Friday, December 31, 2010
Tuesday, December 21, 2010
Friday, December 10, 2010
Tuesday, December 7, 2010
Monday, November 29, 2010
Monday, November 22, 2010
Taking the Stress Out of the Home-Buying Process
Taking the Stress Out of the Home-Buying Process
By Paige Tepping
RISMEDIA, November 20, 2010--For many prospective buyers, the thought of going through the home-buying process is often filled with a lot of stress. From finding a qualified real estate agent, to narrowing down your choice of homes and then packing your belongings and moving across town can be an overwhelming process.
OpenSkyRealEstate.com offers the following tips to help you keep your cool as you begin the process of a buying a home.
-Buying a home is one of the biggest financial decisions you will make in your lifetime, and along with the finances come emotions. When you are choosing a real estate agent to work with, be patient and take the time you need to find an agent that you connect with. Finding a highly-skilled agent who fits with your personality is crucial.
-Every home buyer and seller is in a different situation, so it is important that you don’t compare your timeline and decisions to anyone else’s. As you make your way through the home buying process, remember that there is no right time to buy, just as there is no perfect time to sell. If you find a home that fits your needs, don’t let it slip out of your hands by waiting for interest rates to drop lower as you run the chance of losing out on the home of your dreams.
-It is natural to want to get opinions from those you trust before you make your final choice, but too much input will ultimately make the decision process much harder. Remember to focus on what your immediate wants and needs are so that everyone will be happy with the final decision.
-You probably aren’t going to find a home that is 100% perfect, so it is important to make a list that includes your top priorities that you can’t live without. Be sure to stick to the items on your list and let go of the minor things.
-Negotiation is an important part of the real estate buying process, but be sure you don’t take your negotiating too far. Trying to get an extra-low price or refusing to budge on your offer may cost you the home in the end. Successful negotiation depends on give and take, so make sure you are being fair in your requests.
-Don’t get too caught up in all the physical aspects of a home and forget about the more important issues. While the size of the rooms and the layout of the kitchen might not be exactly what you expected, be cognizant of issues such as noise level, location to amenities and other aspects that will have an impact on your day-to-day life.
-Getting approved for a mortgage should be taken care of well before you find a home and make an offer.
-Create a budget before you move into your new home and be sure to include maintenance and repair costs. Even if you buy a new home, there will be extra costs, so it is important to not come up short and let your new home deteriorate.
-After purchasing a home, a little buyer’s remorse is inevitable, but it will pass. Buying a home is a big financial commitment, but it also yields big benefits. If you are feeling remorseful after buying your home, remind yourself why you wanted to buy a home and what made you fall in love with your new property.
-When choosing a home, buy it because you love it. A home’s most important role is to serve as a comfortable, safe place to live, so don’t get bogged down with thinking about your home’s appreciation.
By Paige Tepping
RISMEDIA, November 20, 2010--For many prospective buyers, the thought of going through the home-buying process is often filled with a lot of stress. From finding a qualified real estate agent, to narrowing down your choice of homes and then packing your belongings and moving across town can be an overwhelming process.
OpenSkyRealEstate.com offers the following tips to help you keep your cool as you begin the process of a buying a home.
-Buying a home is one of the biggest financial decisions you will make in your lifetime, and along with the finances come emotions. When you are choosing a real estate agent to work with, be patient and take the time you need to find an agent that you connect with. Finding a highly-skilled agent who fits with your personality is crucial.
-Every home buyer and seller is in a different situation, so it is important that you don’t compare your timeline and decisions to anyone else’s. As you make your way through the home buying process, remember that there is no right time to buy, just as there is no perfect time to sell. If you find a home that fits your needs, don’t let it slip out of your hands by waiting for interest rates to drop lower as you run the chance of losing out on the home of your dreams.
-It is natural to want to get opinions from those you trust before you make your final choice, but too much input will ultimately make the decision process much harder. Remember to focus on what your immediate wants and needs are so that everyone will be happy with the final decision.
-You probably aren’t going to find a home that is 100% perfect, so it is important to make a list that includes your top priorities that you can’t live without. Be sure to stick to the items on your list and let go of the minor things.
-Negotiation is an important part of the real estate buying process, but be sure you don’t take your negotiating too far. Trying to get an extra-low price or refusing to budge on your offer may cost you the home in the end. Successful negotiation depends on give and take, so make sure you are being fair in your requests.
-Don’t get too caught up in all the physical aspects of a home and forget about the more important issues. While the size of the rooms and the layout of the kitchen might not be exactly what you expected, be cognizant of issues such as noise level, location to amenities and other aspects that will have an impact on your day-to-day life.
-Getting approved for a mortgage should be taken care of well before you find a home and make an offer.
-Create a budget before you move into your new home and be sure to include maintenance and repair costs. Even if you buy a new home, there will be extra costs, so it is important to not come up short and let your new home deteriorate.
-After purchasing a home, a little buyer’s remorse is inevitable, but it will pass. Buying a home is a big financial commitment, but it also yields big benefits. If you are feeling remorseful after buying your home, remind yourself why you wanted to buy a home and what made you fall in love with your new property.
-When choosing a home, buy it because you love it. A home’s most important role is to serve as a comfortable, safe place to live, so don’t get bogged down with thinking about your home’s appreciation.
Pay Off Debt Before Saving for Retirement
Pay Off Debt Before Saving for Retirement
By Claudia Buck
RISMEDIA, November 20, 2010--(MCT)--Hard times elicit tough choices. This week, Steven Zeller, a Gold River, Calif.-based investment adviser, tackles a reader's question on credit card debt and mortgage loans.
QUESTION: I've entered into a hardship payment program with the six banks that issued my 10 credit cards. I'm paying off $80,000 at an overall interest rate of 6 percent (down from an average of 20 percent). Due to the reduced payments, I now have $3,000 in monthly surplus income to either invest with, or pay down the credit cards.
I also have an upside-down mortgage on a rental house owned as income property. The bank seems (unwilling) to either modify or reduce the principal so I can sell it.
In time, this will all find its way into (Chapter 11 bankruptcy) courts. Life would be simpler if I pay down the credit cards and concentrate on (getting) the house above water. Instead, I've decided to invest the surplus in ERISA retirement vehicles and Roth IRAs. They would be exempt from collections but available as bargaining chips when negotiating with creditors. What is your opinion?
ANSWER: I would not encourage anyone to go into bankruptcy proceedings if he or she can help it. It creates a lot of stress and is not the best for your self-esteem.
If you have 10 credit cards to pay off, 6 percent is a pretty good deal instead of 20 percent.
I would begin paying off the credit cards, starting with the smallest one first, until they are all gone for good.
It may be painful at first, but you will increase your cash flow over time by (eliminating) the monthly payments.
Then I would attack the upside-down situation with your rental. In the long run, it is better, financially and emotionally, to be debt-free. And if the (credit card issuers) are giving you that opportunity, I would jump on it.
It would be a great personal and moral accomplishment.
At the end of the day, if you pay into an IRA and Roth IRA instead of paying down your credit card debt, you will still have debt. As far as negotiating with the (lender) on your rental property, I'm not sure it would look at the situation very positively if it saw you were fully funding your IRAs.
(c) 2010, The Sacramento Bee (Sacramento, Calif.).
Distributed by McClatchy-Tribune Information Services.
By Claudia Buck
RISMEDIA, November 20, 2010--(MCT)--Hard times elicit tough choices. This week, Steven Zeller, a Gold River, Calif.-based investment adviser, tackles a reader's question on credit card debt and mortgage loans.
QUESTION: I've entered into a hardship payment program with the six banks that issued my 10 credit cards. I'm paying off $80,000 at an overall interest rate of 6 percent (down from an average of 20 percent). Due to the reduced payments, I now have $3,000 in monthly surplus income to either invest with, or pay down the credit cards.
I also have an upside-down mortgage on a rental house owned as income property. The bank seems (unwilling) to either modify or reduce the principal so I can sell it.
In time, this will all find its way into (Chapter 11 bankruptcy) courts. Life would be simpler if I pay down the credit cards and concentrate on (getting) the house above water. Instead, I've decided to invest the surplus in ERISA retirement vehicles and Roth IRAs. They would be exempt from collections but available as bargaining chips when negotiating with creditors. What is your opinion?
ANSWER: I would not encourage anyone to go into bankruptcy proceedings if he or she can help it. It creates a lot of stress and is not the best for your self-esteem.
If you have 10 credit cards to pay off, 6 percent is a pretty good deal instead of 20 percent.
I would begin paying off the credit cards, starting with the smallest one first, until they are all gone for good.
It may be painful at first, but you will increase your cash flow over time by (eliminating) the monthly payments.
Then I would attack the upside-down situation with your rental. In the long run, it is better, financially and emotionally, to be debt-free. And if the (credit card issuers) are giving you that opportunity, I would jump on it.
It would be a great personal and moral accomplishment.
At the end of the day, if you pay into an IRA and Roth IRA instead of paying down your credit card debt, you will still have debt. As far as negotiating with the (lender) on your rental property, I'm not sure it would look at the situation very positively if it saw you were fully funding your IRAs.
(c) 2010, The Sacramento Bee (Sacramento, Calif.).
Distributed by McClatchy-Tribune Information Services.
How to Be the Expert in Tough Times
How to Be the Expert in Tough Times
By Margaret Kelly
RISMEDIA, November 22, 2010—With the bulk of the subprime mortgage resets behind us, it may seem that the only direction to move is straight up toward recovery. Projections through 2012, however, show two more waves of resets on more than $1 trillion in Alt-A and Option ARM mortgages.
Many owners of these properties may face foreclosure, as did subprime borrowers. This means the current shadow inventory is expected to remain at record levels. NAR estimates that there are 2.7 million delinquencies (90 days or more), foreclosures and REOs that have yet to reach the market. Absorption of these properties could take several years in some major markets.
It’s in everyone’s best interest—including the banks’—to release shadow properties onto the market in stages. Until the backlog is cleared, however, the housing market will continue to recover slowly. You can expect to see the market conditions you’re seeing today for the next few years. In the meantime, the real estate professionals who will succeed are the ones who are committed to being the experts in the tough times, too.
Move Out of the Shadows
If digging your heels in against entering the distressed property market seems more and more like a bad idea, it’s not too late to become an expert. Consider earning the Certified Distressed Property Expert (CDPE) designation, NAR’s Short Sales and Foreclosure Resource (SFR) certification, and the Five Star Institute’s Short Sale and REO certifications. Agents who have earned these credentials report a significant impact on their businesses.
Focus on Pricing with Sellers
The release of shadow inventory typically puts a strain on home prices, and can create a clogged pipeline of homes on the market. Pricing homes competitively is one of the simplest ways to buck that trend and stimulate demand among all types of buyers, including first-timers, repeat buyers and investors.
Make Buyers Aware
Although any of us would prefer this slump be behind us, there are positives in the market for qualified buyers. With interest rates so low and prices extremely competitive, there are opportunities for some buyers to find deals on previously unobtainable properties. Investors, in particular, will play a larger and larger role in moving inventory. It’s smart to reach out to all categories of buyers.
There is some good news in all this. By the end of 2012, the bulk of Alt-A and Option ARM resets will also be behind us. With no guarantees on how long it will take to re-establish balance in the market, it’s important in the short- and long-term that you’re prepared to face this challenging inventory head-on.
Margaret Kelly, CRB, is chief executive officer of RE/MAX LLC
By Margaret Kelly
RISMEDIA, November 22, 2010—With the bulk of the subprime mortgage resets behind us, it may seem that the only direction to move is straight up toward recovery. Projections through 2012, however, show two more waves of resets on more than $1 trillion in Alt-A and Option ARM mortgages.
Many owners of these properties may face foreclosure, as did subprime borrowers. This means the current shadow inventory is expected to remain at record levels. NAR estimates that there are 2.7 million delinquencies (90 days or more), foreclosures and REOs that have yet to reach the market. Absorption of these properties could take several years in some major markets.
It’s in everyone’s best interest—including the banks’—to release shadow properties onto the market in stages. Until the backlog is cleared, however, the housing market will continue to recover slowly. You can expect to see the market conditions you’re seeing today for the next few years. In the meantime, the real estate professionals who will succeed are the ones who are committed to being the experts in the tough times, too.
Move Out of the Shadows
If digging your heels in against entering the distressed property market seems more and more like a bad idea, it’s not too late to become an expert. Consider earning the Certified Distressed Property Expert (CDPE) designation, NAR’s Short Sales and Foreclosure Resource (SFR) certification, and the Five Star Institute’s Short Sale and REO certifications. Agents who have earned these credentials report a significant impact on their businesses.
Focus on Pricing with Sellers
The release of shadow inventory typically puts a strain on home prices, and can create a clogged pipeline of homes on the market. Pricing homes competitively is one of the simplest ways to buck that trend and stimulate demand among all types of buyers, including first-timers, repeat buyers and investors.
Make Buyers Aware
Although any of us would prefer this slump be behind us, there are positives in the market for qualified buyers. With interest rates so low and prices extremely competitive, there are opportunities for some buyers to find deals on previously unobtainable properties. Investors, in particular, will play a larger and larger role in moving inventory. It’s smart to reach out to all categories of buyers.
There is some good news in all this. By the end of 2012, the bulk of Alt-A and Option ARM resets will also be behind us. With no guarantees on how long it will take to re-establish balance in the market, it’s important in the short- and long-term that you’re prepared to face this challenging inventory head-on.
Margaret Kelly, CRB, is chief executive officer of RE/MAX LLC
Friday, November 19, 2010
Report: More Time from Mortgage Application to Closing Drives Decline in Customer Satisfaction
Report: More Time from Mortgage Application to Closing Drives Decline in Customer Satisfaction
RISMEDIA, November 19, 2010—Driven by an increase in length of time from application to approval, the average timeline of the mortgage origination process has increased for a third consecutive year, while customer satisfaction has declined, according to the J.D. Power and Associates 2010 U.S. Primary Mortgage Origination Satisfaction Study released.
The study, based on the voice of the customer, measures customer satisfaction in four key factors of the mortgage origination experience: application/approval process; loan officer/mortgage broker; closing; and contact.
The study finds that the time from application to approval has increased to 27.5 days in 2010 from 20 days in 2009. As a result, the time frame for the entire origination process has increased to 52.1 days in 2010 from 46.9 days in 2009. Consequently, overall satisfaction has decreased to 734 (on a 1,000-point scale) in 2010 from 739 in 2009.
"While the revised Real Estate Settlement Procedures Act guidelines appear to have streamlined and shortened the time from approval to closing, the unintended consequence is that the application-to-approval time frame has lengthened and become more complicated," said David Lo, director of financial services at J.D. Power and Associates. "Ultimately, this longer timeline has a negative impact on overall satisfaction, although there are specific best practices that may mitigate the negative perceptions."
