Should We Be Worried About Our Real Estate Investments?
by Clifford A. Hockley
As the stock market continues to respond nervously and yo-yo up an down, money market fund yields and 401K balances are shrinking, we are faced with the real question: where to put our funds to invest into the future?
Investors face many issues that continue to astound us, many related to real estate financing; let’s look at what has happened over the past few months.
The Bottom Line
We are in for 12 to 24 months of market reorganization. Those investors that have been sitting on their money will be able to find deals in many markets, especially in Nevada, California and Arizona. Local markets will have pockets of opportunity as properties with high vacancy rates will go back to banks.
The banks in turn will either liquidate the property or see if they can sell to the federal government.
Those investors who have not over-leveraged their investments will be able to sustain the vacancies. Those with too much leverage will need to create a method to negotiate with banks or bring in cash partners to reduce the risk.
So if you have money, you have 6 to 12 months to find some good deals, and hold onto them while the market improves. Simple demographics dictate that our population will continue to grow nationally, and that a strong market will return, albeit a more conservative highly regulated market.
Published: November 11, 2008 Realty Times http://realtytimes.com/rtpages/20081111_invest.htm
Thursday, December 18, 2008
Thursday, August 7, 2008
Aid for Buyers
Aid for buyersFirst-time home buyers are offered refundable tax credits of up to $7,500 for homes bought between April 9, 2008, and April 1, 2009.
Real Estate Outlook: Housing Bill Approved
by Kenneth R. Harney
With home sales and prices down and unsold inventory up in many areas, the real estate market could use a jolt of good news -- and Congress just provided it.
The massive, 690-page housing bill just approved on Capitol Hill has plenty of mortgage-related provisions in it, but it also has an important stimulus program designed to jump-start housing sales: It's a tax credit, effective immediately, that could cut up to $7,500 off the federal tax return of anyone who buys a house before the end of next June, when it expires.
Buyers have to be first-time purchasers, or renters who haven't owned a house anytime in the past three years. The "credit" is actually more like an interest free loan, repayable over 15 years. Single taxpayers can only qualify for a $3,750 maximum credit. But it still puts thousands of after-tax dollars of incentives into home purchases -- money that wasn't there before.
Starting this week, hundreds of thousands of potential buyers who've been on the sidelines can purchase a new or resale house and qualify for the credit. The National Association of Realtors estimates that up to two million sales could be stimulated by the credit in the coming 11 months, and the National Association of Home Builders anticipates a "multiplier effect" in the move-up segment of the market.
From Realty Times July 31, 2008 Read the entire article at:
http://realtytimes.com/rtpages/20080731_realestateoutlook.htm
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Real Estate Outlook: Housing Bill Approved
by Kenneth R. Harney
With home sales and prices down and unsold inventory up in many areas, the real estate market could use a jolt of good news -- and Congress just provided it.
The massive, 690-page housing bill just approved on Capitol Hill has plenty of mortgage-related provisions in it, but it also has an important stimulus program designed to jump-start housing sales: It's a tax credit, effective immediately, that could cut up to $7,500 off the federal tax return of anyone who buys a house before the end of next June, when it expires.
Buyers have to be first-time purchasers, or renters who haven't owned a house anytime in the past three years. The "credit" is actually more like an interest free loan, repayable over 15 years. Single taxpayers can only qualify for a $3,750 maximum credit. But it still puts thousands of after-tax dollars of incentives into home purchases -- money that wasn't there before.
Starting this week, hundreds of thousands of potential buyers who've been on the sidelines can purchase a new or resale house and qualify for the credit. The National Association of Realtors estimates that up to two million sales could be stimulated by the credit in the coming 11 months, and the National Association of Home Builders anticipates a "multiplier effect" in the move-up segment of the market.
From Realty Times July 31, 2008 Read the entire article at:
http://realtytimes.com/rtpages/20080731_realestateoutlook.htm
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Discount Brokers
Realty Viewpoint: Discount Broker Leaves Sellers Stranded
by Blanche Evans
Rumors were flying last week that Iggy's House, a discount broker, is out of business. If they're not, they sure are acting like it. According to one of their clients, Janice Dowden, of Burleson, Texas, they aren't returning phone calls or emails.
That's put her in an uncomfortable position. She hired Iggy's House to list her home for zero commission. Now she's got a contract and wants the listing changed in the MLS to Pending, so other Realtors will know the status and not waste their time or gas showing her house.
Published in Realty Times July 7, 2008.
Read the entire article at:
http://realtytimes.com/rtpages/20080707_realtyviewpoint.htm
MLS only and other discount brokerages provide a very limited service. The program may fit a few unique situations, but is very risky for most sellers.
We have a client attempting to move to Columbus from the northeast Ohio area who listed with a discount MLS service. They are very disappointed. They requested a broker tour of their home and no one at the listing company is responding to them.
You only get what you pay for. Be very careful when signing a listing agreement. If you don’t understand what you are signing or it seems “too good to be true” DON’T SIGN!
Local activity
As of July 18, 2008
Single family homes on the market 14,610
Average days on market 119
Closed sales single family YTD 9,872
Average days on market closed 108
Source: Columbus Board of Realtors MLS listings
Days on market has decreased slightly in the past 2 weeks. Number of sales to current active listings suggests a 10.4 month inventory.
RE/MAX Affiliates
The Lubinsky Team
Jim Lubinsky, Angela Williams & Jackie Cautela
614-766-5330 x119
by Blanche Evans
Rumors were flying last week that Iggy's House, a discount broker, is out of business. If they're not, they sure are acting like it. According to one of their clients, Janice Dowden, of Burleson, Texas, they aren't returning phone calls or emails.
That's put her in an uncomfortable position. She hired Iggy's House to list her home for zero commission. Now she's got a contract and wants the listing changed in the MLS to Pending, so other Realtors will know the status and not waste their time or gas showing her house.
Published in Realty Times July 7, 2008.
Read the entire article at:
http://realtytimes.com/rtpages/20080707_realtyviewpoint.htm
MLS only and other discount brokerages provide a very limited service. The program may fit a few unique situations, but is very risky for most sellers.
