Georgetown University's Financial Education Conference is April 16, 2009  As Realtors for the Northern Virginia market we feel it is important to help our first time buyers navigate through these difficult financial times, especially when considering buying and/or investing in real estate. Please join members of the Keller Williams Mclean Virgina office as we offer an educating session that will povide a recap of the market and current trends, the first time buyer tax credit, lending and mortgage issues, common pitfalls and how to get started.

For more information please visit:

https://gushare.georgetown.edu/UniversityBenefits/FEC/GU%20Spring%20Newsletter%203-17-09%20FINAL%20WEB%202.pdf 

or call Scott Montgomery 703-283-4524.

With a unanimous vote yesterday evening the Senate passed another value add stimulus to buying a new home. Combined with lowered interest rates and amazing inventory a new law allows for better tax advantages.

                                         USA today photo

The old law allowed for a $7500 tax credit to first time home buyers the year the bought their first residence. The new law should help stimulate a new surge of buyers. ALL home buyers will now get a tax credit equivalent to  $10% (up to $15K) on new or existing residences. 

See USA todays article here:  http://www.usatoday.com/money/economy/housing/2009-02-04-taxbreak-homebuyers_N.htm for more details.

Lets get out and find you a new home ..Now is the time to buy!

As I opened up my morning paper I was faced in bold letters with this headline:

2008 FORECLOSURE FILINGS SET RECORD ...

Despite the doom and gloom, I want to remind those thinking about buying, that this is it- THE TIME TO BUY IS HERE!  Interest rates are about as low as one has ever seen, inventory is high and sellers are anxious to move their property's. While the news is sad for those experiencing foreclosure proceedings, there is still real opportunities for the next generation of buyers!  See article below!

By Stephanie Armour, USA TODAY

Foreclosure filings surpassed 3 million in 2008, setting a record that has Washington, D.C., policymakers calling for more aggressive efforts this year to aid troubled homeowners.

Foreclosures last year were up 81% from 2007 and 225% from 2006, according to a report out today from RealtyTrac. One in 54 homes received at least one foreclosure filing during the year, RealtyTrac reported.

Banks repossessed more than 850,000 properties in 2008 compared with about 404,000 in 2007.

Houses in some stage of foreclosure totaled 303,410 in December, up 17% from the previous month and up nearly 41% from December 2007.

"That was a surprise," says Rick Sharga, senior vice president at RealtyTrac. "These filings came despite (foreclosure) moratoriums. There was no way we were expecting a near-record month, and I believe January will be a record-setting month. We're in for a very difficult year."

More than 7% of Nevada housing units received at least one foreclosure notice in 2008, giving it the nation's highest state foreclosure rate for the year.

As foreclosures mount, other homeowners are jumping on falling interest rates to lower their monthly mortgage payments. Refinancing applications, now about 85% of all mortgage applications, have surged to levels not seen since 2003, the Mortgage Bankers Association said Wednesday.

The average interest rate for 30-year, fixed-rate mortgages decreased to 4.89% from 5.07% a week earlier, the MBA reported.

But foreclosures remain a dominant concern for federal policymakers as Congress weighs the release of the second $350 billion from the $700 billion Troubled Asset Relief Program it passed in October.

The House is expected to vote this week on a bill introduced by Financial Services Committee Chairman Barney Frank, D-Mass., that would require at least $50 billion of that money to be spent on mitigating foreclosures. The Treasury Department would have to reach agreements with each bank that gets bailout funding on how the funds are to be used.

"With foreclosures continuing to rise and the economy in a downward spiral, it's not surprising you see increased foreclosures because of increased unemployment," says Ira Peppercorn, former federal deputy Housing commissioner under President Clinton. "The question is what shape and form the help for homeowners will take."

I received a flyer from www.usinspect.com today reminding me that with winter upon us there are several things the one must consider in order for their homes to survive these horrifically cold months ahead.

1. Be sure to turn off your outside water supply to avoid frozen pipes leading to outside. Best to turn the water off inside and then turn the spickot on to release any remaining water in the line. Cracked pipes from frozen water expanding can be a costly repair for homeowners

2. Heating and cooling systems have filters; CHANGE THEM. In order for the systems to run properly they need filters in place that prevent dust and dirt from entering the insides of the unit. Filters are often good for 30-90 days.

3. Keep attic louvers and vents open all year round. Check the screens and clean accordingly. I had a bird fly and in and die inside mine and that can be a fire hazard as it was the path for heated dryer air to escape the house and was blocked by the birds carcus.

4. Keep doors and windows closed and or sealed to prevent heated air from escaping and cold air from coming in. This will ensure your electric and or gas bill stays in check and your HVAC systems dont work overtime and potentially needing replacing early.

Hopefully these hints will help you survive the winter in a cost effective easy to maintain manner.

Today I received an email from headquarters that Keller Williams Mclean Virginia is growing and that like many others, I got to be a part of that.  If your considering a career (part time or otherwise) in real estate this is a great year to move or get your license, learn the ropes, and practice the craft. It is my humble prediction that in 2010 the surplus of inventory will have maxed out and buyers will start showing up to take advantage of great rates and choices in new homes or investments.  Below is the email I received for headquarters today- Keller Williams Mclean is a great place to hang your license! 