The study finds that the most important best practices, which are most closely associated with high levels of satisfaction, are:
• Providing proactive updates on the status of the loan
• Providing a welcome acknowledgment after an application is submitted
• Avoiding asking for the same information more than once
• Closing on the promised date
• Clearly explaining loan options and ensuring that the customer understands
• Clearly explaining the entire process from application to approval
The study also finds that usage of the online application channel continues to increase. Nearly 20 percent of customers now go online to start the mortgage application process, up from 14 percent in 2009. In comparison, only 29 percent of customers start the mortgage application process in person, while 33 percent did so in 2009. In addition, fewer customers this year say that they met with their loan officer or mortgage broker in person during the mortgage origination process -- 50 percent, compared with 57 percent in 2009.
"Customer preference and, more importantly, perceptions, continue to increase with the online direct channel," said Lo. "Online lenders do a very good job of keeping their customers informed of the process every step of the way by providing periodic status updates and information pertaining to their loan."
The 2010 U.S. Primary Mortgage Origination Satisfaction Study is based on responses from 3,401 consumers who originated new mortgages. The study was fielded between July and August 2010.
RISMEDIA, November 19, 2010—Driven by an increase in length of time from application to approval, the average timeline of the mortgage origination process has increased for a third consecutive year, while customer satisfaction has declined, according to the J.D. Power and Associates 2010 U.S. Primary Mortgage Origination Satisfaction Study released.
The study, based on the voice of the customer, measures customer satisfaction in four key factors of the mortgage origination experience: application/approval process; loan officer/mortgage broker; closing; and contact.
The study finds that the time from application to approval has increased to 27.5 days in 2010 from 20 days in 2009. As a result, the time frame for the entire origination process has increased to 52.1 days in 2010 from 46.9 days in 2009. Consequently, overall satisfaction has decreased to 734 (on a 1,000-point scale) in 2010 from 739 in 2009.
"While the revised Real Estate Settlement Procedures Act guidelines appear to have streamlined and shortened the time from approval to closing, the unintended consequence is that the application-to-approval time frame has lengthened and become more complicated," said David Lo, director of financial services at J.D. Power and Associates. "Ultimately, this longer timeline has a negative impact on overall satisfaction, although there are specific best practices that may mitigate the negative perceptions."
The study finds that the most important best practices, which are most closely associated with high levels of satisfaction, are:
• Providing proactive updates on the status of the loan
• Providing a welcome acknowledgment after an application is submitted
• Avoiding asking for the same information more than once
• Closing on the promised date
• Clearly explaining loan options and ensuring that the customer understands
• Clearly explaining the entire process from application to approval
The study also finds that usage of the online application channel continues to increase. Nearly 20 percent of customers now go online to start the mortgage application process, up from 14 percent in 2009. In comparison, only 29 percent of customers start the mortgage application process in person, while 33 percent did so in 2009. In addition, fewer customers this year say that they met with their loan officer or mortgage broker in person during the mortgage origination process -- 50 percent, compared with 57 percent in 2009.
"Customer preference and, more importantly, perceptions, continue to increase with the online direct channel," said Lo. "Online lenders do a very good job of keeping their customers informed of the process every step of the way by providing periodic status updates and information pertaining to their loan."
The 2010 U.S. Primary Mortgage Origination Satisfaction Study is based on responses from 3,401 consumers who originated new mortgages. The study was fielded between July and August 2010.
Bankrate: Mortgage Rates Rise Significantly
Bankrate: Mortgage Rates Rise Significantly
RISMEDIA, November 19, 2010—Mortgage rates increased again this week, with the average conforming 30-year fixed mortgage rate now 4.62 percent, according to Bankrate.com's weekly national survey. The average 30-year fixed mortgage has an average of 0.37 discount and origination points.
To see mortgage rates in your area, go to http://www.bankrate.com/funnel/mortgages/.
The average 15-year fixed mortgage increased to 4.02 percent, and the larger jumbo 30-year fixed rate soared as well to 5.24 percent. Adjustable rate mortgages also climbed higher, with the average 5-year ARM inching higher to 3.71 percent and the average 7-year ARM rising to 4.01 percent.
Mortgage rates jumped significantly this week, posting a second consecutive weekly increase since the Federal Reserve announced renewed measures to boost the economy. Worries that the Fed's quantitative easing program will spark higher inflation, coupled with stronger economic data on retail sales and weekly unemployment filings fueled the latest increase. Although mortgage rates have increased, they remain extremely low in a historical context and will not be an impediment to well-qualified borrowers for the foreseeable future.
The last time mortgage rates were above 6 percent was November 2008. At that time, the average rate was 6.33 percent, meaning a $200,000 loan would have carried a monthly payment of $1,241.86. With the average rate now 4.62 percent, the monthly payment for the same size loan would be $1,027.68, a savings of $214 per month for a homeowner refinancing now.
RISMEDIA, November 19, 2010—Mortgage rates increased again this week, with the average conforming 30-year fixed mortgage rate now 4.62 percent, according to Bankrate.com's weekly national survey. The average 30-year fixed mortgage has an average of 0.37 discount and origination points.
To see mortgage rates in your area, go to http://www.bankrate.com/funnel/mortgages/.
The average 15-year fixed mortgage increased to 4.02 percent, and the larger jumbo 30-year fixed rate soared as well to 5.24 percent. Adjustable rate mortgages also climbed higher, with the average 5-year ARM inching higher to 3.71 percent and the average 7-year ARM rising to 4.01 percent.
Mortgage rates jumped significantly this week, posting a second consecutive weekly increase since the Federal Reserve announced renewed measures to boost the economy. Worries that the Fed's quantitative easing program will spark higher inflation, coupled with stronger economic data on retail sales and weekly unemployment filings fueled the latest increase. Although mortgage rates have increased, they remain extremely low in a historical context and will not be an impediment to well-qualified borrowers for the foreseeable future.
The last time mortgage rates were above 6 percent was November 2008. At that time, the average rate was 6.33 percent, meaning a $200,000 loan would have carried a monthly payment of $1,241.86. With the average rate now 4.62 percent, the monthly payment for the same size loan would be $1,027.68, a savings of $214 per month for a homeowner refinancing now.
Thursday, November 18, 2010
Stay Warm and Save This Winter
Stay Warm and Save This Winter
By Stephanie Andre
RISMEDIA, November 18, 2010—The cold weather will be here (if not, already) before you know it. And with it comes the likelihood of rising heating bills and drafty windows, doorways and spaces.
To help you make your home more energy-efficient this year, here are some tips from ComEd:
• Have home heating systems cleaned and inspected by a professional each year to ensure safety and optimum efficiency. Be sure to change the filter prior to the heating season, and check its condition monthly.
• Inspect the caulking and weather-stripping around all windows, doors and any openings for utility services. Replace caulking and weather-stripping as necessary. A drafty house lets warm air escape and is much more costly to keep warm.
• Remove window air conditioners if possible, or install an air conditioner cover to eliminate drafts.
• Keep fireplace dampers closed tightly when not in use.
• Reverse the rotation of ceiling fan blades. During the winter, blades should spin so the warm air that has risen can be re-distributed around the room.
• Switch to more energy-efficient lighting, such as CFLs (compact fluorescent light bulbs), which use about 75 percent less energy than standard incandescent bulbs and last up to 10 times longer.
By Stephanie Andre
RISMEDIA, November 18, 2010—The cold weather will be here (if not, already) before you know it. And with it comes the likelihood of rising heating bills and drafty windows, doorways and spaces.
To help you make your home more energy-efficient this year, here are some tips from ComEd:
• Have home heating systems cleaned and inspected by a professional each year to ensure safety and optimum efficiency. Be sure to change the filter prior to the heating season, and check its condition monthly.
• Inspect the caulking and weather-stripping around all windows, doors and any openings for utility services. Replace caulking and weather-stripping as necessary. A drafty house lets warm air escape and is much more costly to keep warm.
• Remove window air conditioners if possible, or install an air conditioner cover to eliminate drafts.
• Keep fireplace dampers closed tightly when not in use.
• Reverse the rotation of ceiling fan blades. During the winter, blades should spin so the warm air that has risen can be re-distributed around the room.
• Switch to more energy-efficient lighting, such as CFLs (compact fluorescent light bulbs), which use about 75 percent less energy than standard incandescent bulbs and last up to 10 times longer.
17 Ideas for Marketing Listings
17 Ideas for Marketing Your Listings
By Darryl Davis
RISMEDIA, November 18, 2010—Yesterday, we discussed five concepts to help you get your listings sold. Today, we’ll focus on the keys to marketing those listings. Here are tips and techniques that every Realtor can use:
Hold broker open houses. If selling the agents means getting more buyers, then a brokers’ open house is one of the best tools to use. You should look at it as an opportunity to introduce the product. It ideally should be done in the first one to two weeks that a house goes to multiple listing.
It might take some time to build the reputation and to get a good turnout, but eventually it will happen. Make the open house something special – more of a party or an event. Promote it by making fliers or sending faxes. It’s also a great vehicle for promoting listings that are not getting a lot of activity.
At the open house, distribute opinion sheets. The most important question on the sheet is, “What price do you think the house is going to sell for?” After the open house, sit down with the seller and go through the sheets to find out what most agents think. Then, you can give the option to the sellers to adjust the price accordingly so that you’ll get the activity that’s needed, or leave the price as is and hope you’ll get the activity.
Also, attend other agents’ open houses as well, because you want the same support from them.
Hold public open houses. These are time consuming, but the major plus is that it promotes you and highlights your listing. It shows the seller you’re servicing them and most importantly, you’ll get listing leads.
Showcase your listings. Run a larger-than-usual ad in a local paper, and instead of promoting a public open house on just one listing, promote four to six at a time. Put all the information about these houses into the ad and announce open houses that one weekend.
“Just listed” letters. These can be like “just sold” cards. They are highly effective and a lot easier to do if you are computerized. If you’re going to do these, don’t do postcards.
Call 100 surrounding neighbors of a house you just listed. In addition to telling them about the listing, ask if they know anyone else who might be selling in the area. Also, ask them if they themselves might be thinking of selling, and find out if they know anyone who they’d like to make their new neighbor. If you include this as part of your servicing campaign for sellers, it won’t seem like cold calls; it will seem like “just listed” calls.
The 10-10-20 rule. Since the general rule of “knocking on 100 doors” takes a lot of time and energy, it is more useful to knock on 10 doors to the left, 10 to the right and 20 doors across the street. People in these homes are the most likely to know the listing family personally and, therefore, are most likely to want to help them find a buyer.
Advertise in specialized papers. For example, let’s say you just listed a waterfront property. Then, advertise in boating magazines and other such publications.
A gift to the selling agent. Whenever an agent from another company sells one of your listings, give them a huge gift, like a television. And make sure you deliver it to the office of the selling agent in the middle of their office meeting. Watch the next time you do a Broker’s Open House how many agents attend your open house from that office.
Use report cards. This helps you track the activity of other agents calling on your listings. If you have a listing that’s been on the market for 30 days and you’ve gotten very few calls from other agents inquiring about it, then you’ve got to communicate that with the seller. This helps you get either a price adjustment or terms adjustment.
Hold periodic reviews. Meet with the seller at the 30-day and 60-day mark to discuss price adjustment, terms adjustment or marketing.
Have an individual folder for each listing. Even if you’re computerized, there are still papers and forms you must keep.
A list of your listings hanging by your phone with the price and expiration date. This will act as a constant motivator to get your listings sold. It will also help you stay focused on increasing that list of sellers.
Get a higher commission. One of your tasks is to sell other agents to help you sell this home. A higher commission will surely help you sell the agents
Bimonthly calls. Stay in touch with the seller every two weeks. Discuss what the competition has sold or when you’ll be running an ad about their house or about what kind of responses you’re getting from agents.
Agent evaluation cards. Send one of these to agents every time they show your home. This is based on the assumption that you’ve created a good reputation for yourself.
Farming agents. Create a mailing list of successful agents in your area. Personalize any mailing you send to them. That way, they get the personal attention they deserve.
Common sense pricing. Pricing of houses should be listed in such a way that they show up in more searches, meaning more exposure.
These are just some the items to get your listings sold. The most important one, however, is to have a communication system like we teach our students to validate the homeowner made the right decision when they hired you, and to show them you are doing everything you can to get their property sold. After that, it’s up to them to lower the price.
For over 20 years, Darryl Davis has traveled around the country coaching agents and brokers on how to achieve their Next Level of success. He is the creator of the nationally acclaimed www.ThePowerProgram.com, the only yearlong coaching and training course where Power Agents, on average, double their production over their previous year. Darryl is a best-selling author, one of the highest rated speakers at the NAR Convention each year, and has a career-curriculum that brings agents from “Rookies to Retirement”. To find out about his training programs and/or speaking availability, please visit www.DarrylDavisSeminars.com or call 1-800-395-3905. For more information on the get your listings sold program, go to www.GetYourListingsSold.com.
By Darryl Davis
RISMEDIA, November 18, 2010—Yesterday, we discussed five concepts to help you get your listings sold. Today, we’ll focus on the keys to marketing those listings. Here are tips and techniques that every Realtor can use:
Hold broker open houses. If selling the agents means getting more buyers, then a brokers’ open house is one of the best tools to use. You should look at it as an opportunity to introduce the product. It ideally should be done in the first one to two weeks that a house goes to multiple listing.
It might take some time to build the reputation and to get a good turnout, but eventually it will happen. Make the open house something special – more of a party or an event. Promote it by making fliers or sending faxes. It’s also a great vehicle for promoting listings that are not getting a lot of activity.
At the open house, distribute opinion sheets. The most important question on the sheet is, “What price do you think the house is going to sell for?” After the open house, sit down with the seller and go through the sheets to find out what most agents think. Then, you can give the option to the sellers to adjust the price accordingly so that you’ll get the activity that’s needed, or leave the price as is and hope you’ll get the activity.
Also, attend other agents’ open houses as well, because you want the same support from them.
Hold public open houses. These are time consuming, but the major plus is that it promotes you and highlights your listing. It shows the seller you’re servicing them and most importantly, you’ll get listing leads.
Showcase your listings. Run a larger-than-usual ad in a local paper, and instead of promoting a public open house on just one listing, promote four to six at a time. Put all the information about these houses into the ad and announce open houses that one weekend.
“Just listed” letters. These can be like “just sold” cards. They are highly effective and a lot easier to do if you are computerized. If you’re going to do these, don’t do postcards.
Call 100 surrounding neighbors of a house you just listed. In addition to telling them about the listing, ask if they know anyone else who might be selling in the area. Also, ask them if they themselves might be thinking of selling, and find out if they know anyone who they’d like to make their new neighbor. If you include this as part of your servicing campaign for sellers, it won’t seem like cold calls; it will seem like “just listed” calls.
