List in the Winter

Some home owners may be hesitant to list in the winter, believing the cold-weather season won’t attract many buyers or leave the best impression of their property. But while spring may be the peak home shopping season, owners may be able to sell their home for more in the winter.

The real estate brokerage Redfin found that on average, sellers net more above asking price during the months of December, January, February, and March than they do from June through November. The study found this is true even in cold-weather cities like Boston and Chicago. What’s more, homes listed in the winter tended to sell faster than those in the spring too.

“Timing always depends on supply and demand,” says Christine Dossman, a real estate professional in Indianapolis. Evaluate the number of days on the market for current and recently sold listings. If most listings are lingering for more than 60 days, home owners may find waiting until spring when more buyers emerge as more beneficial.

But “if properties are selling quickly, take that as a green light to list,” Peggy Vee, a real estate broker in Vienna, Va., told TIME.

However, winter home sellers need to be wise with their approach, agents say. The winter season needs special pricing considerations since there tend to be fewer shoppers, and as such, it can be a bad time to test the market and list high. Also, winter buyers will be more attune to issues like heating – the cost and maintenance. Also, home stagers say that the gray days ahead can leave a gloomy impression of the home too. They urge home sellers to still place a high importance on curb appeal such as with basic landscaping and cool-weather plants like holly to liven up the outdoor landscape. Home sellers can also try to create a sense of warmth inside the home, such as with throw blankets in the living room and stacked wood by the fireplace.

Source: TIME

***Many homeowners that were trying to sell during the warmer months, decide to take their home off the market as the cooler weather and holidays approach. Their thought is to relist the property in the springtime when there are more people "looking" at homes that are for sale. Not only are there more people looking, there are more properties to choose from.

In my experience, those homeowners that keep their property available for purchase during the "slower" months ultimately find that the prospective buyers are more serious about buying and there is far less competition. These are reasons to consider prior to deciding to take your property off the market.

- Scott Snyder

Happy Halloween - Haunted Houses

Ever wondered what it’d be like to live in a haunted house? Skip the ghost tour and buy one of these haunted listings, perfect for those unafraid of sharing space with the supernatural.

Ann Starrett Mansion

Photo: John L. Scott Real Estate

Port Townsend, Wash.
$750,000
Overlooking Puget Sound, the Queen Anne-style Ann Starrett Mansion is reportedly haunted by a red-headed female specter in the home’s 70-foot tower, seen by an innkeeper from outside the locked residence. Constructed in 1899 by contractor George E. Starrett for his wife, the home features an octahedral dome atop the tower that acts as a solar calendar, with ruby-colored glass casting a red glow inward as the seasons change. In recent years, the property was a bed and breakfast and boutique hotel.
As the listing description states, “frescos of angelic maidens painted in Ann’s image will enchant you”…and give you nightmares.
Kenworthy Hall

Photo: The Realedyne Group

Marion, Ala.
$950,000       
Presently home to a horse farm, Kenworthy Hall is an Italianate-style villa purportedly haunted by a female apparition in the tower room on the fourth floor. The woman is thought to be Lucinda, wife of Edward Kenworthy Carlisle, an established cotton broker and planter who commissioned architect Richard Upjohn to design the home in 1858. The property was named a National Historic Landmark in 2004.
Neither furniture nor horses are included in the list price, but we think a ghost is a fair trade-off.
Related: 'The Silence of the Lambs’ Home Hits the Market 
John Sowden House

Photo: Sotheby’s International Realty

Los Angeles, Calif.
$4,799,000
Drawing comparisons to a Mayan temple and a great white shark, the John Sowden House was designed by Sowden’s friend, architect Lloyd Wright, and built in 1926. The home, located in Los Feliz, was later occupied by Dr. George Hodel, the prime suspect behind the grisly Black Dahlia murder. (Hodel’s son maintains the slaying occurred inside the home.) Successive residents report Hodel haunts the property, and many have heard the sound of heavy chains dragging, among other strange noises.
Creeeeepy!
Schweppe Estate

Photo: Berkshire Hathaway HomeServices KoenigRubloff

Lake Forest, Ill.
$9,950,000
The Schweppe Estate, also known as the Mayflower Palace, was built in 1915 as a wedding gift to Marshall Field’s heiress Laura Shedd and her husband Charles Schweppe (of Schweppes carbonated drinks). The property sat empty for more than 45 years following Schweppe’s suicide, brought on by the discovery that his wife had left him just $200,000 of her $10 million fortune after her untimely death. Several accounts claim both Charles and Laura haunt the estate’s bedrooms, and one master bedroom window has remained eerily free of dust, despite the age of the home.
Does that mean we’ll save on maid services?

Source: RisMedia Housecall by, Suzanne DeVita
 

New Mortgage Disclosure Rules Coming Soon

REALTORS® say they plan to change their purchase agreements to allow for a longer timeline for the closing process due to the upcoming changes from new mortgage disclosures rules.