We have a client attempting to move to Columbus from the northeast Ohio area who listed with a discount MLS service. They are very disappointed. They requested a broker tour of their home and no one at the listing company is responding to them.
You only get what you pay for. Be very careful when signing a listing agreement. If you don’t understand what you are signing or it seems “too good to be true” DON’T SIGN!
Local activity
As of July 18, 2008
Single family homes on the market 14,610
Average days on market 119
Closed sales single family YTD 9,872
Average days on market closed 108
Source: Columbus Board of Realtors MLS listings
Days on market has decreased slightly in the past 2 weeks. Number of sales to current active listings suggests a 10.4 month inventory.
RE/MAX Affiliates
The Lubinsky Team
Jim Lubinsky, Angela Williams & Jackie Cautela
614-766-5330 x119
State of Housing
Realty Viewpoint: New Housing Report: Rocky Road Or Reboom?
by Blanche Evans
The annual State of the Nation's Housing 2008 has just been released by the Joint Center for Housing Studies of Harvard University. Abandoning the upbeat tone of last year's report, the market analysis bluntly says that the economy can go one of two ways -- a severe recession that will take housing with it, or a mild recession which will allow housing to strongly rebound.
Realty Times July 24, 2008, Blanche Evans. Read the entire article at:
http://realtytimes.com/rtpages/20080624_realtyviewpoint.htm
According to a recently read book “Black Swan” the author strongly criticizes projections and forecasts as mostly being wrong. Looking back, most real estate economists were forecasting 2008 to put real estate back on track with recent years. Now they are saying that will take place in 2009 or maybe 2010. Bottom line – no one really knows.
Locally:
There are 14,590 single family homes in the Columbus Board of Realtors MLS active listings as of July 24, 2008. That number is up from a month ago.
The number of “days on market” is currently 120, down from prior months in the high 120’s.
Considering buying? This is a great time to get a good deal.
Have a home to sell? If you are also going to be buying, you can make up the lower sale price of your current home on the home you buy. Especially attractive if you are buying up from to a higher price range.
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
The annual State of the Nation's Housing 2008 has just been released by the Joint Center for Housing Studies of Harvard University. Abandoning the upbeat tone of last year's report, the market analysis bluntly says that the economy can go one of two ways -- a severe recession that will take housing with it, or a mild recession which will allow housing to strongly rebound.
Realty Times July 24, 2008, Blanche Evans. Read the entire article at:
http://realtytimes.com/rtpages/20080624_realtyviewpoint.htm
According to a recently read book “Black Swan” the author strongly criticizes projections and forecasts as mostly being wrong. Looking back, most real estate economists were forecasting 2008 to put real estate back on track with recent years. Now they are saying that will take place in 2009 or maybe 2010. Bottom line – no one really knows.
Locally:
There are 14,590 single family homes in the Columbus Board of Realtors MLS active listings as of July 24, 2008. That number is up from a month ago.
The number of “days on market” is currently 120, down from prior months in the high 120’s.
Considering buying? This is a great time to get a good deal.
Have a home to sell? If you are also going to be buying, you can make up the lower sale price of your current home on the home you buy. Especially attractive if you are buying up from to a higher price range.
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Wednesday, June 11, 2008
Global Insight Market Performance
Press Release GLOBAL INSIGHT, Inc. - 2008
84% of the Nation's Housing Market Declines in the First QuarterOnce Overvalued Markets Hardest Hit by Plunging Prices
Waltham, MA 2 June 2008 - Global Insight, the world's leading company for economic and financial analysis and forecasting, today released the first quarter 2008 update of the U.S. housing valuation analysis, House Prices in America, showing that single-family home prices fell for the third straight period, dropping at a steep 6.7 % annualized rate. Nationwide, 262 housing markets out of 330 in the study - the overwhelming majority of the nation's housing markets - experienced declines, accounting for 84% of all housing units and 89% of real estate value.
Read the entire article at:
http://www.globalinsight.com/PressRelease/PressReleaseDetail12748.htm
Locally:
We can find anything we want with statistics and you can view them as negative / positive / neutral.
Since Central Ohio has not seen major double digit “annual appreciation rates” we also don’t seem to be experiencing double digit declines. The inventory is large and number of days on market is above average, based on the past several years (some local market areas and price ranges are still performing much better than the Central Ohio average ie. Dublin $250-350,000).
Comparing 1st quarter 2008 to last quarter 2007 and to 1st quarter 2007:
Average sale price % change Average days on market
1Q 2008 $156,718 - 6.9 4Q 2007 110
- 7.4 1Q 2007
4Q 2007 $168,334 103
1Q 2007 $169,297 108
source: Columbus Board of Realtors MLS – single family detached homes as of June 5, 2008
The fallacy of the using average sale price to compare periods is that more “lower priced homes” may have sold in the most recent period making the average sale price lower, even if the true sale price of most homes sold did not decline. Most all indices and reported data is based on the “average sale price”.
The above are only indicators and should not to be taken as accurate representations of the change in your home’s value.
Jim Lubinsky
Angela Williams
Jackie Cautela
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
84% of the Nation's Housing Market Declines in the First QuarterOnce Overvalued Markets Hardest Hit by Plunging Prices
Waltham, MA 2 June 2008 - Global Insight, the world's leading company for economic and financial analysis and forecasting, today released the first quarter 2008 update of the U.S. housing valuation analysis, House Prices in America, showing that single-family home prices fell for the third straight period, dropping at a steep 6.7 % annualized rate. Nationwide, 262 housing markets out of 330 in the study - the overwhelming majority of the nation's housing markets - experienced declines, accounting for 84% of all housing units and 89% of real estate value.
Read the entire article at:
http://www.globalinsight.com/PressRelease/PressReleaseDetail12748.htm
Locally:
We can find anything we want with statistics and you can view them as negative / positive / neutral.
Since Central Ohio has not seen major double digit “annual appreciation rates” we also don’t seem to be experiencing double digit declines. The inventory is large and number of days on market is above average, based on the past several years (some local market areas and price ranges are still performing much better than the Central Ohio average ie. Dublin $250-350,000).
