, in effect, an interest free loan).
FHA foreclosure rescue – development of a refinance program for homebuyers with problematic subprime loans. Lenders would write down qualified mortgages to 85% of the current appraised value and qualified borrowers would get a new FHA 30-year fixed mortgage at 90% of appraised value. Borrowers would have to share 50% of all future appreciation with FHA. The loan limit for this program is $550,440 nationwide. Program is effective on October 1, 2008.
Seller-funded downpayment assistance programs – codifies existing FHA proposal to prohibit the use of downpayment assistance programs funded by those who have a financial interest in the sale; does not prohibit other assistance programs provided by nonprofits funded by other sources, churches, employers, or family members. This prohibition does not go into effect until October 1, 2008.
VA loan limits – temporarily increases the VA home loan guarantee loan limits to the same level as the Economic Stimulus limits through December 31, 2008.
Risk-based pricing – puts a moratorium on FHA using risk-based pricing for one year. This provision is effective from October 1, 2008 through September 30, 2009.
GSE Stabilization – includes language proposed by the Treasury Department to authorize Treasury to make loans to and buy stock from the GSEs to make sure that Freddie Mac and Fannie Mae could not fail.
Mortgage Revenue Bond Authority – authorizes $10 billion in mortgage revenue bonds for refinancing subprime mortgages.
National Affordable Housing Trust Fund – Develops a Trust Fund funded by a percentage of profits from the GSEs. In its first years, the Trust Fund would cover costs of any defaulted loans in FHA foreclosure program. In out years, the Trust Fund would be used for the development of affordable housing.
CDBG Funding – Provides $4 billion in neighborhood revitalization funds for communities to purchase foreclosed homes.
LIHTC – Modernizes the Low Income Housing Tax Credit program to make it more efficient.
Loan Originator Requirements – Strengthens the existing state-run nationwide mortgage originator licensing and registration system (and requires a parallel HUD system for states that fail to participate). Federal bank regulators will establish a parallel registration system for FDIC-insured banks. The purpose is to prevent fraud and require minimum licensing and education requirements. The bill exempts those who only perform real estate brokerage activities and are licensed or registered by a state, unless they are compensated by a lender, mortgage broker, or other loan originator.
H.R. 3221, the “Housing and Economic Recovery Act of 2008,” passed the House on July 23, 2008, by a vote of 272-152. On Saturday, July 26, 2008, the Senate passed the bill by a vote of 72-13. The President signed the bill on July 30, 2008. The bill includes the following provisions:
GSE Reform – including a strong independent regulator, and permanent conforming loan limits up to the greater of $417,000 or 115% local area median home price, capped at $625,500. The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
FHA Reform – including permanent FHA loan limits at the greater of $271,050 or 115% of local area median home price, capped at $625,500; streamlined processing for FHA condos; reforms to the HECM program, and reforms to the FHA manufactured housing program. The downpayment requirement on FHA loans will go up to 3.5% (from 3%). The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).
Homebuyer Tax Credit - a $7500 tax credit that would be would be available for any qualified purchase between April 8, 2008 and June 30, 2009. The credit is repayable over 15 years (making it, in effect, an interest free loan).
FHA foreclosure rescue – development of a refinance program for homebuyers with problematic subprime loans. Lenders would write down qualified mortgages to 85% of the current appraised value and qualified borrowers would get a new FHA 30-year fixed mortgage at 90% of appraised value. Borrowers would have to share 50% of all future appreciation with FHA. The loan limit for this program is $550,440 nationwide. Program is effective on October 1, 2008.
Seller-funded downpayment assistance programs – codifies existing FHA proposal to prohibit the use of downpayment assistance programs funded by those who have a financial interest in the sale; does not prohibit other assistance programs provided by nonprofits funded by other sources, churches, employers, or family members. This prohibition does not go into effect until October 1, 2008.
VA loan limits – temporarily increases the VA home loan guarantee loan limits to the same level as the Economic Stimulus limits through December 31, 2008.
Risk-based pricing – puts a moratorium on FHA using risk-based pricing for one year. This provision is effective from October 1, 2008 through September 30, 2009.
GSE Stabilization – includes language proposed by the Treasury Department to authorize Treasury to make loans to and buy stock from the GSEs to make sure that Freddie Mac and Fannie Mae could not fail.
Mortgage Revenue Bond Authority – authorizes $10 billion in mortgage revenue bonds for refinancing subprime mortgages.
National Affordable Housing Trust Fund – Develops a Trust Fund funded by a percentage of profits from the GSEs. In its first years, the Trust Fund would cover costs of any defaulted loans in FHA foreclosure program. In out years, the Trust Fund would be used for the development of affordable housing.
CDBG Funding – Provides $4 billion in neighborhood revitalization funds for communities to purchase foreclosed homes.
LIHTC – Modernizes the Low Income Housing Tax Credit program to make it more efficient.