Starting on Oct. 3, the TILA-RESPA Integrated Disclosure rule is to go into effect, which will merge the HUD-1 Settlement Statement, the Good Faith Estimate, and the Truth-in-Lending disclosure form into two new closing forms: a Loan Estimate and a Closing Disclosure. The new rule also aims to provide consumers with more time to review the total costs of their mortgage prior to closing. The Loan Estimate form is due to consumers three days after they apply for a loan, while the Closing Disclosure form is due three days prior to closing.

The current HUD-1 settlement form can be revised and delivered up to the day of settlement, but the new mortgage forms must be finalized and in the borrower’s possession three days prior to closing. If that deadline is not met, borrowers will receive another re-issuance of the closing disclosure and wait another three days.

As such, some real estate professionals are extending their contract timelines due to the uncertainties of dealing with the new regulations, says Ken Fears, NAR's director of regional economics and housing finance.

Eighty-two percent of real estate professionals say they've taken some training to prepare for the TRID rule.

Source: "Real Estate Agents to Extend Contracts for New Mortgage Disclosures," National Mortgage News (Sept. 1, 2015) and "REALTORS® Train for TRID," National Association of REALTORS®' Economists' Outlook

This September a Great Month for Buyers

 

Buyers who are willing to close on a home purchase during the off-peak seasons – like fall and winter – tend to have the upper-hand, according to Jonathan Smoke, realtor.com®'s chief economist. September, in particular, is the best month of this year to sign a contract to purchase a home, according to his analysis.

For one thing, supply is rising, providing home buyers with more choices of homes for sale than they've had in the past 10 months. In the third week of August, inventory was at 1.91 million units, an increase from 21 percent since January, according to realtor.com®.
"Normally inventory peaks in August and begins to slow as the nights grow longer," Smoke says. "But this year the typical seasonal decline will start a bit later. There will be more choices in September than any other month in 2015."

Also, he says that overall demand is down now that the school year has started so buyers will provide less competition this month too.

"And, of course, with less competition for the most listings all year, pricing power weakens as inventory takes longer to sell," Smoke says.

As an added incentive to home buyers, mortgage rates are remaining low, for now. The 30-year fixed-rate mortgage ended the week under 4 percent due to recent stock market turbulence. In June, 30-year rates were averaging 4.2 percent, but have since fallen.

Source: Daily Real Estate News
Realtor®Magazine

Moving Tips

Moving Tips

Within the next month, the kids will be out of school and for a lot of families, it might just be time to move. Moving brings an entire new set of stresses and tasks.

Check out these tips for moving, courtesy of Move.com.

4 weeks from move date: Get organized and start notifying the right people and companies that you'll be moving soon and give them a date to forward or terminate service. Start looking for licensed and professional moving companies, moving guides and relevant coupons.

Tip: If using a professional mover, get quotes from multiple moving companies to get the best deal that is right for you and your needs. Ask plenty of questions like whether or not they give binding quotes and what kind of insurance is included. Be sure to talk with them about the different options available with full-service moves such as packing and unpacking services and providing boxes and packing supplies.

Tip: Important documents such as your child's school records may need to be accessible during your transition. Make sure to put these items aside and make copies of any records for yourself, in case you forget what box they're packed in.

3 weeks from move date: Once you've selected a mover, begin by taking inventory of your belongings and their worth and decide what will be coming with you to your next home.

Tip: Start cleaning out closets, drawers and storage areas of your home and divide things into categories: "pack," "recycle" and "give to friend." You can always have a garage sale or donate old items to charity. This will make packing day a lot easier and you may reduce the total weight you'll be paying for to move.

Tip: If you're moving yourself or contracting for a self-service move, pack the items you know you won't need until 30 days after the move. It will feel great to get started early.

Tip: If possible, take pictures of rooms and areas inside the home or apartment you'll be moving into so you can start thinking about placement of furniture, artwork and other items. This will help save time, headaches...and money...on moving day.

2 weeks from move date: If you choose not to take advantage of full service mover packing services, or are planning to do it yourself and rent a truck, start packing things into boxes. Figure out the logistics of the move, travel plans and if other specialized plans need to be made.

Tip: If you are using a professional mover find out what items are on their "non-allowables" list and discard those items or find a way to transport them separately.

Tip: Instead of stacking plates, pack them vertically; they will travel safer this way.

Tip: If you are moving long distance, remember travel arrangements for your pets. There are pet-exclusive airlines available such as Pet Airways but regular airlines have travel options for pets as well.

Tip: If you have young children, you may want to make childcare arrangements so you can be 100% focused on moving day and your little ones remain safe and busy with fun activities.

Tip: Schedule "move out" cleaning service, carpet cleaners and heavy appliance disposal if necessary for once you'll be out of the home you're vacating. Even if you're selling your current home, it's a nice welcome for the buyers to move into a clean and tidy home.

1 week from move date: Set aside valuable items and keep those with you. Clean before moving and leave your house or apartment as clean as it was when you moved in.