Comparing 1st quarter 2008 to last quarter 2007 and to 1st quarter 2007:
Average sale price % change Average days on market
1Q 2008 $156,718 - 6.9 4Q 2007 110
- 7.4 1Q 2007
4Q 2007 $168,334 103
1Q 2007 $169,297 108
source: Columbus Board of Realtors MLS – single family detached homes as of June 5, 2008
The fallacy of the using average sale price to compare periods is that more “lower priced homes” may have sold in the most recent period making the average sale price lower, even if the true sale price of most homes sold did not decline. Most all indices and reported data is based on the “average sale price”.
The above are only indicators and should not to be taken as accurate representations of the change in your home’s value.
Jim Lubinsky
Angela Williams
Jackie Cautela
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Websites for MLS Search
Realty Viewpoint: Research Study Of Online Competitors Still Relevant
by Blanche Evans
In August 2007 a little known study by eVOC Insights was published that compared online real estate sites such as RealEstate.com, Realtor.com, Trulia.com and Yahoo! Real Estate, among others. While some findings might be outdated nearly nine months later, others are spot on -- namely that making it easier for consumers to find homes should be the goal of any real estate site.
Realtor.com came out on top in a number of key metrics -- site traffic, brand recognition, property selection, search results, and home descriptions. Over half of short-term buyers preferred Realtor.com and Trulia was second in popularity. When it came to name recognition, Zillow was number two among consumers.
Published April 29, 2008 in Realty Times
Read the entire article at:
http://realtytimes.com/rtpages/20080429_realtyviewpoint.htm
To search all homes and condos for sale in the Columbus Ohio market and see daily updated listings visit
REAFFILIATES.COM/JLUBINSKY
There you can search on many different criteria and the information is current, unlike most other sites which do not update daily.
If you want to receive daily email updates of new listings fitting your criteria, contact me by email or phone.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
In August 2007 a little known study by eVOC Insights was published that compared online real estate sites such as RealEstate.com, Realtor.com, Trulia.com and Yahoo! Real Estate, among others. While some findings might be outdated nearly nine months later, others are spot on -- namely that making it easier for consumers to find homes should be the goal of any real estate site.
Realtor.com came out on top in a number of key metrics -- site traffic, brand recognition, property selection, search results, and home descriptions. Over half of short-term buyers preferred Realtor.com and Trulia was second in popularity. When it came to name recognition, Zillow was number two among consumers.
Published April 29, 2008 in Realty Times
Read the entire article at:
http://realtytimes.com/rtpages/20080429_realtyviewpoint.htm
To search all homes and condos for sale in the Columbus Ohio market and see daily updated listings visit
REAFFILIATES.COM/JLUBINSKY
There you can search on many different criteria and the information is current, unlike most other sites which do not update daily.
If you want to receive daily email updates of new listings fitting your criteria, contact me by email or phone.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Current State of the Market 5-23-08
Realty Viewpoint: Real-time Housing Index Says Falling Prices Easing
by Blanche Evans
The Real-Time Housing Market Report shows an interesting trend. Housing prices are down a little over half a percent. That's no surprise, but out of 25 markets, only seven fell in asking price. That's a big improvement over March when listing prices fell 2.7 percent.
Read the entire article at:
http://realtytimes.com/rtpages/20080512_realtyviewpoint.htm
Locally:
The Columbus Board of Realtors MLS system as of May 21, 2008 shows “average days on market for single family detached” homes at 123 days. That is down from 129 DOM for prior months.
In addition, the Board reported that the first quarter of 2008 saw a slight decline in number of sold homes. In the month of April 2008 the number of closed sales was 1,548 vs 1,778 in 2007. Average sale price April 2008 was $162,005 vs $174,722 in 2007.
The spring and early summer of 2007 was still a very strong period. That made 2007 look like a good year. The second half of 2007 was very slow and that continued into early 2008.
Based on my recent conversations with other Realtors, title companies and lenders, the buying activity had picked up in April this year. We should see that activity reflected in closed sales for May and June.
We are all very optimistic that Central Ohio has turned the corner and will be improving throughout this year. Several specific market segments already show significant improvement. Dublin City for example has an average of 89 days on market for sold homes.
It’s a great time to buy a home!!
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
The Real-Time Housing Market Report shows an interesting trend. Housing prices are down a little over half a percent. That's no surprise, but out of 25 markets, only seven fell in asking price. That's a big improvement over March when listing prices fell 2.7 percent.
Read the entire article at:
http://realtytimes.com/rtpages/20080512_realtyviewpoint.htm
Locally:
The Columbus Board of Realtors MLS system as of May 21, 2008 shows “average days on market for single family detached” homes at 123 days. That is down from 129 DOM for prior months.
In addition, the Board reported that the first quarter of 2008 saw a slight decline in number of sold homes. In the month of April 2008 the number of closed sales was 1,548 vs 1,778 in 2007. Average sale price April 2008 was $162,005 vs $174,722 in 2007.
The spring and early summer of 2007 was still a very strong period. That made 2007 look like a good year. The second half of 2007 was very slow and that continued into early 2008.
Based on my recent conversations with other Realtors, title companies and lenders, the buying activity had picked up in April this year. We should see that activity reflected in closed sales for May and June.
We are all very optimistic that Central Ohio has turned the corner and will be improving throughout this year. Several specific market segments already show significant improvement. Dublin City for example has an average of 89 days on market for sold homes.
It’s a great time to buy a home!!
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Monday, April 7, 2008
Signs of Market turning UP
Realty Viewpoint: Real-time Housing Composite Shows Possible Bottom Near
by Blanche Evans
The Altos 10-City Composite Index was down 1.7 percent for the first quarter of 2008, with most of the decline occurring in March (1.3 percent.)
