THE BUZZ
Hi [[autoname]],
January is a time of reflections, predictions, and resolutions. So here are some of my mine:
Reflections: 2009 real estate activity started down and ended up. Sales of homes increased this past November to the highest level in nearly three years. Lower mortgage rates, pent-up demand, and strong first-time homebuyer activity stimulated by new Federal tax credits are reasons for this positive activity. Also, the economy finally returned to growth during the fourth quarter of last year, after a record four straight quarters of decline.
Predictions: Experts are feeling positive. Lawrence Yun, Chief economist for the National Association of Realtor predicts, “We are expecting a surge this spring.” Homeowners regard the value of owning a home to be integral to their financial stability. The key to the best investment in real estate still is location. Many homeowners recognize that now may be the right time to buy. On average, sellers aren't renting and putting their money into the bank or stocks. Instead, they are buying again to reposition their assets.
Resolutions: May 2010 be a year of health, happiness and financial security for you and your family. My goal for 2010 is to be your knowledge expert for real estate and help you evaluate your current housing needs. The right decision may be to enjoy your current home or make some smart updates. But with good prices available, making a strategic move may make sense now.
Real estate is seasonal. The strongest market traditionally is in the spring to summer when we are deciding if we want to move to a larger home, smaller home, different neighborhood, or even a different area. Whatever your needs, know that I am here to serve and wish you the best for 2010.
Q: As we enter the New Year, I'm wondering what remodeling projects would give me the best return on my investment?
A: Let’s look at what the experts say. According to a recent survey by Remodeling Magazine, the top big-impact, low-cost projects include:
- Tidy up the insides of your kitchen cabinets to make them appear roomier, add or replace tile on counters and backsplashes, and add a breakfast bar. You can even replace the cabinet doors and drawer fronts for $4,000 to $10,000 in an average size kitchen.
- In the bathroom, add a new medicine cabinet, light fixtures and faucet. Install new glass shower doors if they are dated.
- Replace light fixtures in the entry hall and other major rooms. New overhead lighting can provide a lot of “pop” for little money.
- If you have a basement, consider painting the basement floor with floor paint. Also, make sure the room’s been ventilated before showing. No one wants to be in a room with air that’s stale or damp.
- If your garage is at the front of your house, you may want to consider replacing the door with a new one and adding a remote touchpad entry system. Garage doors are available lots of places. Even Costco sells them now.
Remember, the way you sell your home may not be the way you live in your home. Every organized home I see makes me impressed and leaves a positive impression.
Every year brings a host of buzzwords that capture the goings-on of our world. As we say goodbye to 2009, I think back to the words that symbolized the year.
Staycations: This summer, we didn’t just stay home, we took staycations. Making weekend travels to areas a couple hours from home, we stayed within our areas and enjoyed what was near and dear.
Single Level Homes: I am seeing this phrase in all caps on MLS listings now. People want to simplify their lives. This may just be the hot floorplan for this next decade.
Twitter and Facebook: Social networking became the norm. We are reaching out and connecting with people over the internet who share our interests. This phenomenon will grow in the years to come and make us even more connected to people all around the world.
Of course, you can always unfriend those people you never really wanted to get to know in the first place. In fact, the New Oxford American Dictionary named unfriend the word of the year for 2009.
Smartphones: And as we all start to depend more and more on our smartphones, be it an iPhone, Blackberry, or new Google Android, we love finding new apps for our service.
2010 will be pronounced “twenty-ten” and not “two thousand and ten.” It is the beginning of a new era. Let’s stay connected and build our circle of friends as we move forward together.
January 2010 marks a new way to shop for mortgages. Federal rules now mandate a standard three-page Good Faith Estimate that helps you compare a lender’s offerings. The new rules were announced by HUD in November of 2008 and update the older RESPA Act of 1974 (Real Estate Settlement Procedures Act).
How does this help you? Before, it was difficult to compare mortgage offers from lenders. High fees can wipe out the benefits of low rates, such as prepayment penalties or points. Now, lenders must wrap all fees they control into one “origination charge.” Some experts are recommending that you focus on two items: the interest rate and the “origination charge,” which includes additional fees.
Good Faith Estimates have been around for decades, but now there is this standard format and the lender must give you the estimate forms within three days of receiving a loan application. You can see the new form at www.hud.gov/content/releases/goodfaithestimate.pdf