Loan Originator Requirements – Strengthens the existing state-run nationwide mortgage originator licensing and registration system (and requires a parallel HUD system for states that fail to participate). Federal bank regulators will establish a parallel registration system for FDIC-insured banks. The purpose is to prevent fraud and require minimum licensing and education requirements. The bill exempts those who only perform real estate brokerage activities and are licensed or registered by a state, unless they are compensated by a lender, mortgage broker, or other loan originator.
Friday, July 25, 2008
Interest Rates Moving Up
This just in from the Wall Street journal --
30-Year Mortgage Rates Rise Again Freddie Mac reports a more than 0.25-percentage point gain in the 30-year fixed mortgage rate to 6.63 percent during the week ended July 24 from the prior week, marking the highest level since it reached 6.68 percent last August. The 15-year fixed mortgage rate also increased, climbing to 6.18 percent from 5.78 percent. Meanwhile, the five-year hybrid adjustable mortgage rate rose to 6.16 percent from 5.80 percent; and the one-year ARM surged to 5.49 percent from 5.10 percent. Freddie Mac chief economist Frank Nothaft attributes the jump to "market concerns about rising inflation, further weakness in the housing market and greater probability that the Federal Reserve will raise short-term rates this year." Source: Wall Street Journal (07/25/08)
We may not see any more increases like this, but the trend is in place. If you are considering buying a home, now is the time! As interest rates increase, the less house you can afford comfortably.
30-Year Mortgage Rates Rise Again Freddie Mac reports a more than 0.25-percentage point gain in the 30-year fixed mortgage rate to 6.63 percent during the week ended July 24 from the prior week, marking the highest level since it reached 6.68 percent last August. The 15-year fixed mortgage rate also increased, climbing to 6.18 percent from 5.78 percent. Meanwhile, the five-year hybrid adjustable mortgage rate rose to 6.16 percent from 5.80 percent; and the one-year ARM surged to 5.49 percent from 5.10 percent. Freddie Mac chief economist Frank Nothaft attributes the jump to "market concerns about rising inflation, further weakness in the housing market and greater probability that the Federal Reserve will raise short-term rates this year." Source: Wall Street Journal (07/25/08)
We may not see any more increases like this, but the trend is in place. If you are considering buying a home, now is the time! As interest rates increase, the less house you can afford comfortably.
Tuesday, July 22, 2008
Things going on!
Wow! The economy is sinking and we are running out of options!
Sorry, that is another place, not here! In fact the home sales business is picking up and we continue to see growth in the area. Even though AT&T announced the move of 700 executive postions to Dallas later this year, the word is that only about 300 or so will actually move because they don't want to leave San Antonio. Impact on the housing market will be an incease of some higher end homes in the $400,000+ range. Since our average house sale is more like $150,000, this won't affect many of us.
What we do see as an impact is the ever slightly increasing interest rates. See our previous posts on this subject (MArch 3, 2008) and you can see where we are headed...higher interest rates and rising home prices. This week's rates are closer to 6.75% than we have seen in months. In March we were thinking 6% all summer, but with energy prices up and bonds taking a bruising, it has been anything but stable.
Take stock of your housing situation. If you don't need to sell, sit tight for a while as prices continue to rise with the reduction of inventory available. If you are looking to buy, get the house you want now as the inventory is reducing and interest rates are rising.
Keep a positive outlook, we are still in Texas!
Sorry, that is another place, not here! In fact the home sales business is picking up and we continue to see growth in the area. Even though AT&T announced the move of 700 executive postions to Dallas later this year, the word is that only about 300 or so will actually move because they don't want to leave San Antonio. Impact on the housing market will be an incease of some higher end homes in the $400,000+ range. Since our average house sale is more like $150,000, this won't affect many of us.
What we do see as an impact is the ever slightly increasing interest rates. See our previous posts on this subject (MArch 3, 2008) and you can see where we are headed...higher interest rates and rising home prices. This week's rates are closer to 6.75% than we have seen in months. In March we were thinking 6% all summer, but with energy prices up and bonds taking a bruising, it has been anything but stable.
Take stock of your housing situation. If you don't need to sell, sit tight for a while as prices continue to rise with the reduction of inventory available. If you are looking to buy, get the house you want now as the inventory is reducing and interest rates are rising.
Keep a positive outlook, we are still in Texas!
Tuesday, July 1, 2008
Junk Fees
You may have seen my addition to the web site that states we do not believe in junk fees. Let me explain a bit more.
Seems that with the ever increasing competition in this, and other business', many agents and brokers have advertised lower fees and commissions to entice clients to use their services. However, the cost of doing business, any business today, has not gone down. So these "discount" brokers start to add a menu of fees instead of straight up commissions. In fact, in many cases the menu pricing can far exceed a normal commission and cost the savings minded consumer much more in the long run.
Don't "discount" the fact that discounted commissions will come with discounted service. You may find the rare start up that has the time to provide good service at a discount. But at some point you are not getting experience or full service.