The index tracks homes for sale in 23 metros through real-time listing prices. (Editor's note: The 10-city composite uses the same metro data as the S & P Case-Shiller Index for Denver, Boston, Miami, San Diego, Los Angeles, Las Vegas, Washington, DC, Chicago, New York, and San Francisco. Other cities such as Dallas are calculated separately and will be included in a future 20-city index, once again mirroring the Case-Shiller metros, says Altos. The 20-city index is expanded to include Atlanta, Charlotte, Cleveland, Dallas, Detroit, Minneapolis, Phoenix, Portland, Seattle, and Tampa.)
The largest declines were in San Francisco (off 5.2 percent) and Las Vegas (off 5.2 percent) while southern cities Houston, Dallas, and Charlotte saw modest price increases of one percent or more for the quarter.
Asking prices went down in 14 of 23 markets during March, with Chicago reporting the largest drop in listing prices (off 3.9 percent.)
What's causing prices to drop are expanding inventories of homes for sale in all the composite cities. Chicago's listings for sale increased 12.3 percent.
At the same time, days on market improved with homes languishing 118 on average, down from 121 in February and 124 in January. The cities with the longest days on market were Miami and Detroit, both at 146 days. The fastest turnovers were in San Francisco (65 days on market) and Austin, Texas (67 days on market.)
What these figures suggest to me is that we're getting closer to a bottom.
Published in Realty Times April 4, 2008 Read the rest of the article at
http://realtytimes.com/rtpages/20080404_realtyviewpoint.htm
Locally, the number of sold single family homes year-to-date, January to March 31st is down 17% from 1Q last year. However, at the end of February it was down 20% suggesting the market is improving here in Central Ohio.
Currently there are 13,000 single family homes on the market and 2,900 condos listed in the Columbus Board of Realtors MLS system.
Showings have increased in the past 2 months and several lenders have indicated a higher number of new loans in process for buyers.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
The Altos 10-City Composite Index was down 1.7 percent for the first quarter of 2008, with most of the decline occurring in March (1.3 percent.)
The index tracks homes for sale in 23 metros through real-time listing prices. (Editor's note: The 10-city composite uses the same metro data as the S & P Case-Shiller Index for Denver, Boston, Miami, San Diego, Los Angeles, Las Vegas, Washington, DC, Chicago, New York, and San Francisco. Other cities such as Dallas are calculated separately and will be included in a future 20-city index, once again mirroring the Case-Shiller metros, says Altos. The 20-city index is expanded to include Atlanta, Charlotte, Cleveland, Dallas, Detroit, Minneapolis, Phoenix, Portland, Seattle, and Tampa.)
The largest declines were in San Francisco (off 5.2 percent) and Las Vegas (off 5.2 percent) while southern cities Houston, Dallas, and Charlotte saw modest price increases of one percent or more for the quarter.
Asking prices went down in 14 of 23 markets during March, with Chicago reporting the largest drop in listing prices (off 3.9 percent.)
What's causing prices to drop are expanding inventories of homes for sale in all the composite cities. Chicago's listings for sale increased 12.3 percent.
At the same time, days on market improved with homes languishing 118 on average, down from 121 in February and 124 in January. The cities with the longest days on market were Miami and Detroit, both at 146 days. The fastest turnovers were in San Francisco (65 days on market) and Austin, Texas (67 days on market.)
What these figures suggest to me is that we're getting closer to a bottom.
Published in Realty Times April 4, 2008 Read the rest of the article at
http://realtytimes.com/rtpages/20080404_realtyviewpoint.htm
Locally, the number of sold single family homes year-to-date, January to March 31st is down 17% from 1Q last year. However, at the end of February it was down 20% suggesting the market is improving here in Central Ohio.
Currently there are 13,000 single family homes on the market and 2,900 condos listed in the Columbus Board of Realtors MLS system.
Showings have increased in the past 2 months and several lenders have indicated a higher number of new loans in process for buyers.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Monday, March 24, 2008
Drop in Interest Rates results in MORE Home Contracts
PRESS RELEASE
COLUMBUS BOARD OF REALTORS
MARCH 20, 2008
Drop in interest rate resulted in more home contracts last month
(March 20, 2008) The number of homes contracted for sale in February 2008 took a very positive turn, topping contracts written
during the previous three months as well as the same month last year according to the Columbus Board of REALTORS®.
“The drop in mortgage interest rates in late January generated immediate housing activity,” says Greg Hrabcak, President of the Columbus Board of REALTORS®. “Many buyers were waiting for the drop. Some used it to be able to afford their first home as the lower interest rates helped them to finally qualify for a home. Others jumped at the chance to move up to a larger home.”
See the entire article and statistics at
http://www.columbusrealtors.com/16341.cfm
HOME STAGING
The newest word in preparing a home for the market
What is “home staging”?
You have decorated and furnished your home for your particular needs and lifestyle. However, that décor may not have the broadest appeal to buyers looking at homes. In addition, you may have ignored some needed maintenance items. Addressing these will result in a quicker sale at a higher price.
If you are considering selling your home or have your home on the market, you should invite a “home staging” professional to review your home to make it more market appealing.
There is strong supporting evidence that “home staging” really works, especially in this very competitive “buyer’s market”.
Call me for the name of an outstanding “home staging” professional
Jim Lubinsky
Re/Max Affiliates
614-766-5330 ext 119
jimlubinsky.com
COLUMBUS BOARD OF REALTORS
MARCH 20, 2008
Drop in interest rate resulted in more home contracts last month
(March 20, 2008) The number of homes contracted for sale in February 2008 took a very positive turn, topping contracts written
during the previous three months as well as the same month last year according to the Columbus Board of REALTORS®.
“The drop in mortgage interest rates in late January generated immediate housing activity,” says Greg Hrabcak, President of the Columbus Board of REALTORS®. “Many buyers were waiting for the drop. Some used it to be able to afford their first home as the lower interest rates helped them to finally qualify for a home. Others jumped at the chance to move up to a larger home.”
See the entire article and statistics at
http://www.columbusrealtors.com/16341.cfm
HOME STAGING
The newest word in preparing a home for the market
What is “home staging”?