Tip: Make sure the details for paying the moving company are taken care of. Some will require money orders or cashier's checks upon delivery; know their policy in advance to avoid stress on moving day.

Tip: Start eating all the frozen foods you have, or give them to a neighbor or friend. This way you won't have to throw them away on moving day, or worry about packing an ice chest.

Tip: Also think about necessities for managing moving day like confining your pets and anticipating the amount of time you will need.

Tip: Place necessities such as toiletries, toilet paper, rags, "must-have" cooking supplies and organize them in boxes marked "open first" so it's easy to find the initial items you'll want handy on those first few days of being in your next home. Don't forget the flashlight!

Tip: If possible, take one last tour of the new location and identify water and gas shut off locations, as well as the electrical breaker box just in case something happens in the first few days so you're prepared. Might be smart to drop off a fresh box of light bulbs too!

Moving day and beyond: Take one last walk through and make sure nothing has been forgotten or overlooked. Also, make sure all doors and windows are locked and switches turned off, then you are on your way to your new house or apartment.

Tip: Go back to the photos you took when you began to pack up. Now you can show the movers or those helping you unpack exactly where everything goes with photos.

Tip: Unpack one room at a time according to basic needs starting with the kitchen and at least one bathroom...and don't forget to make a bed as early in the day as possible if you'll be sleeping in your home that evening! Remember, you don't have to unpack everything in one day, or even in one week.

Tip: After you've settled in a bit, introduce yourself to some neighbors, ask for advice on the best places to eat, grocery shop, etc. This way you will feel like part of the community and can get some great local tips.

How Much Will That Project Cost?

Have you ever loved "that" home, but if only it had hardwood floors instead of carpet throughout. How much would that cost?

Some new online resources may help you gather quotes for you in a hurry. For example, HomeAdvisor’s True Cost Guide: http://www.homeadvisor.com/cost/ can provide you with an idea of what you can expect to pay for projects in your area.

At the site, plug in the project you want to complete, along with your ZIP code. The tool then will list the average cost of the home improvement project or repair in their area based on what others have paid. You can see a breakdown of cost estimates from the low to high end as well as average. The site offers a searchable database to gather estimates for more than 300 types of home projects and repairs, whether you want to find the average cost of remodeling a bathroom, painting the home’s exterior, installing new windows or countertops, or more.

 Another cost estimating site, called Fixr:  http://www.fixr.com/ also offers estimates on various home improvement and remodeling projects — just plug in the project and find estimated costs as well as get access to a list of contractors in your area. The site also features cost guides to give you an overview of the price of tackling projects like kitchen and basement remodels as well as the costs of repairing siding, installing new windows, adding a porch or swimming pool, and more.

These tools allow home buyers to decide if the repair or renovation is within their budget, if they opt to buy the home. The tools may also come in handy for sellers in deciding whether they should invest in fix ups prior to listing their home for sale.

Source: Realtor Magazine by Melissa Tracey

It's Becoming Easier to Get a Mortgage

  

Lenders are showing signs of loosening up when it comes to home buyers seeking a mortgage. The Mortgage Bankers Association's Mortgage Credit Availability Index ticked up slight in April, following an increase the previous month too. Increases in the index are indicative of an overall loosening of credit.MBA's index shows that mortgage credit availability has increased consistently over the last several months, coinciding with recent announcements from the federal government of programs that have been designed to open the credit box.

 

Fannie Mae and Freddie Mac's move to back 3percent loans as well as the Federal Housing Administration’s action to reduce it's mortgage insurance premiums have helped ease credit, MBA Chief Mike Fratantoni says.

Other government offerings also helped to ease credit even more in the latest report, reflecting April data, MBA notes.
"Mortgage credit availability increased on net in April," Fratantoni says. "The increase was driven by new offerings of FHA's 203K home improvement program, new VA offerings, and new jumbo products. The increase was partially offset by some investors tightening underwriting criteria on conventional cash out offerings."

REALTORS® surveyed have pinpointed tight credit conditions, significant lender overlays, and loan processing delay as a major hurdle facing their buyers the past few years, but REALTORS® are also reporting gradual improvements, according to the latest Realtors® Confidence Index, a survey of real estate professionals.

REALTORS® point to the trend of lenders showing more willingness to accept slightly lower FICO scores – moving from the high range of 740-plus to now the mid-range of 620-740.

Also, REALTORS® note an increase in the number of their clients securing a loan while making zero to 6 percent down payments. FHA's reduction in the mortgage insurance premium and the GSE-backed 3 percent down payment loans are helping buyers to come with less money to the table.
But while mortgage credit availability is showing definite signs of easing, credit continues to still be far less available than it was during the housing boom days, according to MBA.

Source: "MBA: It Keeps Getting Easier to Get a Mortgage," HousingWire (May 12, 2015) and "REALTORS® Confidence Index," National Association of REALTORS® (April 2015)