Relax in a peaceful small town setting while still being close to shopping and highways. Just south of Hagerstown Maryland lies the quiet little town of Funkstown.

This unique home has just been renovated and boasts over 2000 square feet of living space. While the home shows classic design outside it has a very unique and very livable interior.

Very large eat in kitchen with a wood burning fireplace with a woodstove insert. Just off the kitchen is a brand new laundry room with counter and sink. The outside kitchen door leads to a glass enclosed porch and then a deck with private enclosed hot tub.

The back yard features a shop/playhouse with it's own heat and AC. Completely finished the possibilities are endless for this separate building.

There are truly too many unique features to detail in this posting. For more information and pictures go to my website at www.larryshomeinfo.com

Relax in a peaceful small town setting while still being close to shopping and highways. Just south of Hagerstown Maryland lies the quiet little town of Funkstown.

This unique home has just been renovated and boasts over 2000 square feet of living space. While the home shows classic design outside it has a very unique and very livable interior.

Very large eat in kitchen with a wood burning fireplace with a woodstove insert. Just off the kitchen is a brand new laundry room with counter and sink. The outside kitchen door leads to a glass enclosed porch and then a deck with private enclosed hot tub.

The back yard features a shop/playhouse with it's own heat and AC. Completely finished the possibilities are endless for this separate building.

There are truly too many unique features to detail in this posting. For more information and pictures go to my website at www.larryshomeinfo.com

Anyone listing and selling real estate, whether agent or owner/buyer can tell that foreclosures are affecting property values. Certainly this begs the question, isn't it in the banks' best interest to get top dollar for their inventory?

The answer may surprise you!

Recently I was in contact with a local appraiser who expressed his frustration at what he referred to as two sets of data. The first is normal sales between a willing buyer purchasing from a willing seller and the other is bargain hunters buying up foreclosures. The problem is that, as foreclosures become a larger percentage of the market, the appraisers cannot ignore such a large portion of the comparables. Unfortunately at this point the banks are dealing with such a large number of REO's and short sale requests that they're choosing to fire sale the foreclosures. Most are getting BPO's from local agents and deducting 15% for a quick sale. Of course this hurts the seller who has a job transfer or especially those who may want to downsize.

So what's the solution? If you are thinking of a move and have a house to sell you may want to wait a bit. The exception to this is the move up market. If you want to move for instance, from a townhome to a single family this is the perfect market of you. If you take a hit on your townhome to sell and negotiate a similar percentage hit on the single family you're money ahead.

Of course the best scenario in the current market is to be a first time buyer. You have the $8,000 tax credit if you settle before December. You can usually negotiate some closing help from sellers in this market and rates are great.

All in all, this too shall pass. Our market is and always has been cyclical. The one think we can  count on is that change is coming.  

Thinking of buying in Frederick County? There is a special new program about to come on line to purchase REO properties in Frederick County. The program is funded by the federal Neighborhood Stabilization Program (NSP) in conjunction with the Maryland Department of Housing and Community Development's Neighborhood Conservation Initiative. This program is for bank owned properties in specific targeted areas in Frederick County.

The program gives loans from $15,000 - $25,000. These are 0% interest loans for owner occupied purchases and the loans are forgiven after 15 years. The specifics will be posted on the Frederick County website at www.co.frederick.md.us/nci  Although the site is not open yet you can go there and sign up to be notified when it opens.

The initial program offers a $15,000 loan for the purchase of the REO properties in targeted areas. A bonus offer of an additionsl $5,000 is offered for buying in "severe" targeted areas and an additional $5,000 bonus loan is offered for targeted employees. Those targeted employees are:

Fulltime emplayees of

City of Brunswick

City of Frederick

Frederick Community College

Frederick County Public Schools

Frederick County Government

Frederick Memorial Hospital

Maryland State Police - Frederick Barracks

Frederick County Volunteer Fire & Rescue Association, meeting LOSAP requirements

Only Realtors and Lenders who have been through the training and are approved can help you with this program.