You have decorated and furnished your home for your particular needs and lifestyle. However, that décor may not have the broadest appeal to buyers looking at homes. In addition, you may have ignored some needed maintenance items. Addressing these will result in a quicker sale at a higher price.
If you are considering selling your home or have your home on the market, you should invite a “home staging” professional to review your home to make it more market appealing.
There is strong supporting evidence that “home staging” really works, especially in this very competitive “buyer’s market”.
Call me for the name of an outstanding “home staging” professional
Jim Lubinsky
Re/Max Affiliates
614-766-5330 ext 119
jimlubinsky.com
Thursday, March 13, 2008
Market Timing!
MARKET TIMING!
THE DOOR TO RICHES
If we had cashed out of the stock market last September we would have protected the $70,000 drop in portfolio value. How do we know when to get out? More importantly, how do we know when to get back in?
Stock markets move up very quickly. History shows that stock market prices move up faster than they fall. Timing the market is every investor’s dream. Few ever come close to succeeding. Can you predict the future?
The same is true of the real estate market. Opportunities abound right now to buy homes, offices space and more at greatly discounted prices compared to 2 years ago. Add to that, discounted loan interest rates and you have a rare opportunity to buy today.
First time buyers can benefit tremendously now! Also, current homeowners desiring to move to a larger home or better neighborhood have a tremendous opportunity. Homeowners might sell their current home for a little less than in prior years, but they can buy the next home for a lot less (example: you sell your $175,000 home at $10,000 less than you might 2 years ago and you buy $350,000 home at $20,000 less than you would have paid 2 years ago).
A well know Columbus real estate developer made his first fortune during the great depression by buying homes at half the previous values. A similar opportunity exists now. The opportunity window will close quickly when it starts to close. Take advantage now.
Current Columbus Ohio Real Estate Sales Stats
February 2008 2007 % change
Single family homes sold 1,244 1,378 -9.7%
Average sale price $167,590 $176,130 -4.8%
Days on market 117 116
Condominiums sold 190 245 -22.4%
Average sale price $146,200 $140,610 +4.0%
Days on market 144 132
Jim Lubinsky
Re/Max Affiliates
614-766-5330 ext 119
www.jimlubinsky.com
THE DOOR TO RICHES
If we had cashed out of the stock market last September we would have protected the $70,000 drop in portfolio value. How do we know when to get out? More importantly, how do we know when to get back in?
Stock markets move up very quickly. History shows that stock market prices move up faster than they fall. Timing the market is every investor’s dream. Few ever come close to succeeding. Can you predict the future?
The same is true of the real estate market. Opportunities abound right now to buy homes, offices space and more at greatly discounted prices compared to 2 years ago. Add to that, discounted loan interest rates and you have a rare opportunity to buy today.
First time buyers can benefit tremendously now! Also, current homeowners desiring to move to a larger home or better neighborhood have a tremendous opportunity. Homeowners might sell their current home for a little less than in prior years, but they can buy the next home for a lot less (example: you sell your $175,000 home at $10,000 less than you might 2 years ago and you buy $350,000 home at $20,000 less than you would have paid 2 years ago).
A well know Columbus real estate developer made his first fortune during the great depression by buying homes at half the previous values. A similar opportunity exists now. The opportunity window will close quickly when it starts to close. Take advantage now.
Current Columbus Ohio Real Estate Sales Stats
February 2008 2007 % change
Single family homes sold 1,244 1,378 -9.7%
Average sale price $167,590 $176,130 -4.8%
Days on market 117 116
Condominiums sold 190 245 -22.4%
Average sale price $146,200 $140,610 +4.0%
Days on market 144 132
Jim Lubinsky
Re/Max Affiliates
614-766-5330 ext 119
www.jimlubinsky.com
Thursday, January 31, 2008
Condo Insurance Questions
6 condo insurance questions
By Mark Terry • Bankrate.com
To state the obvious, a condominium is not the same thing as a house. Usually, there's no backyard or basement, and you don't have to worry about cutting the grass or shoveling a front walk.
Insurance is another area where homes and condos differ. Condo owners are typically responsible for insuring just a portion of their property on their own. However, rules differ from complex to complex, and it's important to ask the right questions to ensure you have proper insurance coverage.
Here are six things you need to know about insuring your condominium
6 questions about condo insurance
1.
What does your master policy say?
2.
How expensive is the association deductible?
3.
How much coverage is appropriate?
4.
Cash value or replacement cost coverage?
5.
Have you insured contents and structure?
6.
Are you covered for flood and wind damage?
Read the entire article at:
http://www.bankrate.com/brm/news/mortgages/20080121_condo_insurance_a1.asp?prodtype=mtg
Jim Lubinsky
Mary Williams
Re/Max Affiliates Realtors614-766-533
By Mark Terry • Bankrate.com
To state the obvious, a condominium is not the same thing as a house. Usually, there's no backyard or basement, and you don't have to worry about cutting the grass or shoveling a front walk.
Insurance is another area where homes and condos differ. Condo owners are typically responsible for insuring just a portion of their property on their own. However, rules differ from complex to complex, and it's important to ask the right questions to ensure you have proper insurance coverage.
Here are six things you need to know about insuring your condominium
6 questions about condo insurance
1.
What does your master policy say?
2.
How expensive is the association deductible?
3.
How much coverage is appropriate?
4.
Cash value or replacement cost coverage?
5.
Have you insured contents and structure?
6.
Are you covered for flood and wind damage?
Read the entire article at:
http://www.bankrate.com/brm/news/mortgages/20080121_condo_insurance_a1.asp?prodtype=mtg
Jim Lubinsky
Mary Williams
Re/Max Affiliates Realtors614-766-533
Wednesday, January 23, 2008
Trends in Home Decor and Finishes
What's In, What's Out with Home Buyers in 2008
by Mark Nash
What's in and out this year?
Mark Nash is a Chicago-based residential real estate author, broker and columnist. Mark's analysis, tips and trends are featured in national magazines, newspapers, on network and cable television. His annual year-end forecast; "What's In, What's Out with Homebuyers" is utilized by more than 500 news organizations in North America.