The 10-10-20 rule. Since the general rule of “knocking on 100 doors” takes a lot of time and energy, it is more useful to knock on 10 doors to the left, 10 to the right and 20 doors across the street. People in these homes are the most likely to know the listing family personally and, therefore, are most likely to want to help them find a buyer.
Advertise in specialized papers. For example, let’s say you just listed a waterfront property. Then, advertise in boating magazines and other such publications.
A gift to the selling agent. Whenever an agent from another company sells one of your listings, give them a huge gift, like a television. And make sure you deliver it to the office of the selling agent in the middle of their office meeting. Watch the next time you do a Broker’s Open House how many agents attend your open house from that office.
Use report cards. This helps you track the activity of other agents calling on your listings. If you have a listing that’s been on the market for 30 days and you’ve gotten very few calls from other agents inquiring about it, then you’ve got to communicate that with the seller. This helps you get either a price adjustment or terms adjustment.
Hold periodic reviews. Meet with the seller at the 30-day and 60-day mark to discuss price adjustment, terms adjustment or marketing.
Have an individual folder for each listing. Even if you’re computerized, there are still papers and forms you must keep.
A list of your listings hanging by your phone with the price and expiration date. This will act as a constant motivator to get your listings sold. It will also help you stay focused on increasing that list of sellers.
Get a higher commission. One of your tasks is to sell other agents to help you sell this home. A higher commission will surely help you sell the agents
Bimonthly calls. Stay in touch with the seller every two weeks. Discuss what the competition has sold or when you’ll be running an ad about their house or about what kind of responses you’re getting from agents.
Agent evaluation cards. Send one of these to agents every time they show your home. This is based on the assumption that you’ve created a good reputation for yourself.
Farming agents. Create a mailing list of successful agents in your area. Personalize any mailing you send to them. That way, they get the personal attention they deserve.
Common sense pricing. Pricing of houses should be listed in such a way that they show up in more searches, meaning more exposure.
These are just some the items to get your listings sold. The most important one, however, is to have a communication system like we teach our students to validate the homeowner made the right decision when they hired you, and to show them you are doing everything you can to get their property sold. After that, it’s up to them to lower the price.
For over 20 years, Darryl Davis has traveled around the country coaching agents and brokers on how to achieve their Next Level of success. He is the creator of the nationally acclaimed www.ThePowerProgram.com, the only yearlong coaching and training course where Power Agents, on average, double their production over their previous year. Darryl is a best-selling author, one of the highest rated speakers at the NAR Convention each year, and has a career-curriculum that brings agents from “Rookies to Retirement”. To find out about his training programs and/or speaking availability, please visit www.DarrylDavisSeminars.com or call 1-800-395-3905. For more information on the get your listings sold program, go to www.GetYourListingsSold.com.
October Housing Starts Down
October Housing Starts Down
RISMEDIA, November 18, 2010—Nationwide housing starts declined 11.7 percent to a seasonally adjusted annual rate of 519,000 units in October, according to figures released by the U.S. Commerce Department. The decline was primarily registered in the more volatile multifamily sector, where starts retreated 43.5 percent to an 83,000-unit rate, while single-family starts posted a more modest 1.1 percent decline to 436,000 units.
"Home builders continue to be very cautious about starting new projects at this time," said Bob Jones, chairman of the National Association of Home Builders (NAHB) and a home builder from Bloomfield Hills, Mich. "That said, in markets where consumer demand for new homes is reviving, builders are finding it almost impossible to obtain construction financing, and this frustrating situation is producing an unnecessary drag on both new home production and economic growth."
"October single-family starts and permitting activity remained essentially in line with the third quarter's trend," noted NAHB Chief Economist David Crowe. "What this tells us is that the market is running at a steady, but slow, rate following the downturn that took place upon expiration of the home buyer tax credit program and the economic slowdown this summer. Today, builders are just starting to report some improvement in buyer demand, which should gradually translate into more sales activity, and more starts, as the economy strengthens. The great concern is that this positive momentum will be stifled due to builders' inability to obtain financing for new construction at a time when inventories of completed new homes are very thin."
A report to be released by NAHB later today will highlight the extent to which much of the U.S. single-family housing market is underbuilt following the severe decline in production that has taken place since 2006. This finding underscores the concern that demand for new homes could quickly overwhelm supplies as economic conditions improve.
Starts activity was mixed across the nation in October, with gains of 12.9 percent and 1 percent reported in the Northeast and Midwest, respectively, and declines of 13.4 percent and 30.5 percent reported in the South and West, respectively.
Permit issuance, which can be an indicator of future building activity, showed virtually no change in October, with a 0.5 percent gain to a seasonally adjusted annual rate of 550,000 units. This lack of movement was reflected in both the single-family and multifamily sectors, with a 1.0 percent gain recorded in the former and a 0.7 percent decline registered in the latter.
Regionally, permit activity showed no change in the Northeast, a 14.3 percent gain in the Midwest, a 3.4 percent decline in the South, and a 0.9 percent decline in the West.
RISMEDIA, November 18, 2010—Nationwide housing starts declined 11.7 percent to a seasonally adjusted annual rate of 519,000 units in October, according to figures released by the U.S. Commerce Department. The decline was primarily registered in the more volatile multifamily sector, where starts retreated 43.5 percent to an 83,000-unit rate, while single-family starts posted a more modest 1.1 percent decline to 436,000 units.
"Home builders continue to be very cautious about starting new projects at this time," said Bob Jones, chairman of the National Association of Home Builders (NAHB) and a home builder from Bloomfield Hills, Mich. "That said, in markets where consumer demand for new homes is reviving, builders are finding it almost impossible to obtain construction financing, and this frustrating situation is producing an unnecessary drag on both new home production and economic growth."
"October single-family starts and permitting activity remained essentially in line with the third quarter's trend," noted NAHB Chief Economist David Crowe. "What this tells us is that the market is running at a steady, but slow, rate following the downturn that took place upon expiration of the home buyer tax credit program and the economic slowdown this summer. Today, builders are just starting to report some improvement in buyer demand, which should gradually translate into more sales activity, and more starts, as the economy strengthens. The great concern is that this positive momentum will be stifled due to builders' inability to obtain financing for new construction at a time when inventories of completed new homes are very thin."
A report to be released by NAHB later today will highlight the extent to which much of the U.S. single-family housing market is underbuilt following the severe decline in production that has taken place since 2006. This finding underscores the concern that demand for new homes could quickly overwhelm supplies as economic conditions improve.
Starts activity was mixed across the nation in October, with gains of 12.9 percent and 1 percent reported in the Northeast and Midwest, respectively, and declines of 13.4 percent and 30.5 percent reported in the South and West, respectively.
Permit issuance, which can be an indicator of future building activity, showed virtually no change in October, with a 0.5 percent gain to a seasonally adjusted annual rate of 550,000 units. This lack of movement was reflected in both the single-family and multifamily sectors, with a 1.0 percent gain recorded in the former and a 0.7 percent decline registered in the latter.
Regionally, permit activity showed no change in the Northeast, a 14.3 percent gain in the Midwest, a 3.4 percent decline in the South, and a 0.9 percent decline in the West.
Wednesday, November 17, 2010
Top 5 Tips for Buying a Newly Built Home
For Your Clients: Top 5 Tips for Buying a Newly Built Home
By Dan Steward
RISMEDIA, November 17, 2010—Newly built homes, often in recently developed communities, are regaining popularity and are more affordable than in years past. New homebuilders are using desirable, open floor plans and are helping buyers get into new homes despite the nationwide credit crunch.
As with any major transaction, it’s critical that the buyer enter the home purchase fully informed and educated. Follow these important tips in a new home transaction to ensure that the outcome is a success.
1. Choose a Realtor Who Has New Home Sales Experience
Hire a buyer’s agent to represent you. Most of the time, your agent will be paid by the seller, but sometimes the responsibility for the agent’s fee is open for discussion. Even if you have to directly pay your agent, you can probably add that fee to the sales price, which would be worthwhile since a strong Realtor negotiating on your behalf can save you thousands more than the commission.
The builder’s sales agents are paid to represent the builder, regardless of what they may tell you. Many will use high pressure tactics to persuade you to sign the contract. Due to the high volume nature of brand-new home sales, lots of builder’s agents are paid less than a traditional commission; some earn a salary plus incentives, so turnover is important to their livelihood.
Your own agent will represent you, act as your fiduciary and disclose the positives as well as the negatives about the transaction. Builder’s agents don’t discuss drawbacks.
If your contract contains a contingency to sell your existing home before buying, again, hire your own seller’s agent to list your home. Be aware that buying before selling is not always in your best interest as hard bargaining goes out the window once you’ve emotionally already left your home.
2. Carefully Evaluate the Seller’s Lender before Committing
Builders often prefer their own lender because the builder will be kept fully informed of your personal progress; it’s one-stop shopping for a builder. However, a builder’s lender might not offer you the best deal. This is particularly true if the builder actually owns the lending company.
Builders will offer huge incentives to get you into your new home; sometimes up to 15% of the value of the home. However, they will often put one big stipulation on those incentives – that you use their lender. There are many problems that may crop up when you pigeon-hole yourself to one lender – higher rates and higher closing costs are the two biggest.
Ask to see a copy of your credit report and FICO cores. You can also order your own free credit report before shopping for a new home.
Insist that your lender guarantee its Good Faith Estimate. If the lender balks or makes excuses, go elsewhere. Reputable lenders will honor that request, even though it’s not required by law.
3. Check out the Builder’s Reputation
If a buyer has a bad experience with a builder, word spreads rapidly throughout a community. However, accurately and fairly assessing a builder’s history is the appropriate path—check public records for lawsuits or complaints and evaluate their resolutions.
Talk to the neighbors and scrutinize the construction quality of surrounding homes. Is the builder consistently building same-sized or larger than existing properties, or are homes shrinking in size, which could reduce neighborhood value?
Learn if the builder limits investor purchases – this ensures that the neighborhood doesn’t turn into a “rental” neighborhood, which may appear less well-maintained and reduce property value.
4. Hire a Home Inspector
Many people who buy new construction homes don’t bother to get a home inspection. Most new homes come with a one year “bumper-to-bumper” warranty that includes everything, and many home buyers feel that they can find out if there are any construction flaws during those 12 months. The problem is that many problems won’t surface until well after the 12-month warranty has expired.
If the inspector calls for further inspection by another professional contractor, find out if the inspector is telling you there could be a serious issue or if the inspector isn’t licensed to address that issue.
An inspection provides education about the property, and offers the validation of a trained, independent third party assessment of the structure and systems.
5. Obtain Legal Advice before Buying a Brand-New Home
Before you sign a purchase contract, talk to a real estate lawyer. Standard purchase agreements are designed to keep everybody out of court, but they don’t necessarily contain language that protects the buyer.
Ask questions about removal of contingencies and your cancellation rights. Make sure you understand your liability and commitments.
Find out if the materials used by the builder contain chemicals that are hazardous to your health. If your contract contains a warning about health issues, it’s probably because it’s a valid concern and other buyers have gone to court over it.
Dan Steward is president, Pillar To Post.
By Dan Steward
RISMEDIA, November 17, 2010—Newly built homes, often in recently developed communities, are regaining popularity and are more affordable than in years past. New homebuilders are using desirable, open floor plans and are helping buyers get into new homes despite the nationwide credit crunch.
As with any major transaction, it’s critical that the buyer enter the home purchase fully informed and educated. Follow these important tips in a new home transaction to ensure that the outcome is a success.
1. Choose a Realtor Who Has New Home Sales Experience
Hire a buyer’s agent to represent you. Most of the time, your agent will be paid by the seller, but sometimes the responsibility for the agent’s fee is open for discussion. Even if you have to directly pay your agent, you can probably add that fee to the sales price, which would be worthwhile since a strong Realtor negotiating on your behalf can save you thousands more than the commission.
The builder’s sales agents are paid to represent the builder, regardless of what they may tell you. Many will use high pressure tactics to persuade you to sign the contract. Due to the high volume nature of brand-new home sales, lots of builder’s agents are paid less than a traditional commission; some earn a salary plus incentives, so turnover is important to their livelihood.
Your own agent will represent you, act as your fiduciary and disclose the positives as well as the negatives about the transaction. Builder’s agents don’t discuss drawbacks.
If your contract contains a contingency to sell your existing home before buying, again, hire your own seller’s agent to list your home. Be aware that buying before selling is not always in your best interest as hard bargaining goes out the window once you’ve emotionally already left your home.
2. Carefully Evaluate the Seller’s Lender before Committing
Builders often prefer their own lender because the builder will be kept fully informed of your personal progress; it’s one-stop shopping for a builder. However, a builder’s lender might not offer you the best deal. This is particularly true if the builder actually owns the lending company.
Builders will offer huge incentives to get you into your new home; sometimes up to 15% of the value of the home. However, they will often put one big stipulation on those incentives – that you use their lender. There are many problems that may crop up when you pigeon-hole yourself to one lender – higher rates and higher closing costs are the two biggest.
Ask to see a copy of your credit report and FICO cores. You can also order your own free credit report before shopping for a new home.
Insist that your lender guarantee its Good Faith Estimate. If the lender balks or makes excuses, go elsewhere. Reputable lenders will honor that request, even though it’s not required by law.
3. Check out the Builder’s Reputation
If a buyer has a bad experience with a builder, word spreads rapidly throughout a community. However, accurately and fairly assessing a builder’s history is the appropriate path—check public records for lawsuits or complaints and evaluate their resolutions.
Talk to the neighbors and scrutinize the construction quality of surrounding homes. Is the builder consistently building same-sized or larger than existing properties, or are homes shrinking in size, which could reduce neighborhood value?
Learn if the builder limits investor purchases – this ensures that the neighborhood doesn’t turn into a “rental” neighborhood, which may appear less well-maintained and reduce property value.
4. Hire a Home Inspector
Many people who buy new construction homes don’t bother to get a home inspection. Most new homes come with a one year “bumper-to-bumper” warranty that includes everything, and many home buyers feel that they can find out if there are any construction flaws during those 12 months. The problem is that many problems won’t surface until well after the 12-month warranty has expired.
If the inspector calls for further inspection by another professional contractor, find out if the inspector is telling you there could be a serious issue or if the inspector isn’t licensed to address that issue.
An inspection provides education about the property, and offers the validation of a trained, independent third party assessment of the structure and systems.
5. Obtain Legal Advice before Buying a Brand-New Home
Before you sign a purchase contract, talk to a real estate lawyer. Standard purchase agreements are designed to keep everybody out of court, but they don’t necessarily contain language that protects the buyer.