In today's very competitive market, you can not afford to risk your home's sale or your largest personal investment to a discount service provider. You do not save money when your house sits on the market for weeks, or months, longer due to a discount program that fails to advertise and market (both of which do cost money). The same with a home purchase - do you think you will really save money when you are about to make your largest single investment and not get full service, experience, and support? Will your agent really negotiate in your best interest when they are not getting a full payment?
Think about professionals in other regulated areas such as lawyers, or insurance agents - how many discounts and rebates do they offer for full service? You expect them to have the resources and experience to serve you without asking for a rebate.
So, back to the original premise - No Junk Fees! Don't be fooled by so called "savings" when you may be paying more in added fees than if you had contracted with a full service, full time Realtor. If an agent tells you that they have an "Admin fee" of "only $195" and are getting a commission, ask them why.
If they are offering a discount or a rebate program and start adding service fees, then you know there is no real discount.
It is competitive out here, so watch what is going on. Ad if you are in the area, call to set up a time to discuss this, or any real estate idea, in depth. Look forward to hearing from you!
Seems that with the ever increasing competition in this, and other business', many agents and brokers have advertised lower fees and commissions to entice clients to use their services. However, the cost of doing business, any business today, has not gone down. So these "discount" brokers start to add a menu of fees instead of straight up commissions. In fact, in many cases the menu pricing can far exceed a normal commission and cost the savings minded consumer much more in the long run.
Don't "discount" the fact that discounted commissions will come with discounted service. You may find the rare start up that has the time to provide good service at a discount. But at some point you are not getting experience or full service.
In today's very competitive market, you can not afford to risk your home's sale or your largest personal investment to a discount service provider. You do not save money when your house sits on the market for weeks, or months, longer due to a discount program that fails to advertise and market (both of which do cost money). The same with a home purchase - do you think you will really save money when you are about to make your largest single investment and not get full service, experience, and support? Will your agent really negotiate in your best interest when they are not getting a full payment?
Think about professionals in other regulated areas such as lawyers, or insurance agents - how many discounts and rebates do they offer for full service? You expect them to have the resources and experience to serve you without asking for a rebate.
So, back to the original premise - No Junk Fees! Don't be fooled by so called "savings" when you may be paying more in added fees than if you had contracted with a full service, full time Realtor. If an agent tells you that they have an "Admin fee" of "only $195" and are getting a commission, ask them why.
If they are offering a discount or a rebate program and start adding service fees, then you know there is no real discount.
It is competitive out here, so watch what is going on. Ad if you are in the area, call to set up a time to discuss this, or any real estate idea, in depth. Look forward to hearing from you!
Friday, May 30, 2008
Energy Efficiency and Green Building
Most homeowners want to reduce the monthly utility bills, but can't afford to replace all the items needed to get there. We all hear about Energy Star(R) and other terms that we should be looking for, but what does all this mean?
Well, for existing homes, the task can take a few years to obtain, but it is doable. Contact your electric provider and ask for an energy audit. This will give you a starting point to plan out your future modifications. It may be little things like caulking around the window frames, adding new weather stripping around doors, etc. Or it may be some major items like replacing old air conditioning systems, repairing ducting, maybe even replacing old windows. If you plan on remaining in a home for a while, any or all of these may be worth your cost as you will save some every month as you update.
For new home construction, there are many options as well. First, the Term Energy Star(R) is a copyright from the Environmental Protection Agency (EPA) that identifies items, processes, and equipment that meet it's requirements for energy efficiency. It is a broad definition, and it takes a combination of these to really make a difference.
A new home that is Energy Star(R) means that it must rate a score of 85 or less on the Home Energy Rating Scale (HERS). The HERS scale is rated at 0-100, the lower the better for energy use. Many builders achieve scores below 70 and this can make a difference in many hundreds of dollars saved every year.
So, what do you look for in a new home? Energy Star(R) is certainly the first step. Then we need to add Green Building starndards to add to both energy efficiency and environmental savings as well. Green Building is catching on across the country and we have a program here that monitors and rates our own builders. The Build San Antonio Green Program provides builders with standrds and assists in coordinating many of the different programs out there. From Energy Star(R) to new water saving programs, they help guide the buyer and the builder in the best energy and envirnmental savings programs.
Now, the other end - some builders have obtained Energy Star(R) certification for all of their homes, but only a select number are actually tested for scores. Although they must maintain the minimum standard, there may be no further incentive to do better. And there are builders that test every home for score and continuously strive to better their scores. So, don't be taken by advertising that states Energy Star(R). It is a start, but not the whole answer.
And, the Texas Veterans Loan program requires that a new home have a tested Energy Star(R)certificate to close on the loan. Don't let the builder make you pay for the test either! If they want to sell the house, they should pay for the test.
Bottom line - there are many programs out there, and like loans, there are many ways to get better deals as well. Call me anytime to discuss this new and grwoing segment of our industry. I am committed to maintaining a continuing education and will keep you informed as well as we find new programs that make a difference.
