With all of the bad economic news it's great to know this area of North Carolina will once again be booming. UNC has conditional approval for a new 68-bed hospital to be built in Hillsborough. The new hospital will include an emergency room, observation beds, operating rooms, general procedure rooms, a vascular and interventional radiology room and a radiology procedure room. This should alleviate congestion at the main facility in Chapel Hill. The plans are for this facility to open in 2014.
Duke is also in the news with plans for a new Cancer Center and Major Expansion of Duke University Hospital. This new expansion should bring many new jobs to our area and new families along with it. The new "state of the art cancer center" and new "Duke Medicine Pavilion" (a major expansion of surgery and critical care services) will bring high quality healthcare as well as be a leading economic driver creating as many as 1,500 jobs during construction and an estimated 1,000 permanent jobs upon completion.
It's a great time to think about moving to the area and if you have clients or you yourself are considering this area and need help finding the perfect place, don't hesitate to call or visit www.fowleradvantage.com for more information!
We felt it was time to reach out to our client base as well as new potential clients and share the good news regarding the current market. We feel there has never been a better time to buy a home than RIGHT NOW!
Buyers need to get on the bandwagon while rates are still low and values are at their lowest point in years and before the $8000 First Time Homebuyer Tax Credit is gone! We would anticipate that property values may soon rise and multiple offers seem to be increasing. In addition, interest rates are expected to increase over the next year which means making a home purchase now, may be a great economic choice.
We would welcome the opportunity to speak with you regarding your interest in purchasing a new home, vacation home or investment property.
In discussing interest rates and mortgage options with our first choice lender, Tanya Wilson at Franklin American Mortgage Company, she said that "interest rates are truly at an all time low and they have been funding loans in record numbers once again. Borrower's confidence in purchasing new homes has come full circle and she is prequalifying numerous new clients each day". In addition to great rates on conforming and FHA loans, they are offering phenomenal rates on 100% USDA loans. She is also happy to discuss their competitive options on refinancing your current properties as well. Call Tanya Wilson Today at (336) 314-4397.
To discuss the real estate opportunities available, please give us a call at Teresa 919-260-2713 or Lee at 919-260-2713 or email us at teresafowler@kw.com and sfowler220@nc.rr.com and we would be happy to assist you. We hope to hear from you soon and look forward to giving you a first hand look at the opportunities to build wealth through real estate.
In case you haven't seen this - According to RISMedia - October 20, 2009 - "The industry's most powerful associations sent a letter to administration advocating for extension of hombuyer tax credit outlining why the tax credit has had a simulative effect on not only the housing market but on the US economy as a whole"
A copy of the letter is below:
Dear Secretaries Geithner and Donovan and Dr. Summers:
The undersigned trade associations have supported the first-time homebuyer tax credit as an effective housing stimulus during the current economic crisis. Congress established the homebuyer credit as part of the Housing and Economy Recovery Act of 2008 and it was subsequently expanded in the American Recovery and Reinvestment Act of 2009. The Internal Revenue Service (IRS) recently reported that over 1.4 million taxpayers have benefited from the tax credit as of August 2009.
The current global credit crunch and economic recession began in the U.S. housing market and recovery will not be complete until the housing market returns to economic health. In normal times, housing represents approximately 15% of U.S. gross domestic product, with numerous spillover benefits into other parts of the economy. Although we are seeing some improvement in the housing market, it is essential that the favorable impact of the first-time homebuyer credit be sustained beyond the upcoming expiration date of November 30, 2009.
The undersigned trade associations request your support for the extension of the first-time homebuyer tax credit for twelve more months.
Economic Impacts of Housing As the housing markets began to falter, the economic ripples were felt across a number of industries. This highlights that housing is a pillar of our economy, and emphasizes the need to ensure we do not jolt today's very fragile housing market just as we are starting to see signs of stabilization. As the housing market recovers, so do a number of other businesses, including small businesses that rely on family expenditures that accompany home purchases.
NAR has estimated that the first-time homebuyer tax credit program has generated approximately 355,000 home sales above what would have occurred in the absence of a credit. The credit has also allowed greater mobility among sellers. Existing homeowners are able to relocate (or simply move to a different home) because their current home has been sold to an eligible tax credit buyer. These entry-level, credit-eligible purchases have helped to reduce the glut of homes presently for sale on the market.
This increased housing activity leads to other benefits as well. A December 2008 report by the National Association of Home Builders (NAHB) examined the spending behaviors of those who recently purchased a home. The study showed that buyers of newly-constructed homes spent an average of $12,332 on additional goods and services. Those who purchased an existing home spent an average of $8,927. The report indicated that this money is spent in three main areas: property repairs and alterations, appliances, and furnishings. NAHB has estimated that this spending, in addition to other economic benefits connected to housing activity stimulated by the tax credit program, has produced 187,000 jobs.