Want some fun and interesting reading about housing trends, visit:
http://realtytimes.com/rtpages/20080103_whatsinout.htm
Likely the most used material in Central Ohio homes today is granite. Most homebuyers have opted for granite counters in their kitchens. Ceramic tile has dropped to the wayside and been replaced with hardwood floors in kitchens and lighter wood finishes seem to dominate over the darker oaks of earlier days.
Considering doing some remodeling in 2008? You might want to consider checking on local trends. Certainly you want what appeals to your tastes and desires, but if you might sell in the next few years, your investment will return much higher if you stay with current trends.
Questions on home finishes and decorating trends? Give us a call.
Jim Lubinsky
Mary Williams
Re/Max Affiliates614-766-5330 ext 11
by Mark Nash
What's in and out this year?
Mark Nash is a Chicago-based residential real estate author, broker and columnist. Mark's analysis, tips and trends are featured in national magazines, newspapers, on network and cable television. His annual year-end forecast; "What's In, What's Out with Homebuyers" is utilized by more than 500 news organizations in North America.
Want some fun and interesting reading about housing trends, visit:
http://realtytimes.com/rtpages/20080103_whatsinout.htm
Likely the most used material in Central Ohio homes today is granite. Most homebuyers have opted for granite counters in their kitchens. Ceramic tile has dropped to the wayside and been replaced with hardwood floors in kitchens and lighter wood finishes seem to dominate over the darker oaks of earlier days.
Considering doing some remodeling in 2008? You might want to consider checking on local trends. Certainly you want what appeals to your tastes and desires, but if you might sell in the next few years, your investment will return much higher if you stay with current trends.
Questions on home finishes and decorating trends? Give us a call.
Jim Lubinsky
Mary Williams
Re/Max Affiliates614-766-5330 ext 11
Mortgage Rates Down to LOW LEVELS
Real Estate Outlook: Mortgage Rates Down to the Low Levels
by Kenneth R. Harney
Continuing declines in mortgage rates -- down to the lowest levels we've seen in nearly two years -- should be brightening the outlook for anyone interested in buying or selling real estate.
…… here's a smart strategy: Make the most of what we've got -- the lowest interest rates and home prices we've seen in years in most markets.
Recession or no recession, that should be a winning combination if you are serious about real estate.
Excerpt from Realty Times article
Published: January 17, 2008
Read the entire article at:
http://realtytimes.com/rtpages/20080117_realestateoutlook.htm
Columbus Ohio news release:
Third Federal today is offering 5.49% 30 year fixed rate January 17, 2008
The next few months is the perfect time to be buy. As activity accelerates in the late spring and early summer months, interest rates always move up and so do asking prices.
Investors and home buyers need to act now to take advantage of the perfect opportunity!!
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
by Kenneth R. Harney
Continuing declines in mortgage rates -- down to the lowest levels we've seen in nearly two years -- should be brightening the outlook for anyone interested in buying or selling real estate.
…… here's a smart strategy: Make the most of what we've got -- the lowest interest rates and home prices we've seen in years in most markets.
Recession or no recession, that should be a winning combination if you are serious about real estate.
Excerpt from Realty Times article
Published: January 17, 2008
Read the entire article at:
http://realtytimes.com/rtpages/20080117_realestateoutlook.htm
Columbus Ohio news release:
Third Federal today is offering 5.49% 30 year fixed rate January 17, 2008
The next few months is the perfect time to be buy. As activity accelerates in the late spring and early summer months, interest rates always move up and so do asking prices.
Investors and home buyers need to act now to take advantage of the perfect opportunity!!
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
Rates always HIGHER after the last FED CUT
Rates Always Higher After the Last Fed Cut
by David Reed
The trick is guessing which cut will be "the last one"!
Mortgage rates are tied to their respective mortgage bond, which are traded throughout the day.
Mortgage bonds ANTICIPATE Fed moves ... they don't REACT to them.
If the mortgage markets (and other securities) figure the Fed is through with cutting rates that means the economy is most likely on the mend.
A healing economy drives up demand for products and services. A healing economy can stir up inflation.
Future rate moves now mean rate increases. And mortgage rates will hinge not on the likelihood of a Fed move but whether inflation is on the horizon.
Read the entire article at Realty Times:
http://realtytimes.com/rtpages/20071214_ratehighercut.htm
Example:
On December 6, 2007 we saw 5.70% on 30 year fixed no points with Third Federal. Next day it moved to 5.75% then to 5.95% 3 days following. Third Federal was at 6.10% on December 14, 2007, one week later and after the Fed reduced rates Third Federal is my bellwether for interest rates.
Considering a purchase or refinance? Timing is everything in the interest rate game. Generally, no other influences involved, interest rates go lower during the winter months as demand for loans cools. If you are looking for that really favorable interest rate, the next few months might be the best period to purchase or refinance.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
by David Reed
The trick is guessing which cut will be "the last one"!
Mortgage rates are tied to their respective mortgage bond, which are traded throughout the day.
Mortgage bonds ANTICIPATE Fed moves ... they don't REACT to them.
If the mortgage markets (and other securities) figure the Fed is through with cutting rates that means the economy is most likely on the mend.
A healing economy drives up demand for products and services. A healing economy can stir up inflation.
Future rate moves now mean rate increases. And mortgage rates will hinge not on the likelihood of a Fed move but whether inflation is on the horizon.
Read the entire article at Realty Times:
http://realtytimes.com/rtpages/20071214_ratehighercut.htm
Example:
On December 6, 2007 we saw 5.70% on 30 year fixed no points with Third Federal. Next day it moved to 5.75% then to 5.95% 3 days following. Third Federal was at 6.10% on December 14, 2007, one week later and after the Fed reduced rates Third Federal is my bellwether for interest rates.
Considering a purchase or refinance? Timing is everything in the interest rate game. Generally, no other influences involved, interest rates go lower during the winter months as demand for loans cools. If you are looking for that really favorable interest rate, the next few months might be the best period to purchase or refinance.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
Investor OUTLOOK
Investor Outlook
by Kenneth R. Harney
If you're what's known as an "opportunity investor" in real estate, looks like your prime time may be now ... or very soon!