Well, for existing homes, the task can take a few years to obtain, but it is doable. Contact your electric provider and ask for an energy audit. This will give you a starting point to plan out your future modifications. It may be little things like caulking around the window frames, adding new weather stripping around doors, etc. Or it may be some major items like replacing old air conditioning systems, repairing ducting, maybe even replacing old windows. If you plan on remaining in a home for a while, any or all of these may be worth your cost as you will save some every month as you update.
For new home construction, there are many options as well. First, the Term Energy Star(R) is a copyright from the Environmental Protection Agency (EPA) that identifies items, processes, and equipment that meet it's requirements for energy efficiency. It is a broad definition, and it takes a combination of these to really make a difference.
A new home that is Energy Star(R) means that it must rate a score of 85 or less on the Home Energy Rating Scale (HERS). The HERS scale is rated at 0-100, the lower the better for energy use. Many builders achieve scores below 70 and this can make a difference in many hundreds of dollars saved every year.
So, what do you look for in a new home? Energy Star(R) is certainly the first step. Then we need to add Green Building starndards to add to both energy efficiency and environmental savings as well. Green Building is catching on across the country and we have a program here that monitors and rates our own builders. The Build San Antonio Green Program provides builders with standrds and assists in coordinating many of the different programs out there. From Energy Star(R) to new water saving programs, they help guide the buyer and the builder in the best energy and envirnmental savings programs.
Now, the other end - some builders have obtained Energy Star(R) certification for all of their homes, but only a select number are actually tested for scores. Although they must maintain the minimum standard, there may be no further incentive to do better. And there are builders that test every home for score and continuously strive to better their scores. So, don't be taken by advertising that states Energy Star(R). It is a start, but not the whole answer.
And, the Texas Veterans Loan program requires that a new home have a tested Energy Star(R)certificate to close on the loan. Don't let the builder make you pay for the test either! If they want to sell the house, they should pay for the test.
Bottom line - there are many programs out there, and like loans, there are many ways to get better deals as well. Call me anytime to discuss this new and grwoing segment of our industry. I am committed to maintaining a continuing education and will keep you informed as well as we find new programs that make a difference.
Monday, May 19, 2008
Great Weekend!
Had a great weekend! Showed 16 houses in Schertz - we have a great selection to choose from and the prices are right! I think she will decide on one this week, so there are at least 15 more super homes priced between $155,000 - $170,000 that have over 1900 square feet, in Sam Clemens High School side, some have pools, most have mature trees and landscaping. Just a good time to purchase a home - primarily for ownership, but as an investment as well.
As most of you know, the Schertz and NE side of San Antonio areas are growing and we won't see any more pull back in prices. Sure, a home here and there will have a price change, but most are tight where they will sell, and continue to appreciate in the future.
On top of that we had a super time at the annual KNBT Americana Music Jam at Gruene Hall. What a line up of talent and the perfect setting for it. A beautiful day didn't hurt as we rocked all day and into the evening with memorable shows and time to mingle with the artists after. It is such a neat time, everyone gets to relax, have Cody Canada play in your band, and hear the stories of REK. If you have ever gone you understand, if you haven't, look forward to next year and supporting the charities that Mattson and the 92.1 crew support.
As most of you know, the Schertz and NE side of San Antonio areas are growing and we won't see any more pull back in prices. Sure, a home here and there will have a price change, but most are tight where they will sell, and continue to appreciate in the future.
On top of that we had a super time at the annual KNBT Americana Music Jam at Gruene Hall. What a line up of talent and the perfect setting for it. A beautiful day didn't hurt as we rocked all day and into the evening with memorable shows and time to mingle with the artists after. It is such a neat time, everyone gets to relax, have Cody Canada play in your band, and hear the stories of REK. If you have ever gone you understand, if you haven't, look forward to next year and supporting the charities that Mattson and the 92.1 crew support.
Wednesday, April 30, 2008
New Home Sales
Are you in the market to purchase a new home from a San Antonio area builder? Now is a great time to check out some of the real deals they are offering. I normally tell folks to be careful in evaluating some of the advertising, but there really are some good deals to be had.
But don't forget to bring your Realtor along when you are looking. At a minimum, let the sales agent know you are working with a Realtor before signing anything. This will save all parties a lot of hassle later.
The sales agents at new home sites are trained and employed by the builder to sell their homes. They are knowledgeable on that builder's models, options, pricing and financing. And they truly want you to be happy with your purchase. What happens though when there is an issue and you want something done? Who is there to represent you and make sure things are in your best interest? This is why you need a representative in all new home sales transactions. Builders in this area know that over 85% of all sales are completed with a Realtor representing the buyer. The builders respect the impact of Realtors, and also know that their reputation will be increased with good service and that Realtor will bring more potential buyers in the future if they follow through and work together.
On the other hand, if you are not represented in a transaction, the sales agent may ask the builder, but must go by the "bosses" answer, not always able to argue in your behalf.