Ask questions about removal of contingencies and your cancellation rights. Make sure you understand your liability and commitments.
Find out if the materials used by the builder contain chemicals that are hazardous to your health. If your contract contains a warning about health issues, it’s probably because it’s a valid concern and other buyers have gone to court over it.
Dan Steward is president, Pillar To Post.
5 Concepts to Get Listings Sold in Today's Market
5 Concepts to Get Listings Sold in Today's Market
By Darryl Davis
RISMEDIA, November 17, 2010—Listings are the backbone of the real estate business. It’s important to build your inventory of listed properties, and service and market them well. But most agents don’t do enough with listings once they get them.
The following concepts will help you get your inventory sold, as well as help you service your sellers. What’s important is that you put a system in place that helps you achieve these important goals.
Concept 1: Sellers want communication. Most agents think the only thing homeowners want when they list with an agent is to sell their house. Of course this is important, but from the time they list with you to the time it sells, the No. 1 thing they want is communication. A frequent complaint about agents is that they list homes and are never heard from again. So keep in touch with the seller through various means, such as phone calls, e-mails, notes, and face-to-face meetings.
Concept 2: Commitment counts. Some sellers are totally committed to price, and less committed to moving. There’s nothing wrong with taking an overpriced listing as long as you communicate upfront that it’s overpriced. Make sure sellers know that by being more committed to price, they may not be able to sell.
Concept 3: Don’t make promises you can’t keep. Your job is not to outpromise your competition in order to get the listing. Keep the few promises you make rather than make many promises and break them.
Concept 4: Sell the agents, not the buyers. To boost your chances of selling, you need to have more agents through the door, which means more showings. Get agents excited so that out of all the homes on the market in this particular price range, they remember your listing best. Have the mindset that your job as a marketing agent is to motivate the other agents in your market – not just to sell a home.
Concept 5: Price it right. If your inventory isn’t selling, either your price or the marketing is wrong.
Check back tomorrow for some tips and techniques to market your listings.
For over 20 years, Darryl Davis has traveled around the country coaching agents and brokers on how to achieve their Next Level of success. He is the creator of the nationally acclaimed www.ThePowerProgram.com, the only yearlong coaching and training course where Power Agents, on average, double their production over their previous year. Darryl is a best-selling author, one of the highest rated speakers at the NAR Convention each year, and has a career-curriculum that brings agents from “Rookies to Retirement”. To find out about his training programs and/or speaking availability, please visit www.DarrylDavisSeminars.com or call 1-800-395-3905 1-800-395-3905 .For more information on the get your listings sold program, go to www.GetYourListingsSold.com.
By Darryl Davis
RISMEDIA, November 17, 2010—Listings are the backbone of the real estate business. It’s important to build your inventory of listed properties, and service and market them well. But most agents don’t do enough with listings once they get them.
The following concepts will help you get your inventory sold, as well as help you service your sellers. What’s important is that you put a system in place that helps you achieve these important goals.
Concept 1: Sellers want communication. Most agents think the only thing homeowners want when they list with an agent is to sell their house. Of course this is important, but from the time they list with you to the time it sells, the No. 1 thing they want is communication. A frequent complaint about agents is that they list homes and are never heard from again. So keep in touch with the seller through various means, such as phone calls, e-mails, notes, and face-to-face meetings.
Concept 2: Commitment counts. Some sellers are totally committed to price, and less committed to moving. There’s nothing wrong with taking an overpriced listing as long as you communicate upfront that it’s overpriced. Make sure sellers know that by being more committed to price, they may not be able to sell.
Concept 3: Don’t make promises you can’t keep. Your job is not to outpromise your competition in order to get the listing. Keep the few promises you make rather than make many promises and break them.
Concept 4: Sell the agents, not the buyers. To boost your chances of selling, you need to have more agents through the door, which means more showings. Get agents excited so that out of all the homes on the market in this particular price range, they remember your listing best. Have the mindset that your job as a marketing agent is to motivate the other agents in your market – not just to sell a home.
Concept 5: Price it right. If your inventory isn’t selling, either your price or the marketing is wrong.
Check back tomorrow for some tips and techniques to market your listings.
For over 20 years, Darryl Davis has traveled around the country coaching agents and brokers on how to achieve their Next Level of success. He is the creator of the nationally acclaimed www.ThePowerProgram.com, the only yearlong coaching and training course where Power Agents, on average, double their production over their previous year. Darryl is a best-selling author, one of the highest rated speakers at the NAR Convention each year, and has a career-curriculum that brings agents from “Rookies to Retirement”. To find out about his training programs and/or speaking availability, please visit www.DarrylDavisSeminars.com or call 1-800-395-3905 1-800-395-3905 .For more information on the get your listings sold program, go to www.GetYourListingsSold.com.
Tuesday, November 16, 2010
Well-Kept Yards Most Important Factor in Determining Neighborhood Safety
Survey: Well-Kept Yards Most Important Factor in Determining Neighborhood Safety
RISMEDIA, November 16, 2010--A new survey conducted by Relocation.com finds that 75 percent of Americans believe the most important factor in determining a neighborhood's safety is the up-keep of surrounding homes, especially the conditions of the front lawns, which trumps even Googling neighborhood statistics to get a feel for a community.
The latest Relocation.com survey finds that 74 percent of respondents indicated they would select a neighborhood based on "word-of-mouth" or its local reputation over any other reason, while 67 percent of the respondents say they pay attention to local crime reports and statistics as reported in the local media. Less compelling, according to the survey, are "a gated community with security patrols" and "proximity to a police or fire station" when determining the safety of a neighborhood.
"It's interesting to see how home buyers determine neighborhood safety based on the neighborhood's appearance and not as much based on police statistics or crime reports," says Relocation.com Chairman and Founder Sharon Asher. "Our findings suggest that some home sellers who are struggling to generate interest may want to go the extra mile and help their neighbors with landscaping needs in order to create buyer interest."
The Relocation.com survey was conducted in mid-October, 2010, in a continuing effort to provide information on lifestyle factors that drive moving and relocation decisions in the U.S.
RISMEDIA, November 16, 2010--A new survey conducted by Relocation.com finds that 75 percent of Americans believe the most important factor in determining a neighborhood's safety is the up-keep of surrounding homes, especially the conditions of the front lawns, which trumps even Googling neighborhood statistics to get a feel for a community.
The latest Relocation.com survey finds that 74 percent of respondents indicated they would select a neighborhood based on "word-of-mouth" or its local reputation over any other reason, while 67 percent of the respondents say they pay attention to local crime reports and statistics as reported in the local media. Less compelling, according to the survey, are "a gated community with security patrols" and "proximity to a police or fire station" when determining the safety of a neighborhood.
"It's interesting to see how home buyers determine neighborhood safety based on the neighborhood's appearance and not as much based on police statistics or crime reports," says Relocation.com Chairman and Founder Sharon Asher. "Our findings suggest that some home sellers who are struggling to generate interest may want to go the extra mile and help their neighbors with landscaping needs in order to create buyer interest."
The Relocation.com survey was conducted in mid-October, 2010, in a continuing effort to provide information on lifestyle factors that drive moving and relocation decisions in the U.S.
Monday, November 15, 2010
Reports of E-mail's Death Have Been Greatly Exaggerated
Reports of E-mail's Death Have Been Greatly Exaggerated
By Laura Casey
RISMEDIA, November 13, 2010--(MCT)--All the ballyhoo that social networking sites such as Twitter and Facebook are diminishing our need for e-mail can be best summarized by paraphrasing Mark Twain: Reports of e-mail's death have been greatly exaggerated.
Just ask Wesley Lee, a 21-year-old senior at the University of California-Berkeley studying computer science. He's looking for a job after graduation, and e-mail is his lifeline to job leads and a possible employer contact.
"I am addicted to my e-mail," he says. "I check my phone for new e-mail all the time, and I also bring a laptop wherever I go. When I am not in class, I am working on e-mail."
And while Derek Miller, 18, uses Facebook to chat with his friends, the Diablo Valley College freshman still checks his e-mail account regularly, often multiple times a day.
"I use e-mail when I am talking to adults, like teachers," he says. "E-mail seems more professional than other ways of talking with people, like texting or calling."
Although social networking websites such as Facebook and, to a lesser degree, MySpace, are communication powerhouses — 500 million people are active Facebook users — e-mail is still critically important to web users, social media experts and e-mail service representatives, say. So when Facebook chief operating officer Sheryl Sandberg declared e-mail dead at a Nielsen conference in June, e-mail industry officials bristled.
"People who are heavily involved with the social networking world like to say everything except social networking is dead and dying," says Sara Radicati of The Radicati Group of Palo Alto, Calif., which performs research on messaging and collaboration technology. According to a report by The Radicati Group, as of 2009, there were about 1.4 billion e-mail users, and that number is expected to rise to 1.9 billion by 2013. The group also reports that an estimated 247 billion e-mails were sent each day in 2009.
While people, especially the younger set, are texting, instant messaging and making plans through sites like Facebook, Radicati says people of all ages are still using e-mail in business and personal communication.
"We're finding that people are doing more of everything. People are doing a lot of e-mail, social networking and instant messaging. They are doing a lot of communication in a lot of ways. Just because social networking is growing doesn't mean that everything else dies," Radicati adds.
In fact, social networking sites are generating more mail for people's virtual inboxes, says social media expert and blogger Brian Solace. Solace, of San Francisco's FutureWorks, says most people are alerted that someone has sent them messages through Facebook or Twitter in their e-mail boxes.
"The reality is e-mail is not going anywhere until one of these social networks decides it wants to be your inbox," he says. "Until then, e-mail is a necessary evil."
San Francisco-based Yahoo! has 280 million users who rely on e-mail every day, says Stephanie Shum, senior product manager for Yahoo! Mail. She says that she recognizes that people use different websites and technology to share, say, what they're doing at the moment, but Yahoo! Mail, she says, is working with some of the most popular websites like Facebook to provide a richer e-mail experience. For example, when Yahoo! Mail finishes a deal with Twitter, e-mail users will have the ability to update their Facebook, Twitter and Yahoo! status messages at the same time.
"E-mail is alive and kicking, and we're definitely investing in it," Shum says.
Tuhina Das, a University of California-Berkeley freshman studying pre-business, loves Facebook because she says it is so social and easy to connect with friends. But she uses e-mail for the important communications.
"If you're interviewing or applying for something or need it for business, you're not going to use Facebook," she says.
In fact, e-mail is only becoming more important for working professionals, says Deva Hazarika of ClearContext of San Francisco, a software company that helps people organize all the information that flows through e-mail.
Hazarika says text messaging, instant messaging, Facebook communication and Twitter tweets are all great for "lightweight" communication, such as making plans for dinner, but if you really need to document conversations and keep records and files for work, e-mail is better and more effective than anything else. That goes the same for students and schoolwork, he says.
"People need information to be traceable. They need to look back at information. That's why all of important conversations are pretty much staying with e-mail right now," Hazarika says. "E-mail is really not only sticking around, but it's getting entrenched. It's really the one place where I can reliably send (information like receipts from Amazon or business) communication to you."
And even the younger set, junior high school students who are tethered to MySpace and Facebook, also say they use e-mail. Arianna Campos, 13, of Concord has four e-mail accounts—some for friends, some for family, some for spam.
"I mostly talk to my friends through MySpace," she says. "But I do use e-mail to talk to adults."
(c) 2010, Contra Costa Times (Walnut Creek, Calif.).
Distributed by McClatchy-Tribune Information Services.
By Laura Casey
RISMEDIA, November 13, 2010--(MCT)--All the ballyhoo that social networking sites such as Twitter and Facebook are diminishing our need for e-mail can be best summarized by paraphrasing Mark Twain: Reports of e-mail's death have been greatly exaggerated.
Just ask Wesley Lee, a 21-year-old senior at the University of California-Berkeley studying computer science. He's looking for a job after graduation, and e-mail is his lifeline to job leads and a possible employer contact.
"I am addicted to my e-mail," he says. "I check my phone for new e-mail all the time, and I also bring a laptop wherever I go. When I am not in class, I am working on e-mail."
And while Derek Miller, 18, uses Facebook to chat with his friends, the Diablo Valley College freshman still checks his e-mail account regularly, often multiple times a day.
"I use e-mail when I am talking to adults, like teachers," he says. "E-mail seems more professional than other ways of talking with people, like texting or calling."
Although social networking websites such as Facebook and, to a lesser degree, MySpace, are communication powerhouses — 500 million people are active Facebook users — e-mail is still critically important to web users, social media experts and e-mail service representatives, say. So when Facebook chief operating officer Sheryl Sandberg declared e-mail dead at a Nielsen conference in June, e-mail industry officials bristled.
"People who are heavily involved with the social networking world like to say everything except social networking is dead and dying," says Sara Radicati of The Radicati Group of Palo Alto, Calif., which performs research on messaging and collaboration technology. According to a report by The Radicati Group, as of 2009, there were about 1.4 billion e-mail users, and that number is expected to rise to 1.9 billion by 2013. The group also reports that an estimated 247 billion e-mails were sent each day in 2009.
While people, especially the younger set, are texting, instant messaging and making plans through sites like Facebook, Radicati says people of all ages are still using e-mail in business and personal communication.
"We're finding that people are doing more of everything. People are doing a lot of e-mail, social networking and instant messaging. They are doing a lot of communication in a lot of ways. Just because social networking is growing doesn't mean that everything else dies," Radicati adds.
In fact, social networking sites are generating more mail for people's virtual inboxes, says social media expert and blogger Brian Solace. Solace, of San Francisco's FutureWorks, says most people are alerted that someone has sent them messages through Facebook or Twitter in their e-mail boxes.
"The reality is e-mail is not going anywhere until one of these social networks decides it wants to be your inbox," he says. "Until then, e-mail is a necessary evil."
San Francisco-based Yahoo! has 280 million users who rely on e-mail every day, says Stephanie Shum, senior product manager for Yahoo! Mail. She says that she recognizes that people use different websites and technology to share, say, what they're doing at the moment, but Yahoo! Mail, she says, is working with some of the most popular websites like Facebook to provide a richer e-mail experience. For example, when Yahoo! Mail finishes a deal with Twitter, e-mail users will have the ability to update their Facebook, Twitter and Yahoo! status messages at the same time.
"E-mail is alive and kicking, and we're definitely investing in it," Shum says.
Tuhina Das, a University of California-Berkeley freshman studying pre-business, loves Facebook because she says it is so social and easy to connect with friends. But she uses e-mail for the important communications.
"If you're interviewing or applying for something or need it for business, you're not going to use Facebook," she says.
In fact, e-mail is only becoming more important for working professionals, says Deva Hazarika of ClearContext of San Francisco, a software company that helps people organize all the information that flows through e-mail.