I try to read something uplifting every morning to frame my day. Today I picked up my old copy of Ken Blanchard's "The Heart of a Leader". If you're looking for an easy motivational read and want a break from real estate training materials this is a great little book. It's a series of quotes on leadership with the author's comments on the opposite page. As I read the quotations I wondered what happened to the idea of leadership. It seems many believe the role of a leader is fault finding and character assassination. Don't take responsibility for anything you've done. It's always the other guy's fault, right? That's not what I've studied on leadership over the years.

One of my favorite trainers on the subject is John Maxwell. He says "Everything rises and falls on leadership" Not long ago I was listening to a tape he did for a group of pastors on the subject. He told the story of a young pastor who came up to him and asked "What's the one thing I need to know to become a great leader?" John Maxwell's answer (If you've ever read any of his books you know what's coming. Or even if you know some of the titles!) He answered, "The one thing you need to know to become a great leader is that there's more than one thing you need to know to become a great leader." Another quote of his I love (I know I'll get the names wrong but the principle is right) "If John has a problem with Mary, and John has a problem with Bob, and John has a problem with Bill, John has a problem. It's interesting, some of the most difficult issues I've had over the past year have centered around one or two people. The sad thing is, those same people have left a trail of similar behavior wherever they go.

I encourage everyone reading this to study strong leaders. Take the best of what you see in them and mirror it. Again I highly recommend John Maxwell, Ken Blanchard, Zig Ziglar, Tony Robbins and many others who believe leading is putting the good of others before your own gain. Let's face it, our country is suffering from a huge leadership void. The very ones who helped cause the financial fiasco are the ones crying the loudest for reform. So let's each of us make a personal decision to be a leader and an example in some way and pray that we influence others to do the same. What would happen to our country if we started a grass roots movement of leadership rather than fault finding and self pity?

Many of the foreclosure and short sale listings I have been showing recently are desperately in need of major cosmetic surgery. I must confess, I haven't done an FHA 203K loan in several years so I was operating under the assumption the rules were still the same. In fact they are, but for the 203K streamline they are much easier to work with. For one thing, you don't need a 203K inspector because the streamline loan is primarily for cosmetic work. I just showed a listing yesterday that needed about 10K in carpet, flooring, paint and drywall repair. This wouldn't normally qualify for the 203K program because it didn't have at least $5,000 in FHA required repairs. However it's perfect for the streamline product. Here are some details:

Cannot exceed $35,000

203K Consultant not required. Only a home inspection and two separate bids

No structural work allowed. Also no plumbing, electrical. I'm assuming permitted work since cosmetic is acceptable

Can include: Painting, Carpeting and other flooring, appliances, windows, doors, countertops etc. Again pretty much anything cosmetic.

If, like I, you are showing properties in pretty sad shape, check with your local lender about this loan product. As with the regular 203K the rate is slightly higher but not by much. If you have a buyer that is low on cash, qualifies for an FHA loan but is frustrated by what they are seeing as far as property condition you should let them know about this option.

Very often I hear agents talking about their frustrations with buyers. With so many homes on the market now, how does one select which house to make an offer on and how much should that offer be in relation to list price.

For the agent, the key is listening and guiding but allowing the buyer to make their own selection. Just a couple of days ago I was chatting with someone who recently bought a home and we had a good laugh over their selection process. True story. I was working with a couple who were taking copious notes on each house we toured. (This was in my early days as an agent) Finally I turned and asked the buyers if they had any intention of making an offer on that house. I asked because it was clear from their body language inside that they did not like the property. They said "no" so I told them to stop taking notes, fold the printout in half and set it aside. I explained that after a few properties they would all start to run together so only take notes on real possibilities. After each home discuss which home is at the top of their list for that day. At the end of the day, there is one clear winner. There may also be others in consideration but they know which one they liked best and put the ones they didn't like out of their mind.