So, call your Realtor today, ore better yet, call us! The we will go out and check out some amazing deals in new homes this month!
But don't forget to bring your Realtor along when you are looking. At a minimum, let the sales agent know you are working with a Realtor before signing anything. This will save all parties a lot of hassle later.
The sales agents at new home sites are trained and employed by the builder to sell their homes. They are knowledgeable on that builder's models, options, pricing and financing. And they truly want you to be happy with your purchase. What happens though when there is an issue and you want something done? Who is there to represent you and make sure things are in your best interest? This is why you need a representative in all new home sales transactions. Builders in this area know that over 85% of all sales are completed with a Realtor representing the buyer. The builders respect the impact of Realtors, and also know that their reputation will be increased with good service and that Realtor will bring more potential buyers in the future if they follow through and work together.
On the other hand, if you are not represented in a transaction, the sales agent may ask the builder, but must go by the "bosses" answer, not always able to argue in your behalf.
So, call your Realtor today, ore better yet, call us! The we will go out and check out some amazing deals in new homes this month!
Friday, April 25, 2008
More homes to choose from
Just checked the statistics and we now have 11,556 single family homes for sale in the San Antonio MLS. That is a lot of houses to choose from! Yes, some foreclosures - approximately 377 this week still available.
Are you looking at the possibility of purchasing a home this summer? Yes, we are in a buyer's market right now, so why not take advantage of it?
Interest rates are low, prices are low, and the area is still growing. A nice mix of positive influence for buyers. And with over 11,000 to choose from, I am sure we can find you one to fit!
Investors take note, rental rates are going back up and a lot of people that might have bought in previous years are not this year and still need a place to live.
Call and let us know what you need!
Are you looking at the possibility of purchasing a home this summer? Yes, we are in a buyer's market right now, so why not take advantage of it?
Interest rates are low, prices are low, and the area is still growing. A nice mix of positive influence for buyers. And with over 11,000 to choose from, I am sure we can find you one to fit!
Investors take note, rental rates are going back up and a lot of people that might have bought in previous years are not this year and still need a place to live.
Call and let us know what you need!
Friday, April 11, 2008
Back to work!
Just returned from a fantastic trip to visit my brother in Cairns, Australia! What a trip, except for the airlines!
Nancy & I strongly recommend a visit to Cairns to see the "end of the road" in the tropics and savor the rich combination of modern and ancient found there. From the truly ancient rain forests to the modern city and airport, life is a constant yin and yang in the far North of our great ally.
Anyway, we will be happy to discuss our adventures more, but want to make sure you know we are back to work and ready to help you with any and all of your real estate needs.
Nancy & I strongly recommend a visit to Cairns to see the "end of the road" in the tropics and savor the rich combination of modern and ancient found there. From the truly ancient rain forests to the modern city and airport, life is a constant yin and yang in the far North of our great ally.
Anyway, we will be happy to discuss our adventures more, but want to make sure you know we are back to work and ready to help you with any and all of your real estate needs.
Tuesday, March 18, 2008
Market Volatility and Confusion
Wow! Have you been watching the stock markets lately? It's mind bending to sit back watch the amount of money that is traded daily. But how does that affect us in the Texas real estate market? First, interest rates are staying low, or even going lower - depends on what day you watch the market. That has long term good for home buyers all over it.
As I talk about in other areas, if you have good credit, this is a great time to look at buying a house, or even investment grade property for long term growth. In this area we have been affected by the rest of the country, but have a lot of growth still ahead.
What is making things tough for some is that the lending world is getting more stringent and you will need to prepare by having your credit in order and having some cash on hand. If using conventional loans, they are not funding 100% at all right now, you must have some cash in the transaction. It will depend on just how much, but unless you are using a VA loan, zero down is virtually gone for the near future.
John Garbo over at Supreme Lending (jgarbo@supremelending.com) tells me that they have a lot folks looking at FHA now. They still require the buyer to participate in the transaction with a minimum of 2.75% in either a down payment or closing costs, or combination. That makes it easier than 20% for the old conventional standard.
The news can be confusing, but reality is that homes are easy to purchase if you prepare. Just because the news has horrible sounding headlines does not mean that we are not bucking the trend here in Texas.
Call me and we'll talk details and get you moving on that home purchase.
As I talk about in other areas, if you have good credit, this is a great time to look at buying a house, or even investment grade property for long term growth. In this area we have been affected by the rest of the country, but have a lot of growth still ahead.
What is making things tough for some is that the lending world is getting more stringent and you will need to prepare by having your credit in order and having some cash on hand. If using conventional loans, they are not funding 100% at all right now, you must have some cash in the transaction. It will depend on just how much, but unless you are using a VA loan, zero down is virtually gone for the near future.
John Garbo over at Supreme Lending (jgarbo@supremelending.com) tells me that they have a lot folks looking at FHA now. They still require the buyer to participate in the transaction with a minimum of 2.75% in either a down payment or closing costs, or combination. That makes it easier than 20% for the old conventional standard.