Hazarika says text messaging, instant messaging, Facebook communication and Twitter tweets are all great for "lightweight" communication, such as making plans for dinner, but if you really need to document conversations and keep records and files for work, e-mail is better and more effective than anything else. That goes the same for students and schoolwork, he says.
"People need information to be traceable. They need to look back at information. That's why all of important conversations are pretty much staying with e-mail right now," Hazarika says. "E-mail is really not only sticking around, but it's getting entrenched. It's really the one place where I can reliably send (information like receipts from Amazon or business) communication to you."
And even the younger set, junior high school students who are tethered to MySpace and Facebook, also say they use e-mail. Arianna Campos, 13, of Concord has four e-mail accounts—some for friends, some for family, some for spam.
"I mostly talk to my friends through MySpace," she says. "But I do use e-mail to talk to adults."
(c) 2010, Contra Costa Times (Walnut Creek, Calif.).
Distributed by McClatchy-Tribune Information Services.
Seven Steps to a Sound Retirement
Seven Steps to a Sound Retirement
By Robert Powell
RISMEDIA, November 13, 2010--(MCT)--There are seven keys to a lot of things in life. There are seven steps to heaven and seven types of intelligence and seven habits of effective leaders.
Now we have seven steps to retirement planning courtesy of the Society of Actuaries, which just released a 64-page report with the not-so-consumer-friendly title "Segmenting the Middle Market: Retirement Risks and Solutions Phase II Report."
"Retirement financial planning requires a methodical approach that identifies and quantifies each important component that affects the asset accumulation, income management and product selection/investment decision processes," according to the report, which was sponsored by the society's committee on post-retirement needs and risk and written by Noel Abkemeier of Milliman.
Not surprisingly, Abkemeier says this approach is especially important for middle-income Americans who likely have less than $100,000 set aside for retirement. So what are those steps?
1. Quantify assets and net worth.
The first order of business is taking a tally of all that you own — your financial and non-financial assets, including your home and a self-owned business, and all that you owe. Your home, given that it might be your largest asset, could play an especially important part in your retirement, according to Abkemeier.
And at minimum, you should evaluate the many ways you can create income from your home, such as selling and renting; selling and moving in with family; taking out a home-equity loan; renting out a room or rooms; taking a reverse mortgage; and paying off your mortgage.
Another point that sometimes gets lost in the fray is that assets have to be converted into income and income streams need to be converted into assets. "When we think of assets and income, we need to remember that assets can be converted to a monthly income and that retirement savings are important as a generator of monthly income or spending power," according to SOA's report. "Likewise, income streams like pensions have a value comparable to an asset."
One reason retirement planning is so difficult, according to SOA, is that many people are not able to readily think about assets and income with equivalent values and how to make a translation between the two. Assets often seem like a lot of money, particularly when people forget that they will be using them to meet regular expenses.
Consider, for instance, the notion that $100,000 in retirement savings might translate into just $4,000 per year in retirement income.
2. Quantify risk coverage.
Take stock of all the insurance that you might already have or need — health, disability, life, auto and homeowners. In addition, consider whether you might need long-term-care insurance, especially in light of the cost associated with long-term care and the very real possibility that you might need some assistance at some point in your life.
According to the report, those households with limited assets — say, less than $200,000 in financial assets — may need to spend down their assets and rely on Medicaid, while those with more than $2 million in financial assets can cover long-term-care costs out of pocket. But those households with assets in between $200,000 and $2 million should include long-term care insurance in their plan, according to the SOA. And the best time to buy such insurance is in the late preretirement years.
The SOA also notes in its report the possible need for life insurance, the death benefit of which can be used for bequests or to provide income to a surviving spouse. Life insurance premiums can be expensive if you're getting on in years. That's why the SOA report suggests that you continue "existing preretirement coverages during the retirement period."
Of note, there will soon be many policies that combine long-term-care insurance with life insurance and annuities.
3. Compare expenditure needs against anticipated income.
The thing about retirement is that it's filled with expenses, which according to the SOA report "can be thought of as the minimum needed to sustain a standard of living, plus extra for nonrecurring needs and amounts to help meet dreams." What's more, those expenses are likely to change over time.
So to make your retirement plan work in reality, you first have to make it work on paper. You need to compare whether you'll have enough guaranteed income to cover your essential living expenses, including food, housing and health-insurance premiums, at the point of retirement and then compare what amount of income you'll need to cover your discretionary expenses, such as travel and the like (if those are indeed what you might consider discretionary expenses).
Your guaranteed sources of income include Social Security and possibly a pension and annuity. Not so guaranteed: earnings from work and income from assets such as capital gains, dividends, interest and rental property.
No doubt, as you go about the process of matching income to expenses, you might find yourself having to revise your discretionary expenses, especially if there aren't enough guaranteed sources of income to meet essential expenses.
4. Compare amounts needed in retirement against total assets.
So here's where your math skills (or your Google search skills) might come into play. Besides calculating your income and expenses at the point of retirement, you need to figure out whether your funds will last throughout retirement. In other words, you need to calculate the net present value of your expenses throughout retirement.
Now, truth be told, finding the present value of your expenses is a bit tricky, especially since there are many factors that can affect how much is really needed, including the date of your retirement, inflation rates, gross and after-tax investment returns, and your life expectancy.
But the bottom line is this: If, after crunching the numbers, the present value of your expenses is greater than the present value of your assets, you've got some adjustments to make. And the good news is that there are plenty of adjustments that you can make.
You could, for instance, delay the date of your retirement. You could return to work or work part-time. Those actions might be enough to offset the difference. In addition, you might consider trimming your expenses or consider a more tax-efficient plan to draw down income.
5. Categorize assets.
The SOA also recommends that assets be grouped to fund early, middle and late phases of retirement. Thus, assets for early retirement should be liquid, while mid-retirement assets should include intermediate-term investments such as laddered five- to 10-year Treasury bonds, Treasury Inflation-Protected Securities, laddered fixed-interest deferred annuities, balanced investment portfolios, income-oriented equities, variable annuities and the like. And late retirement assets include longevity insurance, TIPS, balanced portfolios, growth and income portfolios, laddered income annuities, deferred variable annuities and life insurance.
6. Relate investments to investing capabilities and portfolio size.
This should come as no surprise. The SOA recommends that you invest only in things that are suitable, relative to your risk tolerance, investment knowledge and the capacity of the portfolio to accommodate volatility. "In short, a retiree should not invest beyond his investment skills, including those of his adviser," the SOA report stated.
7. Keep the plan current.
This too might be a bit obvious, but retirement-income plans must not be built and set on a shelf. The plan is a point-in-time analysis that must be reviewed on a regular basis.
Consider, for instance, just some of the things that could change in one year, according to the SOA. Health status or health-care costs could change; your life expectancy might change; your investment returns and inflation might be quite different than your assumptions; and your employment status and expected retirement date might change.
What's more, you might suffer the loss of a spouse through death or divorce, or perhaps you might not be able to live independently any longer, or perhaps you might need to sell your house or unexpectedly care for dependents, or change your inheritance plans.
Said Abkemeier: "You want to keep your plan current. You need to tie everything together and go back to the start of the process each year. You want to enjoy retirement, but you don't want to be at rest."
(c) 2010, MarketWatch.com Inc.
Distributed by McClatchy-Tribune Information Services.
By Robert Powell
RISMEDIA, November 13, 2010--(MCT)--There are seven keys to a lot of things in life. There are seven steps to heaven and seven types of intelligence and seven habits of effective leaders.
Now we have seven steps to retirement planning courtesy of the Society of Actuaries, which just released a 64-page report with the not-so-consumer-friendly title "Segmenting the Middle Market: Retirement Risks and Solutions Phase II Report."
"Retirement financial planning requires a methodical approach that identifies and quantifies each important component that affects the asset accumulation, income management and product selection/investment decision processes," according to the report, which was sponsored by the society's committee on post-retirement needs and risk and written by Noel Abkemeier of Milliman.
Not surprisingly, Abkemeier says this approach is especially important for middle-income Americans who likely have less than $100,000 set aside for retirement. So what are those steps?
1. Quantify assets and net worth.
The first order of business is taking a tally of all that you own — your financial and non-financial assets, including your home and a self-owned business, and all that you owe. Your home, given that it might be your largest asset, could play an especially important part in your retirement, according to Abkemeier.
And at minimum, you should evaluate the many ways you can create income from your home, such as selling and renting; selling and moving in with family; taking out a home-equity loan; renting out a room or rooms; taking a reverse mortgage; and paying off your mortgage.
Another point that sometimes gets lost in the fray is that assets have to be converted into income and income streams need to be converted into assets. "When we think of assets and income, we need to remember that assets can be converted to a monthly income and that retirement savings are important as a generator of monthly income or spending power," according to SOA's report. "Likewise, income streams like pensions have a value comparable to an asset."
One reason retirement planning is so difficult, according to SOA, is that many people are not able to readily think about assets and income with equivalent values and how to make a translation between the two. Assets often seem like a lot of money, particularly when people forget that they will be using them to meet regular expenses.
Consider, for instance, the notion that $100,000 in retirement savings might translate into just $4,000 per year in retirement income.
2. Quantify risk coverage.
Take stock of all the insurance that you might already have or need — health, disability, life, auto and homeowners. In addition, consider whether you might need long-term-care insurance, especially in light of the cost associated with long-term care and the very real possibility that you might need some assistance at some point in your life.
According to the report, those households with limited assets — say, less than $200,000 in financial assets — may need to spend down their assets and rely on Medicaid, while those with more than $2 million in financial assets can cover long-term-care costs out of pocket. But those households with assets in between $200,000 and $2 million should include long-term care insurance in their plan, according to the SOA. And the best time to buy such insurance is in the late preretirement years.
The SOA also notes in its report the possible need for life insurance, the death benefit of which can be used for bequests or to provide income to a surviving spouse. Life insurance premiums can be expensive if you're getting on in years. That's why the SOA report suggests that you continue "existing preretirement coverages during the retirement period."
Of note, there will soon be many policies that combine long-term-care insurance with life insurance and annuities.
3. Compare expenditure needs against anticipated income.
The thing about retirement is that it's filled with expenses, which according to the SOA report "can be thought of as the minimum needed to sustain a standard of living, plus extra for nonrecurring needs and amounts to help meet dreams." What's more, those expenses are likely to change over time.
So to make your retirement plan work in reality, you first have to make it work on paper. You need to compare whether you'll have enough guaranteed income to cover your essential living expenses, including food, housing and health-insurance premiums, at the point of retirement and then compare what amount of income you'll need to cover your discretionary expenses, such as travel and the like (if those are indeed what you might consider discretionary expenses).
Your guaranteed sources of income include Social Security and possibly a pension and annuity. Not so guaranteed: earnings from work and income from assets such as capital gains, dividends, interest and rental property.
No doubt, as you go about the process of matching income to expenses, you might find yourself having to revise your discretionary expenses, especially if there aren't enough guaranteed sources of income to meet essential expenses.
4. Compare amounts needed in retirement against total assets.
So here's where your math skills (or your Google search skills) might come into play. Besides calculating your income and expenses at the point of retirement, you need to figure out whether your funds will last throughout retirement. In other words, you need to calculate the net present value of your expenses throughout retirement.
Now, truth be told, finding the present value of your expenses is a bit tricky, especially since there are many factors that can affect how much is really needed, including the date of your retirement, inflation rates, gross and after-tax investment returns, and your life expectancy.
But the bottom line is this: If, after crunching the numbers, the present value of your expenses is greater than the present value of your assets, you've got some adjustments to make. And the good news is that there are plenty of adjustments that you can make.
You could, for instance, delay the date of your retirement. You could return to work or work part-time. Those actions might be enough to offset the difference. In addition, you might consider trimming your expenses or consider a more tax-efficient plan to draw down income.
5. Categorize assets.
The SOA also recommends that assets be grouped to fund early, middle and late phases of retirement. Thus, assets for early retirement should be liquid, while mid-retirement assets should include intermediate-term investments such as laddered five- to 10-year Treasury bonds, Treasury Inflation-Protected Securities, laddered fixed-interest deferred annuities, balanced investment portfolios, income-oriented equities, variable annuities and the like. And late retirement assets include longevity insurance, TIPS, balanced portfolios, growth and income portfolios, laddered income annuities, deferred variable annuities and life insurance.
6. Relate investments to investing capabilities and portfolio size.
This should come as no surprise. The SOA recommends that you invest only in things that are suitable, relative to your risk tolerance, investment knowledge and the capacity of the portfolio to accommodate volatility. "In short, a retiree should not invest beyond his investment skills, including those of his adviser," the SOA report stated.
7. Keep the plan current.
This too might be a bit obvious, but retirement-income plans must not be built and set on a shelf. The plan is a point-in-time analysis that must be reviewed on a regular basis.
Consider, for instance, just some of the things that could change in one year, according to the SOA. Health status or health-care costs could change; your life expectancy might change; your investment returns and inflation might be quite different than your assumptions; and your employment status and expected retirement date might change.
What's more, you might suffer the loss of a spouse through death or divorce, or perhaps you might not be able to live independently any longer, or perhaps you might need to sell your house or unexpectedly care for dependents, or change your inheritance plans.
Said Abkemeier: "You want to keep your plan current. You need to tie everything together and go back to the start of the process each year. You want to enjoy retirement, but you don't want to be at rest."
(c) 2010, MarketWatch.com Inc.
Distributed by McClatchy-Tribune Information Services.
Cut Costs, Save Energy
For Your Clients: Cut Costs, Save Energy
By Paige Tepping
RISMEDIA, November 15,2010--Homeowners and home buyers alike are all after the same thing today—living in a home that is kind to the environment while saving money on their bills. As we continue to make our way through fall and homeowners begin to prepare for the colder temperatures that are on their way, homeowners should keep in mind that there are some simple things they can do to keep their energy use and bills lower this winter. According to Energy Efficient Home Tips, homeowners should follow these tips to help keep their energy use in check.
An effective seal
While the biggest portion of any homeowner’s energy bill comes from heating the home in the winter and cooling it during the summer, fall provides the perfect opportunity for homeowners to make sure their heating systems are in working order. It is also an opportune time to ensure your home is firmly sealed by checking around windows and doors to see if any air is coming in.
Eliminate unnecessary heating
One of the biggest wastes of energy occurs when homeowners are heating rooms that are unoccupied. To avoid this problem, take the time to close vents in rooms that aren’t being used.
Use window coverings to keep heat in
Be sure to take advantage of all the accessories in your home when trying to keep the warmth in and the cool temperatures out. Take advantage of sunny days by keeping the drapes open during the day and closing them at night to keep the heat in. This will allow you to keep your home comfortable without depending entirely on your heating system.