Economists say the next 12 to 18 months could be your best period since the early 1990s to pick up property at depressed prices -- discount diamonds in the rough and turnaround situations.
That's because the real estate downcycle is close to running its course in many local markets……………
Read the entire article at:
http://realtytimes.com/rtpages/20071129_investoroutlook.htm
Considering a real estate purchase in the next 6 months and want to get a great deal on distressed property?
Here is a key strategy to ponder:
Some buyers consider sheriff auctions. Unless you are a seasoned investor buying multiple properties and can afford to sometimes loose, avoid this avenue.
Instead, consider this approach: banks are buying back their collateral at the sheriff auctions in hopes in increasing the price and reselling. Find those properties. You can negotiate, you can include inspection contingencies (no contingencies on Sheriff’s auction properties) and a patient buyer can buy below the auction price.
Real life examples: US Bank bought back at Sheriff auction at $130,000 in August and is currently asking $124,900 in Westerville; Countrywide bought back at Sheriff’s auction $249,965 in August currently in contract for $225,000 in Powell.
The big difference between the current real estate market and past depressed markets is that – interest rates are very low and money very available – not true during past downturn markets. This is great news for investors and those looking for a place to live.
Want to know more?? Email or call us.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
by Kenneth R. Harney
If you're what's known as an "opportunity investor" in real estate, looks like your prime time may be now ... or very soon!
Economists say the next 12 to 18 months could be your best period since the early 1990s to pick up property at depressed prices -- discount diamonds in the rough and turnaround situations.
That's because the real estate downcycle is close to running its course in many local markets……………
Read the entire article at:
http://realtytimes.com/rtpages/20071129_investoroutlook.htm
Considering a real estate purchase in the next 6 months and want to get a great deal on distressed property?
Here is a key strategy to ponder:
Some buyers consider sheriff auctions. Unless you are a seasoned investor buying multiple properties and can afford to sometimes loose, avoid this avenue.
Instead, consider this approach: banks are buying back their collateral at the sheriff auctions in hopes in increasing the price and reselling. Find those properties. You can negotiate, you can include inspection contingencies (no contingencies on Sheriff’s auction properties) and a patient buyer can buy below the auction price.
Real life examples: US Bank bought back at Sheriff auction at $130,000 in August and is currently asking $124,900 in Westerville; Countrywide bought back at Sheriff’s auction $249,965 in August currently in contract for $225,000 in Powell.
The big difference between the current real estate market and past depressed markets is that – interest rates are very low and money very available – not true during past downturn markets. This is great news for investors and those looking for a place to live.
Want to know more?? Email or call us.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
Water Leak Causes $50,000 Damage
WATER LEAK CAUSES $50,000 DAMAGE
A homeowner traveling in Europe came home to $50,000 water damage from a broken pipe. Luckily the neighbor discovered the problem when noticing ice forming on the driveway in front of the garage door and stopped it before more damage occurred.
If you are away from home for more than 1 full day, turn off the main water supply and turn down the water heater thermostat to “vacation” or “off”.
Another client lost $25,000 due to water leak damages not covered by insurance. The insurance policy contained an exclusion “water damage to a vacant property”. Mom passed away and the house was not occupied. The claim was denied.
If you know anyone with a vacant home, have them check with their insurance company for exclusions in coverage and most of all, insist they TURN OFF THE WATER.
STATE OF REAL ESTATE TODAY IN COLUMBUS OHIO
As of November 15, 2007 source: Columbus Board of Realtors MLS data
Number of homes sold year to date is down 9.8% compared to 2006 single family homes sold.
Number of homes sold in October (represents contracts written in August/September) is down 13.8% on single family homes
Good news is that HOMES ARE SELLING and a rate that is still well above 1990’s levels. People are moving, changing jobs, getting married, etc and need homes.
Call us to discuss strategies to sell your home and to buy your next home. There are several new strategies to employ in today’s changing marketplace. You need to have the most up-to-date approaches in your arsenal.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
A homeowner traveling in Europe came home to $50,000 water damage from a broken pipe. Luckily the neighbor discovered the problem when noticing ice forming on the driveway in front of the garage door and stopped it before more damage occurred.
If you are away from home for more than 1 full day, turn off the main water supply and turn down the water heater thermostat to “vacation” or “off”.
Another client lost $25,000 due to water leak damages not covered by insurance. The insurance policy contained an exclusion “water damage to a vacant property”. Mom passed away and the house was not occupied. The claim was denied.
If you know anyone with a vacant home, have them check with their insurance company for exclusions in coverage and most of all, insist they TURN OFF THE WATER.
STATE OF REAL ESTATE TODAY IN COLUMBUS OHIO
As of November 15, 2007 source: Columbus Board of Realtors MLS data
Number of homes sold year to date is down 9.8% compared to 2006 single family homes sold.
Number of homes sold in October (represents contracts written in August/September) is down 13.8% on single family homes
Good news is that HOMES ARE SELLING and a rate that is still well above 1990’s levels. People are moving, changing jobs, getting married, etc and need homes.
Call us to discuss strategies to sell your home and to buy your next home. There are several new strategies to employ in today’s changing marketplace. You need to have the most up-to-date approaches in your arsenal.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
Buying a Home Isn't Stupid!
Buying A Home Isn't Stupid, Says NARby Blanche Evans
The National Association of Realtors has had its share of battles this year, but none is more frustrating than the national media telling homebuyers that investing in a home is a stupid idea.
First, they keep trying to make real estate into a national market, and then they treat the approximately 2 percent loss in housing prices for 2007 like the Crash of 1929.
From the Housing Bubble to the Mortgage Meltdown, the press has been relentless, even though most people have lost more money on their SUV's and their stock portfolio than their homes this year.
Stocks and houses aren't the same. Over 10 years, a $10,000 investment in the stock market at a normal 10 percent market rate of return would yield nearly $24,000. The same investment as a down payment on a $200,000 home at a normal appreciation rate of 5 percent would return nearly 5 times the stock market return, or over $110,000.