The news can be confusing, but reality is that homes are easy to purchase if you prepare. Just because the news has horrible sounding headlines does not mean that we are not bucking the trend here in Texas.
Call me and we'll talk details and get you moving on that home purchase.
Monday, March 3, 2008
Buyers Market Updates
The media will have everyone that is thinking of selling or buying home believe that this is a bad time for both. Far from teh truth in this market! Let's start with the basics:
Interest Rates are LOW! Posted rates today are 6.0% for conventional loans with good credit. They are as low as 5.5% for those eligible to use the Texas Veterans program
Home prices are competetive in each market! A good home that is in a desirable location will sell, so why wait and miss out? If the price drops a little over the next few months, and interest rates rise, you won't gain anything.
Here is an example: To buy a $218,900 home at 5.5 percent is $994.31 a month. To buy next year at $197,010 at 6 percent will cost $994.94. Interesting!
As for sellers. again a well maintained home in a desirable location will sell for teh market rate. And, every neighborhood has a different set of circumstances. Don't believe that what sells "down the road" is the same as your particular situation. Get a Realtor to provide a CMA and review it with you.
We are ready to assist with any of your real estate needs, so let us know what we can do for you today!
Interest Rates are LOW! Posted rates today are 6.0% for conventional loans with good credit. They are as low as 5.5% for those eligible to use the Texas Veterans program
Home prices are competetive in each market! A good home that is in a desirable location will sell, so why wait and miss out? If the price drops a little over the next few months, and interest rates rise, you won't gain anything.
Here is an example: To buy a $218,900 home at 5.5 percent is $994.31 a month. To buy next year at $197,010 at 6 percent will cost $994.94. Interesting!
As for sellers. again a well maintained home in a desirable location will sell for teh market rate. And, every neighborhood has a different set of circumstances. Don't believe that what sells "down the road" is the same as your particular situation. Get a Realtor to provide a CMA and review it with you.
We are ready to assist with any of your real estate needs, so let us know what we can do for you today!
Saturday, March 1, 2008
Seller Workshop
Our first ever Home Seller Workshop was held Thursday evening at the wonderful Schertz Civic center. Attendees enjoyed refreshments, pizza, and most importantly, loads of great information on selling a house in today's local market.
We covered preparation, repairs, staging, inspections, home warranty, negotiations, title insurance, and the closing process. Lots of good Q&A led us to want to share more with you. Check out out web site at www.tanrealty.com and I will post a pdf file with the slides this week.
In general, we are experiencing what many would call a buyers market due to the number of homes available. The difference here is that our prices are not falling like the media headlines from other areas of the county. Some local neighborhoods continue to see appreciation, and others that may have more homes for sale may see flat or even slightly decreasing prices. Still, a house that is prepared well, staged professionally, and offers the right incentives, along with competitive pricing, will sell before the average home. And having the right exposure via lots of Internet, good photos and virtual tours will enhance sales every time.
This is still a great time to purchase a home as well. interest rates continue to hold at historically low levels, choices are abundant, and the future for the San Antonio and Schertz communities is nothing but Bright!
We covered preparation, repairs, staging, inspections, home warranty, negotiations, title insurance, and the closing process. Lots of good Q&A led us to want to share more with you. Check out out web site at www.tanrealty.com and I will post a pdf file with the slides this week.
In general, we are experiencing what many would call a buyers market due to the number of homes available. The difference here is that our prices are not falling like the media headlines from other areas of the county. Some local neighborhoods continue to see appreciation, and others that may have more homes for sale may see flat or even slightly decreasing prices. Still, a house that is prepared well, staged professionally, and offers the right incentives, along with competitive pricing, will sell before the average home. And having the right exposure via lots of Internet, good photos and virtual tours will enhance sales every time.
This is still a great time to purchase a home as well. interest rates continue to hold at historically low levels, choices are abundant, and the future for the San Antonio and Schertz communities is nothing but Bright!
Wednesday, February 20, 2008
What winter in Texas?!?!?
Hard to believe it is the 20th of February and a balmy 72 out there right now! We in the south central region of Texas enjoy a lot of nice weather all year round. Still this is a bit warmer than normal, but why complain?
I talked to friends and family in the northern states and am reminded of things like ice storms that coat the roads, causing a lot of bumps and crunches. The snow is beautiful at the ski resort, but since we don't teach skiing, working here is much nicer.
The golf courses are in great shape, the rivers are flowing (slower than last year, but still flowing) and the wildflowers are just waiting to start their growth.
If you need to take a break from the cold, come on down and visit us. If you like it, you are welcome to stay.
Wow!
I talked to friends and family in the northern states and am reminded of things like ice storms that coat the roads, causing a lot of bumps and crunches. The snow is beautiful at the ski resort, but since we don't teach skiing, working here is much nicer.
