By now everyone has heard of, whether you agree with it or not, the stimulus package signed into law by our new President. Included is the $8000 tax credit for first time homebuyer's that NO longer needs to be repaid as long as it is your principal residence for at least 3 years. I want to get more into what the steps first time homebuyers will go thru, but before doing so, here are the basic terms of the tax credit at a glance:
-Tax credit is for 1st time buyers only -Credit does not have to be repaid as long as it is principal residence for at least 3 years -The credit is equal to 10% of the purchase price of the home up to a maximum of $8000 -Available for homes purchased on or after Jan 1, 2009 and before Dec 1, 2009 -To qualify single taxpayers can have incomes up to $75,000 and married couples up to $150,000 to qualify for the full credit, those with incomes over these amounts can potentially still qualify for a percentage of the credit, which can be further discussed with your tax advisor.
As with any legislation, there are many terms and conditions involved with this credit. I wholeheartedly recommend that you speak with you mortgage advisor and/or tax professional for a full list of provisions.
So you have decided, like many others, that now is a great time to buy your first home. In this market where interest rates are low and there are numerous homes on the market to choose from, first time home buyers have a distinct advantage. The biggest advantage that you have is that you do not have another property to sell before you can purchase a home. Sellers in this market do not want to take their home off the market while you wait to sell your home. The other distinct advantage that you have is the low interest rates available on home loans. Some may say what if home prices drop 10%? I am going to furious with myself for not waiting! Yes you could pay less for the house in a year if prices were to drop 10%, but what happens if by that time interest rates go up even 1%? A $250,000 mortgage (not including taxes and insurance) at 5.5% would put your monthly mortgage investment at $1419 per month. Say that same house 1 year from now drops 10% and you can get a $225,000 mortgage for your new home, but the interest rate rises just 1%, you will now pay $1422/month for that house. So you actually lose $3/month by waiting for prices to drop. This is just for comparison, as many areas have not seen a 10% decline in values, but just something to keep in mind as many people are asking why is now a good time to buy?
So now that you have decided that you are going to jump feet first into the pool of homes available for sale what are the next steps that you should take? (Some buyers will complete #2 before #1, but both are important 1st steps)
1) Speak with a mortgage consultant you feel comfortable with about what you can afford. - Be sure to get a good faith estimate from this lender that shows all the fees that you are going to be paying for the loan. Some lenders will charge points in order to make more money off the loan that they are selling you (1 point is equal to 1% of the total loan amount- a $200,000 mortgage with one point will cost $2000). Sometimes you may want to pay a point upfront to lower the interest rate for the life of the loan. Just make sure that if you have a question about a charge that you get an answer that you are comfortable with. If a lender doesn't give you a satisfactory answer, go to someone who will. Make sure you are comfortable!
2) Do some research about homes that are available for sale in areas that you are interested in living in. With the amount of home search sites now on the internet you can find a site easily, but www.AndrewHimes.com will show you every home available for sale in the Delaware Valley region. Once you have found an area that you are interested in you will need to find an agent that you are comfortable working with. It may not be the first agent that you come in contact with, but with the same as the lender that you are working with you need to make sure that you and the agent you choose are able to work well together. Don't be afraid to find someone else if you feel that you aren't compatible, but once you do find someone you can trust and work with, stick with them, they are working for you and in your best interest.
3) Once you have had a chance to sit down with both a lender and your agent, now comes the fun of going out and actually viewing homes that are of interest. You will have your mortgage pre-approval ready should you find your dream house. You may find that perfect home on your first day out looking at homes, it may take longer, but once you find it be ready to pull the trigger. Homes that are priced right are the ones that are selling and if you wait too long it may be gone before you ever have the chance to make an offer. Just this month I have had 2 buyers put offers in on homes that have had multiple bids on them, while the home next door has been on the market for months, it is overpriced and buyers have no interest in overpriced homes in this market.
4) When you are putting an offer together you will need an earnest deposit to put down with your offer and this amount will vary by area and the type of mortgage that you will be using. Your agent will be able to help you determine what amount is typical for your area. This deposit will then come off of the total amount of money that you will need to bring to the settlement table for closing.
5) Determining an offer price. Your agent again will give you info on previously sold properties in the area to help you base your offer price on. This will give you an idea of what a reasonable price for the home is. Your agent will then help negotiate the best possible price for the home.
6) Inspection Time! In PA there are numerous different inspections that are to be performed by the buyer, should you elect to do so. I would never tell anyone to not get an inspection done on the property that they are purchasing, but again the ultimate decision comes down to your comfort level. The main inspections done during a home purchase are a: Full Home inspection, Wood Destroying Insect Inspection, Radon Testing, Water Test for Private Wells & Sewer Inspection for On-Site Sewage. There are others that are more area specific and will be discussed with you by your agent when explaining the agreement of sale. After these inspections you will have the ability to negotiate with the sellers any items that were brought to your attention by the inspector(s).