Importantly, the tax credit has produced tangible effects with respect to the imbalance between supply and demand in the housing market. New home inventory has continued to fall due to dramatic declines in construction. In addition, a welcome pickup in sales has also reduced inventory. Consequently, months-supply currently stands at 7 months, down from 12.4 months in January 2009. A healthy housing market ideally has 5 to 6 months-supply. Likewise, months-supply of existing homes on the market has fallen to 8.5 months, down from its high of 10.6 in November 2008.
Achieving equilibrium between supply and demand for housing is critical to stabilizing housing prices, and therefore household wealth. An extended homebuyer tax credit is a critical policy for achieving this goal.
Conclusion The undersigned trade associations believe that the first-time homebuyer tax credit has had a stimulative impact on our economy. We support extending and even expanding it so the credit can help more buyers and sellers. As we approach the sunset date of the current $8,000 tax credit, we urge Congress to expand the program to include all purchasers of principal residences, increase the credit, make the funds available for closing, and extend the overall program by at least 12 months.
Our fragile economy is just beginning to show signs of recovery. We should not jeopardize that recovery by letting this tax credit expire. The homebuyer tax credit is helping hundreds of thousands of Americans realize the American dream, and it is creating thousands of jobs that rely on housing. Problems in the housing industry led us into a global recession and housing incentives can help lead us out of the recession.
Our members greatly appreciate the efforts that the current administration has made by helping troubled homeowners to stay in their homes, providing Treasury support to the secondary market for mortgages, and shoring up the housing industry through the first-time homebuyer tax credit. We encourage you to finish the job already started by extending and expanding the current first-time homebuyer tax credit.
Most sincerely, Mortgage Bankers Association National Association of Home Builders National Association of Realtors
It's that time of year again, and here in North Carolina we are begining to feel the change. Thats right, old man winter is right around the corner. Because we're having cold temperatures at night it's time to start thinking of home winter preparation.
What is home winter preparation, you ask? It is the things that need to be done, to, and around your home to help protect it from the elements. First off, lets talk about the trees close to the structure. Any overhanging branches that are close to the roof need to be trimed or removed. Wind will do wonders with these branches and the effects of branches blowing and making contact with the shingles can be costly.
Next it's time to remove all leaves, dirt and branches from the gutters. Any debris in the gutters will weigh it down. It prevents all of the water from reaching the downspouts. Also take time to make sure the downspouts are clean as well and that all of the water, coming from the downspouts, runs away from the foundation. Check to make sure the gutters are in good shape and not sagging or falling away from the structure. Make any repairs needed.
Now that the trees are trimmed and the gutters are clean, it's time to inspect the roof for missing, cracked, or deteriorated shingles. Areas with missing shingles, obviously need to be fixed. The idea is to keep all the water on top of the shingles and not let it get under them. Replace any broken or missing shingles. Now if you notice a few cracked shingles, it is a good idea to buy a tube of roofers caulk and fill these cracks in. Also check the caulking around any flashing, vents, sky lights, and chiminey. These are the most common areas for water entry. If you are not a DIY type of person, then you may need to find a roofing contractor or handyman to do this for you.
Any exposed wood, for example, the fascia and rake boards, needs to be sealed. A fresh coat of paint or stain will do the trick. One way to tell if your are in need of paint is to look for peeling or cracked paint. If the fascia or rake boards have been stained, check for discoloration or fading. These are signs of needing to be stained or sealed again.
Your roof is now ready for what winter has in store. A little work will save you a lot in the long run. My next blog will tackle the rest of the home, excluding the roof.
Being in the Real Estate business we get to see what a home really means to people. For young first time home buyers it's a new, very exciting, and sometimes scarry journey. For older people it's a safe haven of comfort and security. A house means different things for different people. I wanted to share with you what a house means to us:
A house is more than a place to put your feet up and watch TV. It represents belonging and offers placement in a crowded world. Have you ever met anyone who didn't at some point ask "Where do you live?". A home represents our most heartfelt relationships. It offers a safe haven from storms; it's where we have dinner with our family and a place that offers us privacy. It holds all of our "stuff"; it's where we entertain our friends and it's where, at the end of the day, we can lock the door and sleep peacefully. It's where we belong... Let us help you find your place of belonging or provide the personal touch and service required in the many steps in selling the place where you've held so many memories.
Benjamin Franklin once said, "Time is money." And that great truth is especially important to remember these days as changes continue to unfold in today's housing market. In an effort to protect consumers, the government continues to create new guidelines surrounding the home loan process. Fannie Mae recently made changes in Announcement 09-19 regarding Miscellaneous Underwriting, Eligibility, and Property Related Updates. These changes are in effect on loan applications dated September 1, 2009 and later.