Control your thermostat
In addition to making the most of your window coverings, homeowners may want to think about investing in a programmable thermostat that can be set to turn on and off at specific times of the day and night. This will allow you to save money on your heating bill while keeping your home comfortable when you are home.
Keeping clean
To cut down on the amount of hot water you use—thus cutting your expenses—use cold water when doing laundry as much as possible. In addition, try to run the dishwasher and laundry machine only when you have a full load.
By Paige Tepping
RISMEDIA, November 15,2010--Homeowners and home buyers alike are all after the same thing today—living in a home that is kind to the environment while saving money on their bills. As we continue to make our way through fall and homeowners begin to prepare for the colder temperatures that are on their way, homeowners should keep in mind that there are some simple things they can do to keep their energy use and bills lower this winter. According to Energy Efficient Home Tips, homeowners should follow these tips to help keep their energy use in check.
An effective seal
While the biggest portion of any homeowner’s energy bill comes from heating the home in the winter and cooling it during the summer, fall provides the perfect opportunity for homeowners to make sure their heating systems are in working order. It is also an opportune time to ensure your home is firmly sealed by checking around windows and doors to see if any air is coming in.
Eliminate unnecessary heating
One of the biggest wastes of energy occurs when homeowners are heating rooms that are unoccupied. To avoid this problem, take the time to close vents in rooms that aren’t being used.
Use window coverings to keep heat in
Be sure to take advantage of all the accessories in your home when trying to keep the warmth in and the cool temperatures out. Take advantage of sunny days by keeping the drapes open during the day and closing them at night to keep the heat in. This will allow you to keep your home comfortable without depending entirely on your heating system.
Control your thermostat
In addition to making the most of your window coverings, homeowners may want to think about investing in a programmable thermostat that can be set to turn on and off at specific times of the day and night. This will allow you to save money on your heating bill while keeping your home comfortable when you are home.
Keeping clean
To cut down on the amount of hot water you use—thus cutting your expenses—use cold water when doing laundry as much as possible. In addition, try to run the dishwasher and laundry machine only when you have a full load.
Top Tips to Winter-Proof Your Home
For Your Clients: Top Tips to Winter-Proof Your Home
RISMEDIA, November 15, 2010--As winter sets in, there's nothing better than hibernating on the sofa with a good book or classic film. But having this spoiled by a home emergency can add a real chill to your winter warmth, especially if it's preventable.
We're all familiar with the issues winter forces upon us: the boiler breaking, pipes bursting or a break-in, which can make the harsh effects of winter far more severe.
Planning ahead now can help protect you against these potential problems. Here are some simple tips from John Lewis Insurance to prevent home emergencies from happening. Many of them are relatively quick and easy to do.
Quick fixes:
* Change the battery in your smoke detector or install them if you don't have any - it's a simple task that can save your life. And make sure you test them regularly.
* Inspect your roof for missing or cracked tiles. If repairs are needed, get them done as soon as you can.
* Vacuum the coils on the back of the fridge. This will help your fridge work more efficiently and will help you save money on your power bills.
* Turn your mattress regularly. We all spend more time in bed over winter - turning your mattress regularly will extend its life and ensure a more comfortable night's sleep.
* Get your boiler serviced. If you haven't had your boiler serviced this year, now is the ideal time to ensure it's in good working order.
More time needed:
* Oil your power tools and if you have a gas-powered lawn mower, drain the gas from it. They will survive the winter better and be in top shape for spring.
* Check all taps for leaks and locate the main pipe to the water mains. Pipes can burst if they freeze so if you leave home for more than a few days, ideally you should turn off the water and drain the pipes.
* Bleed your radiators by opening the valve until water appears - they will work more efficiently.
* The cold doesn't deter burglars so be sure to inspect your locks and any burglar alarms - and consider using lighting timers for that lived in appearance.
Worth the effort:
* It may take a day or two to sort out but cleaning your gutters properly will guarantee they won't get blocked or overflow.
* Trimming back trees is always recommended in the autumn.
* Clean out the garage before anything is stored that can get spoiled by the cold.
Finally, preparing an emergency kit is a great way to make those small and big emergencies as easy to handle as possible. This is what you should have at hand's reach:
* A small tool bag containing a torch, a roll of insulation tape, spare fuses, spare batteries and a screwdriver
* A radiator key
* A fire extinguisher if you have one, checked or recently replaced
* Important telephone numbers like the police, a trusted plumber, electrician, etc.
RISMEDIA, November 15, 2010--As winter sets in, there's nothing better than hibernating on the sofa with a good book or classic film. But having this spoiled by a home emergency can add a real chill to your winter warmth, especially if it's preventable.
We're all familiar with the issues winter forces upon us: the boiler breaking, pipes bursting or a break-in, which can make the harsh effects of winter far more severe.
Planning ahead now can help protect you against these potential problems. Here are some simple tips from John Lewis Insurance to prevent home emergencies from happening. Many of them are relatively quick and easy to do.
Quick fixes:
* Change the battery in your smoke detector or install them if you don't have any - it's a simple task that can save your life. And make sure you test them regularly.
* Inspect your roof for missing or cracked tiles. If repairs are needed, get them done as soon as you can.
* Vacuum the coils on the back of the fridge. This will help your fridge work more efficiently and will help you save money on your power bills.
* Turn your mattress regularly. We all spend more time in bed over winter - turning your mattress regularly will extend its life and ensure a more comfortable night's sleep.
* Get your boiler serviced. If you haven't had your boiler serviced this year, now is the ideal time to ensure it's in good working order.
More time needed:
* Oil your power tools and if you have a gas-powered lawn mower, drain the gas from it. They will survive the winter better and be in top shape for spring.
* Check all taps for leaks and locate the main pipe to the water mains. Pipes can burst if they freeze so if you leave home for more than a few days, ideally you should turn off the water and drain the pipes.
* Bleed your radiators by opening the valve until water appears - they will work more efficiently.
* The cold doesn't deter burglars so be sure to inspect your locks and any burglar alarms - and consider using lighting timers for that lived in appearance.
Worth the effort:
* It may take a day or two to sort out but cleaning your gutters properly will guarantee they won't get blocked or overflow.
* Trimming back trees is always recommended in the autumn.
* Clean out the garage before anything is stored that can get spoiled by the cold.
Finally, preparing an emergency kit is a great way to make those small and big emergencies as easy to handle as possible. This is what you should have at hand's reach:
* A small tool bag containing a torch, a roll of insulation tape, spare fuses, spare batteries and a screwdriver
* A radiator key
* A fire extinguisher if you have one, checked or recently replaced
* Important telephone numbers like the police, a trusted plumber, electrician, etc.
Friday, November 12, 2010
Survey: Parent Investors Buying Homes vs. Spending Money on Rent, Dorms
RISMEDIA, November 12, 2010--Every fall, parents wave goodbye as their college-bound kids pack up their belongings, make the drive down university lane and prepare for football games, mid-terms and freedom. While college living is often associated with dorms and campus housing, Coldwell Banker Real Estate LLC discovered that many parents are opting to purchase a home rather than spend money on rent or dorm fees. According to a recent survey among the Coldwell Banker® network of real estate professionals in college towns, 64 percent see a significant number of “parent investors” buying homes for their kids to live in while attending the university.
To see how college towns stack up in home price affordability, Coldwell Banker Real Estate released its new College Home Listing Report (College HLR), which provides the average home listing price of four-bedroom, two-bathroom properties listed for sale between April and September 2010 on coldwellbanker.com in markets home to the 120 schools in the Football Bowl Subdivision. With almost two-thirds of the College HLR markets having subject homes priced less than $250,000 (78 in total), college towns prove to be a touchdown for homebuyers.
The top 10 most affordable markets in the Coldwell Banker Real Estate College Home Listing Report are:
1. Ball State University, Muncie, Ind. - $105,115
2. University of Buffalo: The State University of New York, Buffalo, N.Y. - $117,223
3. University of Memphis, Memphis, Tenn. - $135,090
4. University of South Carolina, Columbia, S.C. - $137,707
5. University of Akron, Akron, Ohio - $139,711
6. Eastern Michigan University, Ypsilanti, Mich. - $141,629
7. Ohio University, Athens, Ohio - $141,964
8. Kent State University, Kent, Ohio - $153,662
9. University of Toledo, Toledo, Ohio - $155,286
10. Louisiana Tech University, Ruston, La. - $157,110
“Towns that are home to major universities have a special vibe you just don’t find anywhere else,” said Jim Gillespie, chief executive officer, Coldwell Banker Real Estate and alumni of the Illinois Fighting Illini. “It’s about more than just great sports and local flavor. College towns offer rich culture and most have steady economic bases oftentimes highlighted by outstanding medical and research facilities.”
While not all college towns are affordable, even the more expensive markets make great places to live.
The top 10 most expensive markets in the Coldwell Banker Real Estate College Home Listing Report are:
1. Stanford University, Palo Alto, Calif. - $1,385,652
2. University of Hawaii, Honolulu, Hawaii - $833,439
3. University of California LA, and University of Southern California, Los Angeles, Calif. - $833,087
4. University of Colorado, Boulder, Colo. - $791,877
5. Boston College, Chestnut Hill, Mass. -$791,408
6. United States Naval Academy, Annapolis, Md. - $671,151
7. San Jose State University, San Jose, Calif. - $650,111
8. University of California Berkeley, Berkeley, Calif. - $636,958
9. University of Washington, Seattle, Wash. - $624,338
10. Northwestern University, Evanston, Ill. - $559,855
Additional Survey Findings:
Coldwell Banker Real Estate also found that college towns have continued to be a hot spot for real estate investing, regardless of the downturn in the economy. Seventy-three (73) percent of Coldwell Banker real estate professionals surveyed said they see a significant number of investors buying homes near campus and renting them to people in the community, with only 21 percent seeing a decrease in this trend over the past five years.
“Our survey suggests two types of investors see value in college towns,” Gillespie said. “Long-term investors take advantage of the steady stream of renters, including students, professors and university officials. “‘Parent investors’ buy homes for their child to live in while attending college. Roommates provide rental income for the mortgage, and the hope is that students care for the home and it appreciates over time.”
With so many benefits to living in a college town, they aren’t just for investors. Alumni and retirees are finding reasons to re-live their glory days, as well. Fifty one (51) percent of the survey respondents noted they see a lot of alumni homebuyers, and 49 percent see a significant number of retirees moving to their college town.
“It’s not just students who want to live near campus, attend games and take interesting classes,” Gillespie said. “For a few years now, college towns have been popular markets for alumni and retirees. I’m a great example,” he said. “I purchased a home in Champaign, Ill. to be near my alma mater, the University of Illinois, and it’s one of the best decisions I’ve ever made, from both a lifestyle and a financial perspective.”
Fun Fact:
The survey of Coldwell Banker real estate professionals uncovered that a college sports team’s performance affects more than just a football ranking; nearly one quarter (24 percent) of respondents indicated that the success of a college’s sports teams can have an impact on the local real estate market.
For a fun look at fans’ perspectives, Coldwell Banker Real Estate spoke with dozens of people on a fall football Saturday for insider thoughts on what makes their college town special. To see these interviews, please visit Coldwell Banker On Location: http://www.youtube.com/watch?v=fmglCxq1sck.
To see how college towns stack up in home price affordability, Coldwell Banker Real Estate released its new College Home Listing Report (College HLR), which provides the average home listing price of four-bedroom, two-bathroom properties listed for sale between April and September 2010 on coldwellbanker.com in markets home to the 120 schools in the Football Bowl Subdivision. With almost two-thirds of the College HLR markets having subject homes priced less than $250,000 (78 in total), college towns prove to be a touchdown for homebuyers.
The top 10 most affordable markets in the Coldwell Banker Real Estate College Home Listing Report are:
1. Ball State University, Muncie, Ind. - $105,115
2. University of Buffalo: The State University of New York, Buffalo, N.Y. - $117,223
3. University of Memphis, Memphis, Tenn. - $135,090
4. University of South Carolina, Columbia, S.C. - $137,707
5. University of Akron, Akron, Ohio - $139,711
6. Eastern Michigan University, Ypsilanti, Mich. - $141,629
7. Ohio University, Athens, Ohio - $141,964
8. Kent State University, Kent, Ohio - $153,662
9. University of Toledo, Toledo, Ohio - $155,286
10. Louisiana Tech University, Ruston, La. - $157,110
“Towns that are home to major universities have a special vibe you just don’t find anywhere else,” said Jim Gillespie, chief executive officer, Coldwell Banker Real Estate and alumni of the Illinois Fighting Illini. “It’s about more than just great sports and local flavor. College towns offer rich culture and most have steady economic bases oftentimes highlighted by outstanding medical and research facilities.”
While not all college towns are affordable, even the more expensive markets make great places to live.
The top 10 most expensive markets in the Coldwell Banker Real Estate College Home Listing Report are:
1. Stanford University, Palo Alto, Calif. - $1,385,652
2. University of Hawaii, Honolulu, Hawaii - $833,439
3. University of California LA, and University of Southern California, Los Angeles, Calif. - $833,087
4. University of Colorado, Boulder, Colo. - $791,877
5. Boston College, Chestnut Hill, Mass. -$791,408
6. United States Naval Academy, Annapolis, Md. - $671,151
7. San Jose State University, San Jose, Calif. - $650,111
8. University of California Berkeley, Berkeley, Calif. - $636,958
9. University of Washington, Seattle, Wash. - $624,338
10. Northwestern University, Evanston, Ill. - $559,855
Additional Survey Findings:
Coldwell Banker Real Estate also found that college towns have continued to be a hot spot for real estate investing, regardless of the downturn in the economy. Seventy-three (73) percent of Coldwell Banker real estate professionals surveyed said they see a significant number of investors buying homes near campus and renting them to people in the community, with only 21 percent seeing a decrease in this trend over the past five years.
“Our survey suggests two types of investors see value in college towns,” Gillespie said. “Long-term investors take advantage of the steady stream of renters, including students, professors and university officials. “‘Parent investors’ buy homes for their child to live in while attending college. Roommates provide rental income for the mortgage, and the hope is that students care for the home and it appreciates over time.”
With so many benefits to living in a college town, they aren’t just for investors. Alumni and retirees are finding reasons to re-live their glory days, as well. Fifty one (51) percent of the survey respondents noted they see a lot of alumni homebuyers, and 49 percent see a significant number of retirees moving to their college town.
“It’s not just students who want to live near campus, attend games and take interesting classes,” Gillespie said. “For a few years now, college towns have been popular markets for alumni and retirees. I’m a great example,” he said. “I purchased a home in Champaign, Ill. to be near my alma mater, the University of Illinois, and it’s one of the best decisions I’ve ever made, from both a lifestyle and a financial perspective.”
