I suck at math, which is why I went to law school rather than business school, a decision I still periodically regret.  So I am eternally grateful to Charles Dailey for posting this link to HIS post on one of my comment pages.  It QUANTIFIES the cost of waiting to purchase a $125,000-$250,000 home, assuming that the buyer (i) misses the tax credit window; and (ii) the interest rate on the mortgage increases 1/2 point, such as to 5.5% from 5.0%. 

Ouch.  I knew it wasn't a small number, but $13,928.74 to $19,857.47 is a lot of money.  Like, buying-a-car-kinda money.  And this just assumes a 1/2 point interest rate increase.  If the interest rate increased more than that, we'd be getting into high-performance-German-car-kinda money.

So don't miss the chance because you think you have plenty of time.  No time like the present, folks.

On November 6, 2009, the Department of Housing and Urban Development issued new guidance relaxing the financing requirements for condominiums.  For condominium developers, listing agents for condominium projects, and condominium buyers, this is GREAT news.  Basically, an individual buyer may now get FHA financing in a project that qualifies.  What's so great about FHA financing?  It allows the least amount of money down (3.5%), has lower credit score requirements, and allows a "non-owner occupant co-borrower," which is fancy HUD-speak for a cosigner on the loan.

So what does this mean practically?  Someone starting out could buy a $200,000 property with $7,000 down (3.5% of the purchase price), a 620 credit score, and mom and dad co-signing on the loan.  This someone would need to come up with another $7,000 or so dollars in closing costs, but most sellers in this market are willing to contribute at least some of the closing costs to get a deal done.  So let's assume the closing costs were covered.  Then, the buyer could amend his or her 2008 taxes to claim the 2009 First Time Home Buyer Tax Credit of $8,000, and could essentially end up getting PAID $1,000 to buy a condominium.  If your monthly payment is the same or similar to your rent, why wouldn't you do this? 

Sounds like a pretty good deal to me.  And I've got some GREAT condos to sell, the Windsor Court Condominiums, in the heart of the Historic Fan District, located at 1608-1614 Grove Avenue.  You can't buy a house in the Fan for $200,000 - an entry-level house is going to cost you about $300,000 minimum and will require work.  I've got units priced from $194,900-$239,900 that have all new kitchens, granite, stainless steel appliances, refinished hardwood floors, the works.  AND there is dedicated parking.  There is even the option of a garage at no additional charge, available on a "first come, first served" basis. 

Here's the website - www.windsorcourtcondominiums.com - check it out.  There is a virtual tour on the website, for even more eye candy.  If you see anything you like, give me a call at 804-986-3993, or drop me a line at melissasavenko@gmail.com.  I'd be happy to show you around.

This is an interesting article on the value of social networking sites like Facebook, Twitter, etc. in developing and building a stronger real estate business.  Here's the author's, Mike Parker's, opinion:

Social media is a sinkhole that absorbs time, effort,  and money that could be better spent on finding listings and selling houses.  Social media is the new blogging.  It too will peak, then decline, with one very large exception: affinity group business communication.

Mr. Parker says a strong Internet presence is necessary to attract buyers and sellers.   I absolutely agree.  According to the National Association of Realtors' ("NAR") Profile of Home Buyers and Sellers (2008), 87% of ALL home buyers, and 94% of home buyers between 25-44, used the Internet to search for their home. 

But why don't Facebook, Twitter, blogging, or any of these other social media tools that Mr. Parker seems to disdain count towards developing and maintaining that "strong Internet presence?"  Social networking is great for keeping up with family, friends, clients, and colleagues.  Again according to NAR, 43% of home buyers, and 38% of home sellers, found their real estate agent through a referral from a friend or family member.  In the case of home sellers, another 26% used an agent they had previously worked with to buy or sell their home.  Facebook and Twitter are great ways to stay in touch with your family, friends, and past clients - your best referral sources.  And in my personal opinion, blogging is a tool to (hopefully) demonstrate the depth of your knowledge and expertise as a real estate agent.

So, I'm not sure why Mr. Parker is so down on social media and blogging.  Aren't these platforms additional tools to establish the strong Internet presence he advocates?

Well, it's that time again.  Sunday morning, and I'm gearing up for the stand-by Sunday Open House.  This Sunday - and every Sunday except holidays - I'm holding open the Windsor Court Condominiums, located smack-dab in the middle of the Historic Fan District.  Here are some quick facts about the project:

• The actual address is 1608-1614 Grove Avenue, in between Vine and Lombardy.
• There are 24 total units located in three different buildings set back around a GORGEOUS central courtyard - two "wing" buildings, 1608 Grove and 1614 Grove, and the "main building at 1610 Grove.
• Each unit has a minimum of 2 bedrooms, 1 bath.  Twelve of the 24 units have an extra half bath.
• There is one DEDICATED parking space per unit.  For lots of people, this is a big deal. 