For the buyer, another true story. I've had many buyers, over the years come in with a list of what their house was to have in it. I learned to tell them to hold on to that list and compare it to the house they actually bought. They never matched. Here is the barometer I tell my buyer clients to use. Obviously the house has to be a fit. If you have four children, don't buy a two bedroom. On the other hand, if the house has everything on your list but you don't like it. It just doesn't feel right. DO NOT BUY THAT HOUSE. You will hate life every day when you come home. Buying has some logic (bedrooms, baths etc.) and a lot of emotion. You have to "feel" at home in the house. You may even fall in love with a house that isn't a perfect fit but you're willing to do the necessary improvements to make it what you want.

The offer. In many places across the country we are in a buyers market. Note there is a difference between negotiating the price because of the market and thinking the seller is in such a desperate situation that they will give the house away. In fact, I have seen sellers become so offended by very low offers that they refuse to deal with that buyer at any price. Depending on your state's laws you may have an agent representing you exclusively. They can show you what similar properties have sold for and help you structure an offer that is best for you and likely to end up in a successful real estate transaction.  

A word about short sales and bank owned properties. If you are looking at short sales make sure your agent is familiar with the process. It can be a rather lengthy process however the average time seems to be shortening a bit as both lenders and agents become more familiar with this type of transaction.

Bank owned properties are usually easier to deal with than short sales but they can also have some pitfalls. Those usually involve securing clear title and property condition. The bottom line is to learn as much as you can from your real estate professional about the market, the loan process and what is involved in each type of transaction.

Ever notice when you face a crisis or important decision you're suddenly surrounded by "experts"? I once heard a saying, I don't remember where I heard it, but it said, "armchair quarterbacks never throw interceptions" Of course they never throw touchdowns either. I've done a lot of teaching and training in my career and I always had one rule for what I taught. Either I've used what I said and it worked, or I learned it from someone else who used it, and it worked. The important thing is, somewhere it worked. I have never taught, nor will I ever, from the hip. So let's look at some scenarios where our friends the ACQ's come out.

If you're an agent, they're the coffee drinkers with all the designations and no sales. (In some cases they don't even have the designations) They would have sales but times are tough, the rates aren't the best, inventory is too high, consumer confidence is down, etc etc etc. Then there are the agents who are too dumb to listen to the experts. They're too busy listing and selling in spite of the conditions. (Whatever they are at the time)

AND...even though I got trashed the last time I said this, let's not forget the media. Daily there is misinformation given out about loan programs, credit availability, market conditions and more. Who is giving this sage advice? People who have never sold any homes, written any loans or inspected any houses. You know the drill. The sad thing is, many Americans believe them and, as a result, miss out on some great opportunities.

Not long ago, I heard some advice for those of you in the stock market. It went something like this. The market is down so get out while you can. Now let me think about that. Long term, the market historically recovers. So let's sell now while things are low and then get back in when things are better. That way you not only have the loss the market imposed. You also just bought stock for $100 that you sold for $25. No further comment necessary.

How about you buyers and sellers out there. Do you have family experts? First let me say that, if you do, they love you and mean well. Unfortunately all that emotion poured out to you doesn't mean they're right. I think every Realtor out there who has been in this business any length of time has stories about the caring parent, uncle, cousin etc. who inspired you to make that low offer that insulted the seller and now the seller wouldn't negotiate with you if you were the last person on earth. Or the caring soul who advised you to list your home with a little "wiggle room" Now it's been on the market for a year but you still have room to negotiate.

So what do you do? Back to my teaching philosophy. Find out what works. Agents, stay away from the coffee machine and get around good solid training. Hang around agents who are actually having settlements. Buyers, find a Realtor who will provide you with accurate market and loan information. It's a buyers market but be careful of agents making outrageous claims about how much they can save you. Whatever you do, don't listen to TV experts who have never sold a home! Sellers, find a Realtor who will show you accurate pricing strategies based on sold properties like yours. Don't price based on active properties. Active simply means, up to this point, the seller has been unsuccessful. In closing, find what works from someone who has made it work or is working with someone who has made it work. Remember, Ben Roethlisberger didn't ask any reporters what plays to run.