Fun Fact:
The survey of Coldwell Banker real estate professionals uncovered that a college sports team’s performance affects more than just a football ranking; nearly one quarter (24 percent) of respondents indicated that the success of a college’s sports teams can have an impact on the local real estate market.
For a fun look at fans’ perspectives, Coldwell Banker Real Estate spoke with dozens of people on a fall football Saturday for insider thoughts on what makes their college town special. To see these interviews, please visit Coldwell Banker On Location: http://www.youtube.com/watch?v=fmglCxq1sck.
Thursday, November 11, 2010
Census: Couples Marrying Later, Affects Household Size
Census: Couples Marrying Later, Affects Household Size
RISMEDIA, November 11, 2010--The median age at first marriage increased to 28.2 for men and 26.1 for women in 2010, an increase from 26.8 and 25.1 in 2000, according to the U.S. Census Bureau. This increase is a continuation of a long-term trend that has been noted since the mid-1950s. In addition, the overall percentage of adults who were married declined to 54.1 percent in 2010 from 57.3 percent in 2000.
According to America's Families and Living Arrangements, the average household size declined to 2.59 in 2010, from 2.62 people in 2000. This is partly because of the increase in one-person households, which rose from 25 percent in 2000 to 27 percent in 2010, more than double the percentage in 1960 (13 percent).
These data come from the 2010 Current Population Survey, which provides a look at the socioeconomic characteristics of families and households at the national level.
"This series of tables highlights some of the changes in household composition over the last decade," said Rose Kreider, a family demographer at the U.S. Census Bureau.
Even though the overall household size declined between 2000 and 2010, some household subgroups increased in size. For example, households where the householder had less than a high school degree increased to an average of 2.87 people in 2010 from 2.67 people in 2001.
Editor's note: The information can be accessed at http://www.census.gov/ population/www/socdemo/hh-fam.html.
Other highlights:
* The percentage of households headed by a married couple who had children under 18 living with them declined to 21 percent in 2010, down from 24 percent in 2000.
* The percentage of children under 18 living with two married parents declined to 66 percent in 2010, down from 69 percent in 2000.
* In 2010, 23 percent of married-couple family groups with children under 15 had a stay-at-home mother, up from 21 percent in 2000. In 2007, before the recession, stay-at-home mothers were found in 24 percent of married-couple family groups with children under 15.
* The percentage of children under 18 who lived in a household that included a grandparent increased from 8 percent in 2001 to 10 percent in 2010. Of the 7.5 million children who lived with a grandparent in 2010, 22 percent did not have a parent present in the household.
RISMEDIA, November 11, 2010--The median age at first marriage increased to 28.2 for men and 26.1 for women in 2010, an increase from 26.8 and 25.1 in 2000, according to the U.S. Census Bureau. This increase is a continuation of a long-term trend that has been noted since the mid-1950s. In addition, the overall percentage of adults who were married declined to 54.1 percent in 2010 from 57.3 percent in 2000.
According to America's Families and Living Arrangements, the average household size declined to 2.59 in 2010, from 2.62 people in 2000. This is partly because of the increase in one-person households, which rose from 25 percent in 2000 to 27 percent in 2010, more than double the percentage in 1960 (13 percent).
These data come from the 2010 Current Population Survey, which provides a look at the socioeconomic characteristics of families and households at the national level.
"This series of tables highlights some of the changes in household composition over the last decade," said Rose Kreider, a family demographer at the U.S. Census Bureau.
Even though the overall household size declined between 2000 and 2010, some household subgroups increased in size. For example, households where the householder had less than a high school degree increased to an average of 2.87 people in 2010 from 2.67 people in 2001.
Editor's note: The information can be accessed at http://www.census.gov/ population/www/socdemo/hh-fam.html.
Other highlights:
* The percentage of households headed by a married couple who had children under 18 living with them declined to 21 percent in 2010, down from 24 percent in 2000.
* The percentage of children under 18 living with two married parents declined to 66 percent in 2010, down from 69 percent in 2000.
* In 2010, 23 percent of married-couple family groups with children under 15 had a stay-at-home mother, up from 21 percent in 2000. In 2007, before the recession, stay-at-home mothers were found in 24 percent of married-couple family groups with children under 15.
* The percentage of children under 18 who lived in a household that included a grandparent increased from 8 percent in 2001 to 10 percent in 2010. Of the 7.5 million children who lived with a grandparent in 2010, 22 percent did not have a parent present in the household.
Regional Spotlight: Tax Credit Effect Evident in Illinois Third Quarter Home Sales
Regional Spotlight: Tax Credit Effect Evident in Illinois Third Quarter Home Sales
RISMEDIA, November 11, 2010--More than half of Illinois counties reported gains in the median home sale price during the third quarter of 2010 compared to a year ago despite the post-tax credit slowdown in sales activity.
According to the Illinois Association of REALTORS® (IAR) third quarter 2010 report, Illinois home sales (which include single-family homes and condominiums) totaled 24,628 in the third quarter, down 24.9 percent from 32,776 home sales in the same period a year ago. The third quarter statewide median home sale price was $154,000, down 6.1 percent from $164,000 in the third quarter of 2009. The median is a typical market price where half the homes sold for more, half sold for less.
"Home sales totals in the third quarter are evidence buyers sped up their home purchases to get the tax credit incentive while momentum toward price stabilization proved resilient in some markets and tempered in others," said REALTOR® Sheryl Grider Whitehurst, ABR, CRB, GRI, president of the Illinois Association of REALTORS® and the Development and Operations Coordinator for Traders Realty in Peoria. "For the housing market to move forward in this post-stimulus environment will require much stronger signals that the economy, jobs and foreclosure outlooks are improving."
Adds Whitehurst: "Looking ahead to the typically slower holiday months, buyers will still find exceptional affordability conditions with low mortgage interest rates and home prices."
The 3Q10 interest rate for 30-year, fixed-rate mortgages averaged 4.45 percent in the North Central Region, according to the Federal Home Loan Mortgage Corporation. It was down from 4.94 percent in the second quarter and down from 5.28 percent a year ago in 3Q09.
"The national and regional economies continue to under-perform even though the National Bureau of Economic Research indicated that the economic recovery began in July 2009; there is broad agreement that the pace of recovery needs to be accelerated," said Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois. "Since the beginning of the recession in December 2007, Illinois has added jobs in eight months and suffered declines in 24. If account is taken of population (and thus the labor force growth), Illinois would need to add 450,600 more jobs to put it in a comparable position to the last peak level recorded in November 2000."
In the Chicagoland Primary Metropolitan Statistical Area (PMSA) total home sales (single-family and condominiums) were down 22.4 percent in the third quarter of 2010 to 16,520 homes sold compared to 21,297 home sales in the third quarter of 2009.
The Chicagoland PMSA third quarter 2010 median price was $188,666, down 8.0 percent from $205,000 in the third quarter of 2009.
More than half of Illinois counties (51 of 99 counties reporting) posted median price increases in the third quarter of 2010 compared to the same period in 2009 including: Champaign, up 4.1 percent to $147,500; DuPage, up 0.6 percent to $238,627; Knox, up 10.3 percent to $75,000; Lake, up 4.2 percent to $216,700; Madison, up 5.0 percent to $121,500; Saint Clair, up 15.7 percent to $141,950; Sangamon, up 3.9 percent to $124,000; and Tazewell, up 6.6 percent to $127,900.
In the city of Chicago, total home sales (single-family and condominiums) in the third quarter were down 23.1 percent to 4,477 sales compared to 5,820 sales in the third quarter of 2009. The city of Chicago median price in the third quarter was down 16.1 percent to $192,900 from $230,000 in third quarter 2009.
"The third quarter of 2010 reflects a different marketplace than the same period in 2009, when buyers were incentivized with $8,000 and $6,500, respectively, for first-time and move-up home purchases," said Mabel Guzman, president of the Chicago Association of REALTORS® and a REALTOR® with Su Familia Real Estate, Chicago. "Today, tightened credit practices paired with a lack of consumer confidence continue to make homebuying a challenge for those potentially on the fence. Positive signs, however, can be seen in the stabilization of the average price in the city of Chicago and the ongoing investment in distressed properties throughout the city."
Sales and price information is generated from a survey of Multiple Listing Service sales reported by 35 participating Illinois REALTOR® local boards and associations. The Chicago PMSA, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
RISMEDIA, November 11, 2010--More than half of Illinois counties reported gains in the median home sale price during the third quarter of 2010 compared to a year ago despite the post-tax credit slowdown in sales activity.
According to the Illinois Association of REALTORS® (IAR) third quarter 2010 report, Illinois home sales (which include single-family homes and condominiums) totaled 24,628 in the third quarter, down 24.9 percent from 32,776 home sales in the same period a year ago. The third quarter statewide median home sale price was $154,000, down 6.1 percent from $164,000 in the third quarter of 2009. The median is a typical market price where half the homes sold for more, half sold for less.
"Home sales totals in the third quarter are evidence buyers sped up their home purchases to get the tax credit incentive while momentum toward price stabilization proved resilient in some markets and tempered in others," said REALTOR® Sheryl Grider Whitehurst, ABR, CRB, GRI, president of the Illinois Association of REALTORS® and the Development and Operations Coordinator for Traders Realty in Peoria. "For the housing market to move forward in this post-stimulus environment will require much stronger signals that the economy, jobs and foreclosure outlooks are improving."
Adds Whitehurst: "Looking ahead to the typically slower holiday months, buyers will still find exceptional affordability conditions with low mortgage interest rates and home prices."
The 3Q10 interest rate for 30-year, fixed-rate mortgages averaged 4.45 percent in the North Central Region, according to the Federal Home Loan Mortgage Corporation. It was down from 4.94 percent in the second quarter and down from 5.28 percent a year ago in 3Q09.
"The national and regional economies continue to under-perform even though the National Bureau of Economic Research indicated that the economic recovery began in July 2009; there is broad agreement that the pace of recovery needs to be accelerated," said Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois. "Since the beginning of the recession in December 2007, Illinois has added jobs in eight months and suffered declines in 24. If account is taken of population (and thus the labor force growth), Illinois would need to add 450,600 more jobs to put it in a comparable position to the last peak level recorded in November 2000."
In the Chicagoland Primary Metropolitan Statistical Area (PMSA) total home sales (single-family and condominiums) were down 22.4 percent in the third quarter of 2010 to 16,520 homes sold compared to 21,297 home sales in the third quarter of 2009.
The Chicagoland PMSA third quarter 2010 median price was $188,666, down 8.0 percent from $205,000 in the third quarter of 2009.
More than half of Illinois counties (51 of 99 counties reporting) posted median price increases in the third quarter of 2010 compared to the same period in 2009 including: Champaign, up 4.1 percent to $147,500; DuPage, up 0.6 percent to $238,627; Knox, up 10.3 percent to $75,000; Lake, up 4.2 percent to $216,700; Madison, up 5.0 percent to $121,500; Saint Clair, up 15.7 percent to $141,950; Sangamon, up 3.9 percent to $124,000; and Tazewell, up 6.6 percent to $127,900.
In the city of Chicago, total home sales (single-family and condominiums) in the third quarter were down 23.1 percent to 4,477 sales compared to 5,820 sales in the third quarter of 2009. The city of Chicago median price in the third quarter was down 16.1 percent to $192,900 from $230,000 in third quarter 2009.
"The third quarter of 2010 reflects a different marketplace than the same period in 2009, when buyers were incentivized with $8,000 and $6,500, respectively, for first-time and move-up home purchases," said Mabel Guzman, president of the Chicago Association of REALTORS® and a REALTOR® with Su Familia Real Estate, Chicago. "Today, tightened credit practices paired with a lack of consumer confidence continue to make homebuying a challenge for those potentially on the fence. Positive signs, however, can be seen in the stabilization of the average price in the city of Chicago and the ongoing investment in distressed properties throughout the city."
Sales and price information is generated from a survey of Multiple Listing Service sales reported by 35 participating Illinois REALTOR® local boards and associations. The Chicago PMSA, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
Wednesday, November 10, 2010
HUD to Launch Pilot Program to Help Homeowners
HUD to Launch Pilot Program to Help Homeowners
RISMEDIA, November 10, 2010-- HUD on Tuesday announced a new pilot program that will offer credit-worthy borrowers low-cost loans to make energy-saving improvements to their homes. Backed by the Federal Housing Administration (FHA), these new FHA PowerSaver loans will offer homeowners up to $25,000 to make energy-efficient improvements of their choice, including the installation of insulation, duct sealing, doors and windows, HVAC systems, water heaters, solar panels, and geothermal systems.
HUD and FHA developed PowerSaver as part of the Recovery Through Retrofit initiative launched in May 2009. More homeowners are interested in making their homes energy efficient, according to industry forecasts. Yet options are still limited for financing home energy improvements, especially for the many homeowners who are unable to take out a home equity loan or access an affordable consumer loan. HUD today published a notice seeking the participation of a limited number of mortgage lenders in the two-year pilot program slated to begin in early 2011.
“PowerSaver provides lenders with a new product option to serve a potentially growing market,” said David H. Stevens, FHA Commissioner. “We believe there are a number of lenders who will be interested in working with us to help save energy and money for homeowners, while creating jobs and cutting greenhouse gas emissions.”
Lenders will be selected to participate in the PowerSaver pilot based on their capacity and commitment to provide affordable home energy improvement financing. Lenders will be required to serve communities that have already taken affirmative steps to expand home energy improvements. HUD will help lenders identify such markets – which exist in many suburban, rural and urban areas across the country.
PowerSaver loans will be backed by the FHA – but with significant “skin in the game” from private lenders. FHA mortgage insurance will cover up to 90 percent of the loan amount in the event of default. Lenders will retain the remaining risk on each loan, incentivizing responsible underwriting and lending standards. FHA will provide streamlined insurance claims payment procedures on PowerSaver loans. In addition, lenders may be eligible for incentive grant payments from FHA to enhance benefits to borrowers, such as lowering interest rates.
PowerSaver has been carefully designed to meet a need in the marketplace for borrowers who have the ability and motivation to take on modest additional debt to realize the savings over time from a home energy improvement. PowerSaver loans are only available to borrowers with good credit, manageable overall debt and at least some equity in their home (maximum 100% combined loan to value).
To read the full text of FHA’s notice, visit HUD’s website.
RISMEDIA, November 10, 2010-- HUD on Tuesday announced a new pilot program that will offer credit-worthy borrowers low-cost loans to make energy-saving improvements to their homes. Backed by the Federal Housing Administration (FHA), these new FHA PowerSaver loans will offer homeowners up to $25,000 to make energy-efficient improvements of their choice, including the installation of insulation, duct sealing, doors and windows, HVAC systems, water heaters, solar panels, and geothermal systems.