The golf courses are in great shape, the rivers are flowing (slower than last year, but still flowing) and the wildflowers are just waiting to start their growth.
If you need to take a break from the cold, come on down and visit us. If you like it, you are welcome to stay.
Wow!
Tuesday, February 12, 2008
It's a Good Time to buy Real Estate
Check out this article frmo RIS Media, the real estate news service:
By Beth McGuire
RISMEDIA, Feb. 8, 2008–”It’s a good time to buy real estate.” That’s the message Realogy, the nation’s largest real estate franchisor, wants agents to broadcast to buyers across the country.
The company is spreading the word through a national advertising campaign in USA Today, which began this past Wednesday and will run again on Feb. 13th and 20th. This is Realogy’s second national push in as many years to take a strong stance against the barrage of negative press directed toward the real estate industry over what is reported as the declining condition of the housing market.
The Parsippany, New Jersey-based parent of the Better Homes and Gardens® Real Estate, CENTURY 21®, Coldwell Banker®, Coldwell Banker Commercial®, ERA® and Sotheby’s International Realty® brands, ran a full-page advertisement in the front section of USA Today and expects to reach more than 3.9 million consumers with its message. The ad lets consumers know that recently-cut mortgage rates and a wealth of available properties, make today a “great time” to purchase a home.
The timing of the ad, titled, “Think You Can’t Get a Home Loan? Well Think Again. You May Be Pleasantly Surprised.,” aligns with the recent Federal Reserve interest rate cuts, and lets consumers know that: money is available for those who meet basic requirements; affordability has improved; rates are attractive; and inventory is plentiful.
In an exclusive interview with Alex Perriello, president & CEO of the Realogy Franchise Group, he said the ads aim to educate consumers who might be at the positive tipping point on buying a home.
“We want to educate the consumer with relevant facts about today’s real estate market,” he said. “There are a lot of positives, and we feel that reinforcing the positives will help clarify things for consumers who are on the fence what to do in today’s market. I travel a lot to real estate offices and I hear from a lot of our agents that buyers are out there, but that they are not sure what to do. We felt that talking openly about the opportunities may help people to see that it is a good time to get into the market, and we believe it is.”
Perriello said there are three common misconceptions consumers have about the real estate market right now :people can’t get a loan: affordability is out of reach: and consumers should wait for rates to go lower.
“I was watching a news show last week after the Federal Reserve made its second rate cut on Tuesday, and the host of the program said, ‘I don’t know if it will help because you can’t get a mortgage.’ You hear this over and over again. We want to set the record straight on that. If you meet very basic requirements - you have a job for the past two years, you can make the payments, you plan to live in the property and you have a credit score that suggests you are responsible, you can get a mortgage. These are all reasonable requirements.”
He added that affordability today is better than it has been in almost three years, and that interest rates are now at 40-year historic lows, so people shouldn’t wait to buy.
In the national scope of the economy, Perriello said that the Federal Reserve is doing a good job of doing what it can to avert a recession, but stopped short on any market predictions for the remainder of 2008.
“It’s too early to know how it will go,” he said. ‘We’ll see what the impact of the rate cut brings. Another wild card is [President Bush’s economic] stimulus package, which has gotten through the House but is now stalled in the Senate.”
To combat negative press, Perriello believes that all real estate professionals need to take a very proactive position in the marketplace. “We recommend they absolutely follow our lead,” he said. “We are providing to our franchisees the ad template so they can customize it with their branding and information in their local markets. There are some great talking points in these ads.”
For more information, visit www.realogy.com.
By Beth McGuire
RISMEDIA, Feb. 8, 2008–”It’s a good time to buy real estate.” That’s the message Realogy, the nation’s largest real estate franchisor, wants agents to broadcast to buyers across the country.
The company is spreading the word through a national advertising campaign in USA Today, which began this past Wednesday and will run again on Feb. 13th and 20th. This is Realogy’s second national push in as many years to take a strong stance against the barrage of negative press directed toward the real estate industry over what is reported as the declining condition of the housing market.
The Parsippany, New Jersey-based parent of the Better Homes and Gardens® Real Estate, CENTURY 21®, Coldwell Banker®, Coldwell Banker Commercial®, ERA® and Sotheby’s International Realty® brands, ran a full-page advertisement in the front section of USA Today and expects to reach more than 3.9 million consumers with its message. The ad lets consumers know that recently-cut mortgage rates and a wealth of available properties, make today a “great time” to purchase a home.
The timing of the ad, titled, “Think You Can’t Get a Home Loan? Well Think Again. You May Be Pleasantly Surprised.,” aligns with the recent Federal Reserve interest rate cuts, and lets consumers know that: money is available for those who meet basic requirements; affordability has improved; rates are attractive; and inventory is plentiful.
In an exclusive interview with Alex Perriello, president & CEO of the Realogy Franchise Group, he said the ads aim to educate consumers who might be at the positive tipping point on buying a home.