Read the entire article at:
http://realtytimes.com/rtapages/20071120_buyinghome.htm
As of November 20, 2007 the 30 year fixed interest rate for owner occupied homes is 6-6.25%. It is a GREAT time to buy a home.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
The National Association of Realtors has had its share of battles this year, but none is more frustrating than the national media telling homebuyers that investing in a home is a stupid idea.
First, they keep trying to make real estate into a national market, and then they treat the approximately 2 percent loss in housing prices for 2007 like the Crash of 1929.
From the Housing Bubble to the Mortgage Meltdown, the press has been relentless, even though most people have lost more money on their SUV's and their stock portfolio than their homes this year.
Stocks and houses aren't the same. Over 10 years, a $10,000 investment in the stock market at a normal 10 percent market rate of return would yield nearly $24,000. The same investment as a down payment on a $200,000 home at a normal appreciation rate of 5 percent would return nearly 5 times the stock market return, or over $110,000.
Read the entire article at:
http://realtytimes.com/rtapages/20071120_buyinghome.htm
As of November 20, 2007 the 30 year fixed interest rate for owner occupied homes is 6-6.25%. It is a GREAT time to buy a home.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
Bankrupt Broker Listings SOLD
Who's In Your Pocket Now? The Foxtons' Bankruptcyby Blanche Evans
After blowing through approximately $62 million in private investors' money, plus another $40 million from Foxtons' CEO Jon Hunt, New Jersey-based "full-service discount" broker Foxtons North America declared bankruptcy on October 5, 2007. Foxtons' sellers who were still under contract were threatened with lawsuits by the company if they canceled their listings. Then, they were stuck with no service until a hearing on October 27, when a federal bankruptcy judge sold them like slaves to other brokers.
Read the entire article at:
http://realtytimes.com/html/ad-msoffice.htm
There have been many discount brokerages over the years that opened in Central Ohio only to fold and cease to exist shortly thereafter. A court has now ruled that the listings belonging to a bankrupt brokerage are assets to be sold on the open market, regardless of the lack of service to or the complaints from the home sellers.
If you or someone you know are planning to sell your property, choose the brokerage and agent based on time in the business and experience not based on the real estate service fee.
Re/Max Affiliates has been operating since 1985 and I have 18 years in real estate sales, including the difficult to achieve certifications of “certified residential specialist” and “certified relocation professional”. You and your friends will greatly benefit by having a trained professional on your side.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
After blowing through approximately $62 million in private investors' money, plus another $40 million from Foxtons' CEO Jon Hunt, New Jersey-based "full-service discount" broker Foxtons North America declared bankruptcy on October 5, 2007. Foxtons' sellers who were still under contract were threatened with lawsuits by the company if they canceled their listings. Then, they were stuck with no service until a hearing on October 27, when a federal bankruptcy judge sold them like slaves to other brokers.
Read the entire article at:
http://realtytimes.com/html/ad-msoffice.htm
There have been many discount brokerages over the years that opened in Central Ohio only to fold and cease to exist shortly thereafter. A court has now ruled that the listings belonging to a bankrupt brokerage are assets to be sold on the open market, regardless of the lack of service to or the complaints from the home sellers.
If you or someone you know are planning to sell your property, choose the brokerage and agent based on time in the business and experience not based on the real estate service fee.
Re/Max Affiliates has been operating since 1985 and I have 18 years in real estate sales, including the difficult to achieve certifications of “certified residential specialist” and “certified relocation professional”. You and your friends will greatly benefit by having a trained professional on your side.
Jim Lubinsky
Mary Williams
Re/Max Affiliates
614-766-5330 ext 119
ARM Mortgages
ARM Mortgages Adjusting 2007 / 2008
Buyers in 2002 and 2003 Take Note
A large portion of the 5/1 ARM loans were made during 2002 and 2003 when the interest rate spread between 30 year fixed and ARM loans was significant. ARM stands for “adjustable rate mortgage”.
The 5/1 ARM is a fixed interest rate for 5 years then becomes an annually adjusting loan based on some index and margin. Many buyers signed up for this loan in the past several years.
If you or someone you know has an ARM loan, this might be a good time to examine the options. Pass this email along to anyone you know who may have an ARM.
There are several options to taking the best advantage of an ARM loan: sell the property and payoff the loan, move to another home; do nothing and allow the ARM to renew at a new interest rate; refinance to a new loan either another ARM or a fixed rate loan; convert the ARM to a fixed rate loan (an option some lenders have built into their loan).
Now may be the ideal time to review your ARM and make some decisions. If your ARM is up for renewal and a possible rate change within the next 12 months, you should evaluate your options now for a possible refinance or conversion, assuming you are not considering a move in the next 12 months.
Let us help you sort through the options and make the best choice for yourself in this maze of options available.
Jim Lubinsky, Mary Williams
Re/Max Affiliates614-766-5330 e
Buyers in 2002 and 2003 Take Note
A large portion of the 5/1 ARM loans were made during 2002 and 2003 when the interest rate spread between 30 year fixed and ARM loans was significant. ARM stands for “adjustable rate mortgage”.
The 5/1 ARM is a fixed interest rate for 5 years then becomes an annually adjusting loan based on some index and margin. Many buyers signed up for this loan in the past several years.
If you or someone you know has an ARM loan, this might be a good time to examine the options. Pass this email along to anyone you know who may have an ARM.
There are several options to taking the best advantage of an ARM loan: sell the property and payoff the loan, move to another home; do nothing and allow the ARM to renew at a new interest rate; refinance to a new loan either another ARM or a fixed rate loan; convert the ARM to a fixed rate loan (an option some lenders have built into their loan).
Now may be the ideal time to review your ARM and make some decisions. If your ARM is up for renewal and a possible rate change within the next 12 months, you should evaluate your options now for a possible refinance or conversion, assuming you are not considering a move in the next 12 months.
Let us help you sort through the options and make the best choice for yourself in this maze of options available.
Jim Lubinsky, Mary Williams
Re/Max Affiliates614-766-5330 e
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