HUD and FHA developed PowerSaver as part of the Recovery Through Retrofit initiative launched in May 2009. More homeowners are interested in making their homes energy efficient, according to industry forecasts. Yet options are still limited for financing home energy improvements, especially for the many homeowners who are unable to take out a home equity loan or access an affordable consumer loan. HUD today published a notice seeking the participation of a limited number of mortgage lenders in the two-year pilot program slated to begin in early 2011.
“PowerSaver provides lenders with a new product option to serve a potentially growing market,” said David H. Stevens, FHA Commissioner. “We believe there are a number of lenders who will be interested in working with us to help save energy and money for homeowners, while creating jobs and cutting greenhouse gas emissions.”
Lenders will be selected to participate in the PowerSaver pilot based on their capacity and commitment to provide affordable home energy improvement financing. Lenders will be required to serve communities that have already taken affirmative steps to expand home energy improvements. HUD will help lenders identify such markets – which exist in many suburban, rural and urban areas across the country.
PowerSaver loans will be backed by the FHA – but with significant “skin in the game” from private lenders. FHA mortgage insurance will cover up to 90 percent of the loan amount in the event of default. Lenders will retain the remaining risk on each loan, incentivizing responsible underwriting and lending standards. FHA will provide streamlined insurance claims payment procedures on PowerSaver loans. In addition, lenders may be eligible for incentive grant payments from FHA to enhance benefits to borrowers, such as lowering interest rates.
PowerSaver has been carefully designed to meet a need in the marketplace for borrowers who have the ability and motivation to take on modest additional debt to realize the savings over time from a home energy improvement. PowerSaver loans are only available to borrowers with good credit, manageable overall debt and at least some equity in their home (maximum 100% combined loan to value).
To read the full text of FHA’s notice, visit HUD’s website.
Friday, September 17, 2010
The Law of Success
Mental Equipment Checklist
by Dr. Napoleon Hill
There follows a list of very desirable qualities which almost any normal and reasonable person can come to possess and exercise. The list is long and perfection may be only slowly attained. Therefore, before entering into a detailed consideration of the things you would like to have your mind and body capable of doing, let's at once enumerate those which are absolutely necessary.
1. Physical fitness is of tremendous importance for the simple reason that neither mind nor body can function well without it. Therefore, give attention to your habits of life, proper diet, healthful exercise and fresh air.
2. Courage must be the part of every man or woman who succeeds in any undertaking, especially that of selling in these trying time of intense competition after a devastating period of depression and discouragement.
3. Imagination is an absolute requisite of a successful salesman. He must anticipate situations and even objections on the part of his prospective customer. He must have such a lively imagination as to enable its operation to place him in sympathetic understanding with the position, needs, and objectives of his customer. He must almost literally stand in the other man's shoes. This takes real imagination.
4. Speech. The tone of voice must be pleasing. A high-pitched squeaky voice is irritating. Words half swallowed are hard to understand. Speak distinctly and enunciate clearly. A meek voice indicates a weak person. A firm, clean-cut, clear voice that moves with assurance and color, indicates an aggressive person with enthusiasm and aggressiveness.
5. Hard work is the only thing that will turn sales training and ability into money. No amount of good health, courage, or imagination is worth a dime unless it is put to work; and the amount of pay a salesman gets is usually fixed by the amount of very hard, intelligent work that he actually puts out. Many people side-step this factor of success.
Source: How to Sell Your Way Through Life, 1955, Ralston Publishing Co., Cleveland, Ohio, pgs. 72-73.
by Dr. Napoleon Hill
There follows a list of very desirable qualities which almost any normal and reasonable person can come to possess and exercise. The list is long and perfection may be only slowly attained. Therefore, before entering into a detailed consideration of the things you would like to have your mind and body capable of doing, let's at once enumerate those which are absolutely necessary.
1. Physical fitness is of tremendous importance for the simple reason that neither mind nor body can function well without it. Therefore, give attention to your habits of life, proper diet, healthful exercise and fresh air.
2. Courage must be the part of every man or woman who succeeds in any undertaking, especially that of selling in these trying time of intense competition after a devastating period of depression and discouragement.
3. Imagination is an absolute requisite of a successful salesman. He must anticipate situations and even objections on the part of his prospective customer. He must have such a lively imagination as to enable its operation to place him in sympathetic understanding with the position, needs, and objectives of his customer. He must almost literally stand in the other man's shoes. This takes real imagination.
4. Speech. The tone of voice must be pleasing. A high-pitched squeaky voice is irritating. Words half swallowed are hard to understand. Speak distinctly and enunciate clearly. A meek voice indicates a weak person. A firm, clean-cut, clear voice that moves with assurance and color, indicates an aggressive person with enthusiasm and aggressiveness.
5. Hard work is the only thing that will turn sales training and ability into money. No amount of good health, courage, or imagination is worth a dime unless it is put to work; and the amount of pay a salesman gets is usually fixed by the amount of very hard, intelligent work that he actually puts out. Many people side-step this factor of success.
Source: How to Sell Your Way Through Life, 1955, Ralston Publishing Co., Cleveland, Ohio, pgs. 72-73.
Friday, September 10, 2010
Wednesday, August 11, 2010
Thursday, July 1, 2010
Working with reputable lenders...
How is it that in today's market, we are still coming across lenders that are not fully qualifying their clients?!?!
My partner has been working a short sale file for 2 years and finally had everything in line with both banks that she had to negotiate hard with! And a week before closing she finds out that the buyers credit isn't good enough to get final commitment for their loan??? And this is after they gave her the run-around saying they needed a 30 extension to ensure that the well water testing was in... however, that wasn't the case she soon found out! They did need the water test to pass, but more importantly they really needed time to check on the buyers credit score!
But how did the buyer get an approval letter if their score was too low in the first place?! When she asked the lender why they gave them a pre-approval letter, they told her that they gave the letter based on the buyers future score! What in world is going on here? I sympathize with the buyer because he has actually invested money in the property and has done work there to ensure that they passed any appraisal issues and township inspections! How does a lender like this stay in business? How could they not inform their client of the situation?
Stories like this are exactly why we only use reputable lenders that we know are honest and upfront about all situations! I want to know when they cannot approve a buyer and we want a plan in place to better a buyers credit if needed! In markets like the one we are in, there's too thin of a line to work with anyone that you don't have faith in...
My partner has been working a short sale file for 2 years and finally had everything in line with both banks that she had to negotiate hard with! And a week before closing she finds out that the buyers credit isn't good enough to get final commitment for their loan??? And this is after they gave her the run-around saying they needed a 30 extension to ensure that the well water testing was in... however, that wasn't the case she soon found out! They did need the water test to pass, but more importantly they really needed time to check on the buyers credit score!
But how did the buyer get an approval letter if their score was too low in the first place?! When she asked the lender why they gave them a pre-approval letter, they told her that they gave the letter based on the buyers future score! What in world is going on here? I sympathize with the buyer because he has actually invested money in the property and has done work there to ensure that they passed any appraisal issues and township inspections! How does a lender like this stay in business? How could they not inform their client of the situation?
Stories like this are exactly why we only use reputable lenders that we know are honest and upfront about all situations! I want to know when they cannot approve a buyer and we want a plan in place to better a buyers credit if needed! In markets like the one we are in, there's too thin of a line to work with anyone that you don't have faith in...
Wednesday, June 30, 2010
U.S. House Extends Closing Deadline for Homebuyer Tax Credit
IT'S ABOUT TIME THEY DECIDED! I wish they would have done this sooner because I bet there are a lot of buyers that let their contracts go because of they figured they would be missing out on the opportunity to get the $8,000!
See the link for more details!
See the link for more details!
Tuesday, June 29, 2010
How to price a short sale listing...
Many may say to price it at a price that will net the full amount due to the bank before reducing the price... my opinion is to price it around the fair market value. Overpriced listings don't sell, so what's the point of overpricing a short sale home if you aren't going to sell it? And ya know what, the fair market value still might not generate enough activity! Buyers want a deal, so why not price your short sales competitively.. maybe 10-15% below the market value? And make appropriate adjustments in price if you aren't seeing any results. I think that's the fairest way to go about it. The Federal Governemnt passed the Debt Relief Act so homeowners are not liable to pay the balance of their loan if it is a primary residence. So price your short sales appropriately and get them sold!
Monday, June 28, 2010
Tax credit extension standstill?!
I just read an article that congress has not passed the tax credit extension!!! What are they waiting for? There are roughly 4,300 New Jersey buyers that will lose out on the tax credit if they don't extend it. And it's all because their sales were postponed or short sales haven't been approved. This should be an easy decision and it's taking so long! What are your thoughts? Should they pass the extension?
Friday, June 25, 2010
Thank goodness for credit repair!!!
WHEW!!! We just dodged a bullet... (fingers crossed!)...
We have a short sale that is just about approved and the buyer (maybe the 2nd or 3rd buyer for this property!) just found out that he needs to bring his credit score up about 20 points before he can buy... UGH!!!
It's a great thing that we have a relationship with Brian Dinella from Avenue Financial because he's going to help this client improve his score! If all goes as planned, we should be ready to move forward in 60 days or so! It's crucial in this challenging market to have great service providers in your corner!
If anyone needs help call Brian @ 856-982-0084 or email him @ bdinella@theavenuellc.com.
We have a short sale that is just about approved and the buyer (maybe the 2nd or 3rd buyer for this property!) just found out that he needs to bring his credit score up about 20 points before he can buy... UGH!!!
It's a great thing that we have a relationship with Brian Dinella from Avenue Financial because he's going to help this client improve his score! If all goes as planned, we should be ready to move forward in 60 days or so! It's crucial in this challenging market to have great service providers in your corner!
If anyone needs help call Brian @ 856-982-0084 or email him @ bdinella@theavenuellc.com.
Thursday, June 24, 2010
What's up with all of these overpriced homes?!?!
I had appointments to show about 8 homes the other day with a client of mine who is looking in the $165,000 to $175,000 price range. He was really excited to head out and was extremely optimistic about finding a home that day... UNTIL... we saw about 3 of the 8 homes and realized how overpriced they were!!! I couldn't believe that these homes have been at their current prices for so long without a price adjustment... Sellers really need to understand that this market is flooded with listings and if your home isn't priced aggressively, buyers will pass on by... The only way sellers will realize this is if we, agents, have REAL conversations with our clients about pricing?!
Wednesday, June 16, 2010
Thursday, May 27, 2010
Friday, May 21, 2010
Saturday, May 15, 2010
Friday, May 14, 2010
Wednesday, April 14, 2010
Monday, April 12, 2010
Friday, April 9, 2010
Tuesday, April 6, 2010
Thursday, April 1, 2010
Monday, March 22, 2010
Thursday, March 18, 2010
Wednesday, March 17, 2010
Monday, March 1, 2010
Tuesday, February 23, 2010
Friday, February 19, 2010
Beautiful 1 bedroom condo, only blocks from the beach!
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Tuesday, February 16, 2010
Wednesday, February 10, 2010
Thursday, February 4, 2010
Thursday, January 28, 2010
Saturday, January 23, 2010
Monday, January 18, 2010
There are SO many reasons to buy a home!
There are many benefits to home ownership. Here are just a few of them...
1) Tax Breaks!
The interest you pay on your mortgage and the property taxes you pay are tax deductible!
2) The chance to have your investment grow!
It has been proven that over time, Real Estate is the best investment you can make. Yes, the market can go down, as it has recently, but it can also go up, and if you are in it for the long haul, you will see appreciation.
3) The flexibility of ownership
When you own your own home, you can make it what you want it to be. The kitchen you want, the floors you like, etc. instead of having to accept someone else's choices and restrictions in a rental situation.
4) The chance to build equity in your investment
Each mortgage payment you make puts you closer to being the full owner of your property.
5) The best reason
You can come home and know that you really are home in your very OWN place!
Now is a great time to buy...epecially with the tax credits available through April 30, 2010.
Call the Deals in NJ team today for more details!
856-685-1633
1) Tax Breaks!
The interest you pay on your mortgage and the property taxes you pay are tax deductible!
2) The chance to have your investment grow!
It has been proven that over time, Real Estate is the best investment you can make. Yes, the market can go down, as it has recently, but it can also go up, and if you are in it for the long haul, you will see appreciation.
3) The flexibility of ownership
When you own your own home, you can make it what you want it to be. The kitchen you want, the floors you like, etc. instead of having to accept someone else's choices and restrictions in a rental situation.
4) The chance to build equity in your investment
Each mortgage payment you make puts you closer to being the full owner of your property.
5) The best reason
You can come home and know that you really are home in your very OWN place!
Now is a great time to buy...epecially with the tax credits available through April 30, 2010.
856-685-1633
Friday, January 15, 2010
Wednesday, January 13, 2010
Mortgage Information
U.S.News and World Report gave some interesting mortgage information and predictions which I summarize for you here:
“More than 3 years into a painful housing crash, the real estate market has sent recent -albeit tentative signs of stabilization. Home sales have increased, inventory levels are down and price declines have become less precipitous.”
Lending standards have tightened in the last few years and some people predict further tightening ahead. “Generally to get the best rate around, you need a 20% down payment, says Guy Cecala, the publisher of Inside Mortgage Finance, an industry newsletter. That doesn’t mean that you can’t get a mortgage if you have less of a down payment… it just means that you may not get the best interest rates.”
Lenders are also looking for higher credit scores than previously. Currently, most lenders prefer to see a score of 730 or higher.
For those with lower credit scores and less down payment FHA loans offer a great alternative. Currently, a borrower needs a credit score of 690 or better and a minimum down payment of 3.5% to purchase a home and get an FHA loan.
Keep in mind that the mortgage industry is constantly changing. Rates and requirements can change at any time so it is important to consult with a reputable mortgage person and get the facts as they relate to your situation.
“More than 3 years into a painful housing crash, the real estate market has sent recent -albeit tentative signs of stabilization. Home sales have increased, inventory levels are down and price declines have become less precipitous.”
Lending standards have tightened in the last few years and some people predict further tightening ahead. “Generally to get the best rate around, you need a 20% down payment, says Guy Cecala, the publisher of Inside Mortgage Finance, an industry newsletter. That doesn’t mean that you can’t get a mortgage if you have less of a down payment… it just means that you may not get the best interest rates.”
Lenders are also looking for higher credit scores than previously. Currently, most lenders prefer to see a score of 730 or higher.
For those with lower credit scores and less down payment FHA loans offer a great alternative. Currently, a borrower needs a credit score of 690 or better and a minimum down payment of 3.5% to purchase a home and get an FHA loan.
Keep in mind that the mortgage industry is constantly changing. Rates and requirements can change at any time so it is important to consult with a reputable mortgage person and get the facts as they relate to your situation.
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