While consumer protection is definitely important, these guidelines have made the mortgage process tougher. It's crucial that you prepare your clients for these tougher requirements and explain to them how important it is for them to provide good, timely documentation.
Tough economic times can cause a major strain on your marriage. And while we all know that communication is often the key to overcoming this challenge, discussing finances with a spouse can be extremely difficult for many people. With this in mind, here are some tips to at least get the conversation started.
Get Out of the House - One of the worst times to discuss finances with your significant other is just after you've paid the bills. Let's face it, there's something about writing all of those checks that suddenly makes the reality of your monthly finances sink in. So, instead of approaching your spouse with statements in hand, try waiting a few hours. Think about what you want to say and how you want to say it. Then invite your partner for a walk or a cup of coffee at a local coffee house. The key here is a change of environment, a relaxed, neutral place where your partner won't feel like he or she is being attacked.
Give Your Partner Some Credit - If starting the conversation is hard for you, try opening with a story about your parents' attitude and behavior towards money. This will provide an opportunity for your partner to do the same, opening the door for the discussion. Experts suggest starting off with an example of your own shortcomings and how you hope to change it. Also, offering a compliment of what he or she has been doing right is a great way to break the ice.
Never Assume - Your goal here is to establish a common ground, to create and quantify a plan of action that will benefit you both, even a small goal that you both can work toward as a team. Because of this, you really can't assume that your values and beliefs are absolutely correct and flawless. Be respectful and humble and listen to what your partner has to say. Most importantly, don't blame.
Bring in an Expert - Take the conversation to the next level. Once you've established a general plan, talking to a financial planner together can serve not only to ease the tension, but to solidify your common goals. Either way, keep talking, keep trying, and avoid bickering. Remember, no argument has ever decreased anyone's monthly bills and keeping quiet has never increased anyone's savings.
Some of you may wonder why Closing Credit Cards is number one on this list as the biggest credit mistake even above Missing Payments. Closing credit card accounts will not increase your credit scores. There are two huge reasons not to close credit cards that you no longer use. They are:
They will eventually fall off your credit reports- In most cases credit information will remain on your credit files for no longer than seven years from the account's Date of Last Activity or "DLA." Your DLA will continue to update each month so long as the account remains open. So, an open account will never reach the seven-year mark because each month your DLA updates to the current month. However, once you close the account your DLA will cease to update and the clock begins ticking. Eventually the account will be removed permanently from your credit reports. Why is this a bad thing? The answer to this one is very simple. It's all about your impressive past. If you have a perfect record of making your payments on time then this significantly helps your credit scores so why would you ever want that history to disappear? You wouldn't. What should you do with old credit cards that you don't use any longer? Use the card once every few months for dinner or a low dollar item. Pay the bill in full. Doing this will ensure that the account will never be closed and you'll always get credit for your good payment history.
You will hurt your "utilization" measurements- This is significantly more important than your closed accounts eventually falling off your credit reports. Revolving Utilization is the amount of your revolving credit card limits that you are currently making use of. For example, if you have an open credit card with a $2,000 credit limit and a $1,000 balance then you are 50% "utilized" on that account because you're using half of the credit limit. This measurement is almost as important to your credit scores as making your payments on time. If you had a second open, but unused, credit card with a $2000 credit limit and a $0 balance then your aggregate revolving utilization is 25% because you have $4000 in credit limits and $1000 in balances. $1000 divided by $4000 is .25 or 25%. How will closing an unused credit card hurt your credit score? Let's say that you closed that second unused credit card from the above example. Once you do so then you remove it from any utilization calculation and now you're stuck with one open card with a $2000 credit limit and a $1000 balance. Now your utilization has gone from 25% to 50% (divide $1000 by $2000 and you get .50 or 50%). As this percentage increases, your credit score decreases.
We've had some clients tell us about how much landscaping they've done, how much remodeling inside, painting, new carpet, new cabinets, new HVAC systems, etc. These things are great! However, remember if you are selling your home you will not get dollar for dollar back on these investments. Your home will be compared to other homes in the same area that have sold. Realtor's look at what comparable homes have sold for recently in your immediate area and try very hard to price a home close to the market value of the property. If you go above market value typically your home may sit on the market longer than someone who prices their property at or below market value. Upgrades without a doubt help sell a property and in turn help you get top dollar for your property. Price, condition and location are what will sell a home. Do those upgrades, just keep in mind that you are upgrading to get top dollar for your home, but if you overprice the chances of your home sitting on the market for a long time, people wondering why it hasn't sold and the home becoming overexposed are greater.
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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