“We want to educate the consumer with relevant facts about today’s real estate market,” he said. “There are a lot of positives, and we feel that reinforcing the positives will help clarify things for consumers who are on the fence what to do in today’s market. I travel a lot to real estate offices and I hear from a lot of our agents that buyers are out there, but that they are not sure what to do. We felt that talking openly about the opportunities may help people to see that it is a good time to get into the market, and we believe it is.”
Perriello said there are three common misconceptions consumers have about the real estate market right now :people can’t get a loan: affordability is out of reach: and consumers should wait for rates to go lower.
“I was watching a news show last week after the Federal Reserve made its second rate cut on Tuesday, and the host of the program said, ‘I don’t know if it will help because you can’t get a mortgage.’ You hear this over and over again. We want to set the record straight on that. If you meet very basic requirements - you have a job for the past two years, you can make the payments, you plan to live in the property and you have a credit score that suggests you are responsible, you can get a mortgage. These are all reasonable requirements.”
He added that affordability today is better than it has been in almost three years, and that interest rates are now at 40-year historic lows, so people shouldn’t wait to buy.
In the national scope of the economy, Perriello said that the Federal Reserve is doing a good job of doing what it can to avert a recession, but stopped short on any market predictions for the remainder of 2008.
“It’s too early to know how it will go,” he said. ‘We’ll see what the impact of the rate cut brings. Another wild card is [President Bush’s economic] stimulus package, which has gotten through the House but is now stalled in the Senate.”
To combat negative press, Perriello believes that all real estate professionals need to take a very proactive position in the marketplace. “We recommend they absolutely follow our lead,” he said. “We are providing to our franchisees the ad template so they can customize it with their branding and information in their local markets. There are some great talking points in these ads.”
For more information, visit www.realogy.com.
Friday, February 8, 2008
Home Seller Workshop Scheduled
We are proud to announce our next consumer education event - the Home Seller Workshop. Scheduled for February 28th at 7 - 9 PM in the Schertz Civic Center. We are putting together the now famous team that made our Home Buyers Workshop so successful. Title, Inspection, Home Warranty, Home Staging, and more will be on hand to discuss all aspects of selling your house. From preparation to contract and closing, we will go over the entore process and be there to answer your questions.
Put this on your schedule! If you are going to sell your house this year, you need to attend!
Call us or email info@tanrealty.com to RSVP or for questions. We look forward to seeing you there!
Put this on your schedule! If you are going to sell your house this year, you need to attend!
Call us or email info@tanrealty.com to RSVP or for questions. We look forward to seeing you there!
Monday, January 21, 2008
Home Buyer Workshop a Success!
We hosted our first ever Home Buyer Workshop the other night and the feedback is all positive! Althought the weather was not the best, those that ventured out to the event were rewarded with a lot of great information and they all said they learned a lot. With our friends from Supreme Lending, United Title of Texas, AnuHome4U Inspections, First American Home Warranty, Allstate Insurance, and Edward Jones Investments, we covered the entire buyer process with a professional representing all the major transaction parts. This made for great question and answer sessions and everyone benefitted.
We look forward to both a seller workshop and more buyer workshops in the future. We hope you can attend and will keep this site updated with the latest plans and schedules.
We look forward to both a seller workshop and more buyer workshops in the future. We hope you can attend and will keep this site updated with the latest plans and schedules.
Monday, January 7, 2008
Home Buyer Workshop 17 Jan 08
It's on the books! We are excited to host a Home Buyer Workshop on 17 Jan 08 at the Schertz Civic Center from 7-9 PM. Sign in will start at 6:30, and we would really appreciate an RSVP so we can plan refreshements accordingly. Just drop an email to info@tanrealty.com or call us at 210-392-4070 with the number of attendees.
Presenters will include:
United Title of Texas
Supreme Mortgage Lending
First American Home Warranty
A Nu Home 4 U Home Inspection Service
Edward Jones Investments
Allstate Insurance
And of course, Realty Executives!!
This is for new and seasoned home buyers as we will have the experts on hand to address the local housing market and answer your questions. In fact, if you have specific questions, email me and we'll provide and answer at the Workshop.
This is a fantastic opportunity for anyone interested in local real estate. from a personal home to investing, we will be able to discuss the entire process and what you need to know before you start.
We are looking forward to this and hope you will enjoy it as well. Please let everyone that might need this information know.
Presenters will include:
United Title of Texas
Supreme Mortgage Lending
First American Home Warranty
A Nu Home 4 U Home Inspection Service
Edward Jones Investments
Allstate Insurance
And of course, Realty Executives!!
This is for new and seasoned home buyers as we will have the experts on hand to address the local housing market and answer your questions. In fact, if you have specific questions, email me and we'll provide and answer at the Workshop.
This is a fantastic opportunity for anyone interested in local real estate. from a personal home to investing, we will be able to discuss the entire process and what you need to know before you start.
We are looking forward to this and hope you will enjoy it as well. Please let everyone that might need this information know.
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