7) Other contingencies to the purchase- Some properties will be in a Home Owners Association or Condo Association and you are entitled to receive the Rules and Regulation from the Association to review before you finalize the purchase of the property. In most cases the seller is responsible for getting these documents to you for review and you have a specific time frame to review these documents and bring up any questions before hand
8) Finalize the mortgage with the lender. At this point you have submitted a full application to the lender and you are just waiting to get the final mortgage commitment. Once this is completed you are just waiting to show up to settlement and purchase your new home.
Of course, each home purchase is different and some other items will need to be completed by you and/or your agent, but this is a means to help get you prepared for one of the biggest purchases in your life. I wish you the best of luck in your endeavor and if I can be of any assistance please feel free to ask.
Andrew Himes, Realtor®, e-PRO®, ABR® Prudential Fox & Roach Realtors, Collegeville, PA 610-831-8131 www.AndrewHimes.com
So there is a lot of information floating around about the new Mega shopping center that is being built in Collegeville, PA about the status of the project and when it is scheduled to open. I wanted to help to try and clear some of this up for residents and those thinking of moving to this wonderful area.
The 1st Phase of the shopping center including the re-opening of Arcola Rd to Mennonite Rd is now scheduled to open on October 11, 2009. The stores that are scheduled to open during this initial phase are as follows:
Wegman's Grocery, Best Buy, LA Fitness, Dick's Sporting Goods, DSW Shoes, Ulta Cosmetics, Five Below, Staples, PetsMart, Michaels', Raymour & Flanigan, PNC Bank, PF Chang's, Eastern Mountain Sport (EMS), and Olive Garden.
Phase 2 (Main Street with the lifestyle tenancy) will open no earlier than Summer 2010, but could be pushed back into the Spring of 2011.
The stores that will be occupying this phase of the center will be determined closer to the scheduled open date of this part of the shopping center. Some of the stores that were previously reported to be going into the shopping center have come on troubled financial times and barring unforeseen turnarounds will not be part of the center.
If you would like more info on the center or the general Collegeville area please don't hesitate to contact me.
Sincerley,
Andrew Himes, e-PRO, ABR, REALTOR Prudential Fox & Roach Realtors Collegeville Office www.AndrewHimes.com 610-831-8131
Andrew Himes of Prudential Fox & Roach presents another fine townhome for sale in Perkiomen Woods. This 3 bed 2.5 bath features a large living room and seperate dining room, a spacious eat in kitchen and finished loft space that is ideal for a 4th bedroom or home office. See more of this home here.
Contact:
Andrew Himes, e-PRO, ABR, REALTOR @ Prudential Fox & Roach Realtors 610-831-5300 x8131 or by visiting AndrewHimes.com
Here you will find the properties that are listed for sale currently and all the properties that sold in 2008. You can also see how the market changed from 2007 to 2008, based on average list to sales prices. Having listed and sold more properties in the developement than any other agent in 2008, I look forward to answering any questions that you might have.
Below you will find detailed information for each of the properties that are currently listed for sale and those that sold in 2008. I have sold more homes in the development than any other agent since 2003. I am more than happy to address any questions that you may have about this wonderful community. I look forward to any comments that you have.
Perkiomen Woods is a townhouse development of close to 500 homes that features a newly redesigned pool and clubhouse as well as tennis courts and fitness center. One the best benefits besides the fact that it is an outstanding community is the fact that the Perkiomen Trail passes directly through the development making a bike ride to Philadelphia or a walk to Lower Providence Park a convenient possibility. There are numerous styles of homes in the development with some being built in the late 70's to late 90's. The development has plenty to offer including close proximity to major roads and tons of new shopping like the soon to open Providence Town Center at the intersection of Rts 422 & 29 as well as a new shopping center with a "Super" Wawa & Malvern School right around the corner from development.
I have listed and sold more homes in this development than any other Real Estate agent since 2006 so if you have questions about the development be sure to contact me. Not only have i helped more homeowners in the development buy and sell but my wife and I reside here as well. It would be my pleasure to show you why we love to call this wonderful development home.
Make today better than the previous!
Andrew Himes, Realtor, e-PRO, ABR Weichert, Realtors Collegeville www.AndrewHimes.com 610-409-6677
I attended a conference last week and found some of the comments shared there to be quite compelling. The best comment I have heard regarding the current real estate market was made by Terry Watson, one of the funniest speakers I have ever heard. He made a great point saying that when department stores, or wherever you shop for consumer goods, have sales we are lined up at the door hours before the store opens and then we beat each other up just to get that product that is on sale. Yet when Real Estate is on sale everyone tends to shy away thinking that it isn't a great time to buy. I ask why do we rush to buy $100 items that are on sale at 10% off, yet we don't do the same to purchase one the biggest assets you will ever buy when that same 10% discount applies. Not only are you getting a 10% discount on the home you buy, but historically Real Estate prices have always gone up, helping you to build equity and long term wealth. These $100 items not only depreciate over time, but they don't provide much use other than a few days worth of enjoyment until the next 'NEW' things becomes available. Now I know everyone isn't ready or able to buy in this current market, but if you are there are incredible opportunities that you can take advantage of. All markets don't have 10% discounts on home prices but there are discount available in pretty much every market in the U.S. Statistics here in our local Montgomery County, PA area are seeing the number of unsold homes on the market starting to decrease and this is even with new homes coming on the market this Spring.