[NOTE:  Me, I've lived right around the corner on Allen for almost 10 years, and street parking has never bothered me.  However, it seems like lots of people don't have that attitude, especially people new to the Fan.  Maybe they really think City parking is a total nightmare.  I dunno.  In the 10+ years that I've been in my house, I've only had trouble parking on my street during Back-to-School Nights at Binford Middle School OR Halloween, which is a HUGE deal in the Fan, and basically a ginormous street party on Hanover Avenue between Allen and Robinson.  For all the other great aspects of Fan living, I'll take a few evenings of parking inconvenience.  But I digress....]

• All the units have new ceramic tile baths, new kitchen cabinets, granite counters, stainless steel appliances, and refinished hardwood floors.
• The condo fee is $194/month, and covers all the utilities EXCEPT electricity and any cable, phone, or Internet an owner would like to have.
• There is a $98,000 tax abatement on each unit.  That means each purchaser saves almost $1,200/year in real estate taxes, almost $100/month.
• There is additional secured storage in the basement of each building, one storage closet for each unit.
• The prices start at $194,900 and run up to $239,900, with most units in the $205,000-$215,000 range.

It's a great project, and I don't just say that because I'm listing it.  I love the buildings, I love the courtyard, and I love, love, LOVE the location.  It's just around the corner from Lombardy Market, Baliceaux (which I haven't tried, but which is getting rave reviews from the neighbors), Si, and Kuba Kuba.  It's only 2 blocks from Main, with all the stores and restaurants there - Six Burner, Ecologic, Baja Bean Company, Trolley Market, Home Team Grill.  AND it's just a short walk all the shops and restaurants at Harrison & Grace, and Broad Street - Chipotle, Panera Bread, Qdoba, Subway, Five Guys, Cold Stone, Smoothie King - you get the idea.

Can't beat it with a stick, in my humble opinion.  For more information, check out our website at www.windsorcourtcondominiums.com.  Agents, send your buyers. First time home buyers, stop by today between 1-4 and take a look for yourself.  Everyone, there is parking in the rear, accessible from the alleys off either Lombardy or Vine. 

Happy Sunday everybody!

I really don't know what happens and how.  All of a sudden, days and days, sometimes weeks, pass and I'm behind the eight ball on the blogging front.  I just looked and my last post was August 26, 2009.  The thing I find most frustrating is that there are typically lots of things I WANT to address and write about - either national trends, local current events, real estate tips and tricks, etc.  But there aren't enough hours in the day to get it all done.  Or at least there aren't enough hours in MY day.

I will freely admit to being (i) more than a bit ADD; and (ii) someone who requires 8+ hours of sleep.  All of that means I may not be as efficient with my time as others are.  And OK, I don't have as much awake time as others do.  There are times where I really wish I was one of those people who seems just fine with 6 or so hours of sleep.  Think of all that I could accomplish! 

However, the sleeping in to 8:00, 9:00 a.m. is O-V-E-R, now that the Munchkin has to be at school at 7:45 a.m. AND school is no longer four blocks away, so no jumping in the car at 9:02 a.m., screeching the 4 blocks at high speeds with rolling stops, to make it before the 9:05 a.m. bell.  So maybe this new schedule means I'll gain 2+ hours of sentient, possibly productive time.

In any event, I want to get back to the blogging, but I have much to do today.  So, I thought I'd take a few moments to throw out my stream-of-consciousness list of the topics I'd like to cover over the next few weeks.  I hope this doesn't bore you readers to tears. 

• The Return of the VCU Students - Lessons Learned Living in the Fan
• Related Topic:  Biking Etiquette in the Fan
• Richmond's Commercial Real Estate Woes and Their Effect on the Local Economy
• Dual Agency AGAIN - A National Battle and One Man's Quest for Justice
• Upcoming Events in Richmond:  The Friends of Art Beer, BBQ & Bluegrass Event, Science Museum's Kugel Ball, Maymont Wine Auction, Richmond Folk Festival
• Impact of the First Time Home Buyer Tax Credit
• Overview of Housing Sales in Richmond, YTD 2009
• A Year Since the Crash - A Look Back
• The Credit Markets and Issues with Financing

This is just my stream-of-consciousness list.  As always, if anyone has a topic they'd like me to cover, send it my way.  And Happy Tuesday, rainy and dreary as it is.  At least it's only a four day work week!

I feel a teensy bit validated, now that USA Today is featuring an article on the two reasons to buy a home NOW - the historically low interest rates AND the first time home buyer tax credit.  Of course, this "buy a home NOW!" advice only applies to people who have stable jobs, consistent income, some money to put down, and were planning to buy a home in the foreseeable future anyway. 

As always, if you need an agent in Richmond, Virginia, I am happy to help with the home buying process.  Otherwise, best of luck in your hunt for the perfect home!

Here is a really interesting article from MSN Real Estate, reporting on a study that finds a higher "walkability" index translates into higher home values in 13 out of 15 metropolitan areas.  The data supports what we real estate agent who represent certain City of Richmond neighborhoods have known, without being able to quantify - walkable urban neighborhoods are more and more desirable, and therefore more and more valuable.

The two exceptions to the rule:  Bakersfield, California, which showed no correlation between walkability and higher property values, and Las Vegas, Nevada, which showed a NEGATIVE correlation between walkability and property values.