 I try to keep myself motivated by starting each day with a positive tape, CD, or book. Real estate can be a tough environment in a market like this. This morning I listened to a tape that talked about the difference between passion and incentive. Most leaders, coaches or instructors seem to stress the incentive part much more than the passion. While incentive can motivate you temporarily it's passion that makes you do crazy, impossible things. I agree that it's great to post goals and have a "dream board" that you keep in front of you but what really gets you going? What makes you laugh? What makes you cry? What would make you risk your dignity or even your life? For agents, what makes you pick up the phone and make the hard call? What would make you go out and knock on doors? If those are things your are not comfortable with, there is no incentive that would get you to do those things on a consistent basis. Note I said, on a consistent basis. Incentive will make you do them once or twice but it's passion that keeps you going when you've already made the first 100 calls or knocked on 100 doors.

For the buyers and sellers, what's your passion? If you're a first time buyer and you listen to the news you must be terrified. Do you have the passion to turn the news off and find out for yourself what's really happening? What would make you put in that first offer? The answer is, of course, the passion for owning your own home. Sellers, what would make you price your house right even though you may be selling for much less than you paid? Again the answer is passion. You so want that better job offer or better situation for your family that you'll do whatever you have to in order to accomplish your goal.

The truth is, if you look throughout history, you'll find that those who live passionately are the ones who live the most fulfilled lives and get the most done. It's the passionate that leave a legacy that lives beyond their own life. Do you dread getting up and hearing latest economic news? The answer is simple. Stop listening to someone Else's news and go out and make your own. I recently was chided for contradicting an economics professor from a prestigious university. Well, let's look at that idea. Here is a professional educator with tenure who has most likely never owned a business. His future is assured. He doesn't have to produce any results other than get published. His work will be reviewed by others living in the same protected environment. I, on the other hand, have been self employed most of my adult life. If I don't work and work successfully, I don't eat. So who do we listen to? Someone with a degree who doesn't have to produce any measurable results, or someone with no degree who lives by producing results? You decide. And when you do, go out and live your life with PASSION! 

This past Thursday we just had our monthly luncheon for the Frederick County Association of Realtors. Our featured speaker was a representative from a local bank/mortgage lender. He had some interesting statistics to share.

First: Did you know it's been 37 years since interest rates were this low?

Second: Were you also aware that the percentage of monthly income spent for a mortgage hasn't been this low since 1973?

Third: I certainly hope, by now that you all know there is a $7,500 first time buyer tax credit available which doesn't expire until June '09.

Fourth: Are you familiar with the fact that USDA has a 100% loan program with no MI? There is a funding fee but that can be paid by the seller.

I know were are inundated with REO's and short sales but I also believe there is an end in sight. I'm not trying to get preachy here but "Where there is no vision, the people perish" Every top trainer I've every studied teaches that there must first be hope to start moving ahead.

So why are we still hearing the doom and gloom from the media? Here's a theory. The incoming administration wants a stimulus package passed (For all your rich people that means a redistribution of wealth) by congress. I could be totally wrong but I have a feeling this is a set up to re-engineer the financial system in America. By the way, does anyone remember the attack by the left on the Bush administration about the deficit? Hmmm, has anyone been listening to the president elect? If you have then you know that deficit spending is suddenly back in style.

One thing I've learned in my real estate career is, it's not wise to be overtly partisan. Believe it or not, I'm trying not to be but let's be fair. What's bad for the Republicans to do is also bad for the Democrats. The financial situation in our country will only be corrected by level headed individuals from all parties coming together and doing things that actually make sense. Just yesterday I heard someone on the radio talking about investing money in the economy where we can expect a return. She then went on to name some of her suggestions. They were a string of entitlement programs that would lots of love (votes) but no money. Every day I pray that people will wake up and work to solve problems rather than please people. And, in order for that to happen our media has to stop trying to engineer society and start reporting the news. I hope you'll be praying that prayer with me.