Another great comment I heard this week used the stock market as an analogy to the housing market as many Americans are also heavily vested in the stock market. The old adage that we should "Buy Low & Sell High", while a great concept is rarely able to be executed perfectly. How do you know when something has reached the lowest point, making it the optimal time to buy? You usually realize this when prices begin to go back up and you see that you have missed the boat. As the number of homes that are currently market begin to dwindle this will enable prices to remain steady with fewer and fewer discounts needing to be offered to entice buyers. Don't miss your opportunity to make a smart purchase and take the steps to build long term wealth.
Please feel free to contact me if you are interested in moving to this wonderful area of Southeastern PA, I would love to show you all the opportunities that this area has to offer.
Andrew Himes, e-Pro, ABR Certified Relocation Specialist Weichert, Realtors Collegeville, PA 267.231.8255 (c) www.AndrewHimes.com Andrew@AndrewHimes.com
Good news! This morning, the National Association of Realtors (NAR) reported that existing home sales rose 2.9 percent nationally in February. What's more, existing home sales in the Northeast increased 11.3 percent. In addition, the median home price in the region was up 0.4 percent from a year ago. According to Lawrence Yun, NAR chief economist, these gains are encouraging signs that the market is stabilizing.
Now, albeit that homesales look to be on the rise which is the case nationwide, it is because the 'Unrealistic Sellers' have finally begun to notice that "yesterdays" prices are no longer the norm. It doesn't matter what your neighbor sold for last year, what matters is what buyers are willing to pay for your home TODAY! Prices have stabalized and buyers are getting back into the market to find that there are great deals to be had. You never know what price you can purchase a home for until you write up that offer and start the negotiations.
Now is truly the time to buy, especially for 1st time home buyers who dont have a property to sell first. With the combination of low interest rates and a large supply of homes to choose from, there has never been a better time for buyers!
Also if you are planning on "Trading Up" to a larger home, it could be the ideal time for you as well. While you might feel that you are taking a 5% discount on the sale of your $200,000 home you will most likely be able to get that larger nicer home for a 5% discount or more as well. Since there are so many opportunities right now you can actaull save money by selling in a buyer's market.
Please let me know if you are planning on buying or selling in this wonderfull part of Southeastern Pennsylvania, I would love to show you all the area has to offer. Always feel free to visit www.AndrewHimes.com to view all available homes for sale using my interactive map based home search.
Buying a home is a great investment, possibly the largest investment you will ever make, so it seems logical that you would want to invest your money wisely when the time comes to purchase a new home. The following report will tell you simple but often-overlooked procedures that will allow you to maximize the dollars you spend on your new home.
Most homebuyers have two primary considerations when they start looking for a home. First, you want it to meet your needs and desires, and secondly, you want to get the best buy possible to obtain your new home. Successful homebuyers emerge from a sale with the features they want in their new home at the best price available in the market.
For starters, you must know what you are looking for in a home. You must have a list of needs as well as a list of desires, but be sure when choosing the actual home that you go with the one that fulfills most of your needs. It is not uncommon for someone to start out with very specific needs and wants but fall in love with a home offering different features. Ideally a house will come along that has all of your needs and desires, but sometimes that doesn't occur. Be careful not to get caught up in the excitement of home shopping and end up with a home that is not as close to perfect as possible.
You should be pre-approved for a loan by a professional mortgage lender. By understanding what you can afford, you will not spend time looking for homes that are out of your price range. You also need to understand the various financial aspects of the sale, from whether to spend more up front or make a smaller down payment and work with a larger loan. There are several costs to consider in the process of buying a home. Your REALTOR can recommend a reputable mortgage lender who has the reputation of providing excellent service and good rates.
Choose your Agent wisely. Any agent will show enthusiasm and will want to help you locate your new home; they need
•A. Experience at assisting buyers in locating the best home.
•B. Ability to use technology to search the market thoroughly.
•C. To review with you comparable home sales in the area you choose.
•D. Information pertaining to new homes coming on the market that other agents do not know of.
Working with a full-time professional real estate agent is a must. Choose your agent by asking questions of him or her. Find out how knowledgeable they are about houses currently for sale in your price range and also of houses that have recently sold. Can your agent recommend a good lender that has the reputation of excellent customer service and low rates to assist your new buyer with financing? A good listing agent can get your house sold quickly at TOP DOLLAR and help you find a new home.
For prompt, courteous, professional service, call Andrew Himes:
If you are interested in learing about the homebuying process and want to attend a hassle-free information session then Nov 7th at 7pm is for you. Myself along with our Weichert Financial Services representative will be on hand to answer your real estate and mortgage questions. Space is limited so sign up asap. We look forward to seeing you there.
Homebuyer Seminar
FACT: NOW IS THE TIME TO BUY. GET THE INSIDE STORY.
Topics include:
What's happening with Real Estate in your community.
Available financing options.
How Weichert simplifies the home buying process.
SEATING IS LIMITED
CALL YOUR Andrew Himes TODAY TO RESERVE YOUR SEAT!
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
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