Really?  Being within walking distance of all those casinos, strip clubs, and T-shirt stores doesn't increase property values?  I'm shocked.  Shocked, I say.

Folks that follow my blog (hi Mom!) know that I have posted in the past about the first-time home buyer tax credit.  The credit gives eligible individuals $8,000 in a bottom line CREDIT on your 2009 tax return.  In fact, you can even amend the 2008 tax return to get that money sooner. 

I've continued to hit this topic ad nauseaum because many people do not seem to know that the credit expires November 30, 2009.  What that means is any eligible first-time home buyer must have CLOSED on the purchase of a home by November 30, 2009 in order to  receive what is basically free money from the federal government.

Practically, what that means is you need to have a house under contract by no later than September 30, 2009, IMHO, to give yourself enough time to clear all contingencies, finalize financing, and close and record the Deed by November 30, 2009.  That date is pretty fast approaching, so if you know you want to buy, but you've been putting it off, get out there and start looking NOW.

If you need some ideas, here are a few different listings of mine that might fit the bill [:)]:

SINGLE FAMILY HOMES:

1.  806 S. Meadow Street:  In the Byrd Park/Maymont area,this 4 bedroom, 1.5 bath stucco and slate home has a superstar kitchen with new cabinets, ceramic tile floor, Zodiac quartz counters, and pass-through to the living room.  There is a "man cave" basement with loads of potential, and a great yard and garage.  MLS #2917551.  Offered at $209,000.

2.  604 N. 30th Street:  Located in Church Hill, this 3 bedroom, 2.5 bath home is BRAND NEW, with off-street parking, a full front porch, the open plan living area + kitchen that people want, and three spacious bedrooms upstairs.  The master suite has a walk-in closet, a separate shower and jetted tub, and a double vanity with granite counter.  MLS #2916489.  Offered at $239,500.

CONDOMINIUMS:

3.  Windsor Court Condominiums, 1608-1614 Grove Avenue:  Located in the Historic Fan District, this 3 building, 24-unit Neoclassical complex has been COMPLETELY renovated, with new ceramic and granite kitchens with stainless steel appliances, new bathrooms, refinished hardwood floors, and dedicated off-street parking.  Come see one of the most beautiful common areas in the Fan.  Walk to restaurants, stores, parks, and VCU.  Offered at $194,900-$234,900.

More to come shortly...

It just so happens I wrote a bit yesterday about a Zillow poll that ranked Richmond, Virginia as the 7th best place in the United States to buy a home.  And in that post, I alluded to the fact that I typically disdain Zillow data because I have found it to be ridiculously inaccurate in certain sub-markets, and especially with historic properties.  Here's a blog post I wrote on the topic back in March 2009, "The Zillow Rant OR Why Zillow Zucks."

Well, d*mned if an e-mail from Zillow didn't turn up in my e-mail inbox today.  The e-mail header is "How Accurate Are Zillow's Zestimates?"  Then, within the e-mail there is a whole bunch of different information to dig through, including videos, website information, charts, etc.

I wish I could figure out how to attach the entire e-mail, but that's beyond my technological skill set.  I'll settle right now for attaching a link to the web page within the Zillow site titled "Data Coverage and Zestimate Accuracy."  I'm going to take a little time to play around with the information and see what I can see, but in light of yesterday's post, I wanted to share it sooner rather than later.

So, more on this will come later, but here's some basic information.  If you click on "States and Counties," and then "Virginia" and then finally get to the specific data on the City of Richmond's Zestimate accuracy, what you find is only 61% of the Zestimates are within 20% of the ultimate sales price of properties.  I think that's a pretty cruddy record.  And this accuracy data includes those areas, such as subdivisions, where the Zestimate tends to be more accurate.  In other words, I bet in certain City sub-markets, the Zestimate isn't even within 20% of the sales price anywhere NEAR 61% of the time.

But again, more on this topic later.  Lord knows, websites like Zillow and Trulia are not going away anytime soon.  So we're all going to have to learn to play nice together.  As much as I'd like to take all my toys and go home.

Man, it sure is hard coming back from vacation!  I spent last week in picturesque Bath County at Nimrod Hall, one of my favorite places in the world.  I was pretty much unplugged - limited phone, limited e-mail, limited computer access.  I have to say, it was heaven. 

BUT....I have to get back to real life, and jump back into work.  At least until my rich uncle gets out of the poorhouse.  Or I win the $139M lottery.  Or I marry an heir to some little-known European principality.  Sigh.  A girl can dream, right?

While I was gone my business partner did some major heavy lifting and negotiated and ratified four - yes, FOUR - contracts for the Windsor Court Condominiums.  Right before I left - oops! - we reduced the prices to the $195,000-$240,000 price range, for brand new units in the heart of the Fan with off-street dedicated parking, and BOOM!  Four contracts.  This tells me the market is picking up, particularly in the first time buyer price range, as the clock runs out on that $8,000 first time home buyer tax credit. 

Maybe it's a sign.  I mean, we don't want to break the streak.  Maybe I should just STAY on vacation...