"Dear Scott,
The Keller Williams Realty profit share system shows that you have recently sponsored Ms Realtor. On behalf of Gary Keller, Mo Anderson, Mary Tennant and the entire team at the Keller Williams Realty International Service Center, we want to thank you for your leadership in driving our company's phenomenal growth!

As you well know, this is a great time to be in business with Keller Williams Realty. We are the fourth-largest real estate company in North America with 692 market centers and more than 73,000 associates! We're also proud to say that we've given more than $52,627,682.07 in profit share to our agent-partners over the last 12 months.

Keller Williams Realty succeeds because of people like you. We are excited that you're sharing our company's value proposition with agents who want to grow their businesses and build wealth through profit sharing and ownership opportunities. Not only are you helping others to help themselves, but you're ensuring your financial future by serving as a sponsor in our industry-unique profit share business model.

We want to take this opportunity to confirm that the information we have on your sponsored agent is correct.
Sponsored agent's name: Ms. Realtor
Sponsored agent's market center number and name: McLean, VA
Sponsored agent's email address: scottmontgomery@kw.com
If there are corrections to be made, please contact your local market center administrator.
Thank you so much for all you are doing to grow Keller Williams Realty and achieve our vision of becoming the real estate company of choice throughout North America. 

Yours in Growth"

If you're planning a trip to Northern Virginia and you want to enjoy all that Reston has to offer you must consider staying at the Hyatt at the Reston Town Center. www.reston.hyatt.com

For years my wife and I have enjoyed the many benefits of the Reston Town Center. From the ice skating rink, gone sound studio in the summer (hosting bands like Hootie and the Blowfish) to the many shop and restaurants of today's main stream shoppers. In addition the Hyatt, RTC's flagship hotel, is one of the finest. I have had many guests stay there for my children's christening to Thanksgiving holidays and more. I have even recommended my clients stay there to nothing less than rave reviews the next morning. One of my guests was so thrilled she described it as, " One of the nicest hotels shes ever stayed in!"  

If you re planning a trip to our area and you need some additional information please dont hesitate to give me a call, especially as it relates to your future Northern Virginia real estate needs!

Today I received a call from a Virginia licensed real estate agent wondering if I could help their client with the purchase of a condo in the Wooster -Mercer building in Arlington Virginia. While I was flattered to be referred to as clearly  "THE ONE AND ONLY ARLINGTON CONISUER", (he had read through this blog and determined we were the ones to call)!  I had to explain that I was actually his competition and did he really want to hand his client over to me for the sale. We had a chuckle over the semantics and continued with a few minute discussion over additional information I happened to know about the building.

Short and long is, PLEASE, please, please dont ever hesitate to call to get any additional information you can about the real estate in Northern Virginia. I am licensed because I love the industry and will be here to serve for many years to come. My hope is that buyers, sellers and agents alike all feel comfortable with what my team and I can offer. Call today if we can help you!

Thanks for you continued support!

My blogging hiatus is coming to a close, I can't beleive it has been over a month since I last updated you on some of the things Northern Virginia has to offer. 

I think its worth noting today all the happenings of the Reston Town Center. It is here in NOVA's very own pleasantville that a lot has been changing. The past few years has seen atleast a double in size growth pattern that includes 4 new high rise condo buildings that offer urban living styles in a slowly changing suburban setting. In addition amazing restuarants like Passion Fish, Jacksons and Mon Ami Gabi (where I enjoyed our anniversary dinner with my wife last month) have been added to the mix. In addition there are new clothing and craft stores popping up every where you look, popular brands like JCrew, Anthropology and Banana Republic to name a few.

If you get the chance to visit, the town center is less than a mile off the Dulles Toll Rd heading west from Arlington about 5 miles shy of Dulles International Airport. Clearly marked by signs, the exit it "Reston Parkway" you'll want to head North.

This is a great time of year to visit and enjoy the holiday lights decorating the entire area.  

I was reading the actual bill that describes our ‘$700B bail out'  and WOW is what comes to mind. This should be the cause for an amazing change from the mortgage lock-down we've been experiencing the past few months.

If I had a crystal ball and wanted to assure my buyers of when it was a good time to buy, I would suggest that once this bill passes (there is a clause that requires implementation start within 60 days) that later this year early next will be the best time to buy on almost all fronts.  Interest rates should remain low, prices should remain low and because of this bill, prices should stabilize. Stabilizing of prices and the churn of new buyers could potential be the perfect storm for equity gains to start again....

Call me today if you'd like to discuss my interpretation or yours. I'd also call your bank and see what they can do for you- this would be EXACTLY what the point of all this is to drive. 

Ive attached a snippet of the actual bill that highlights some interesting change potentially headed our way.

"SEC. 109. FORECLOSURE MITIGATION EFFORTS 

...MODIFICATIONS

In the case of a residential mortgage loan, modifications made under paragraph (1) may include-(A) reduction in interest rates (B) reduction of loan principal; and(C) other similar modifications. 

TENANT PROTECTIONS.-In the case of mortgages on residential rental properties, modifications made under paragraph (1) shall ensure-(A) the continuation of any existing Federal, State, and local rental subsidies and protections; and(B) that modifications take into account2 the need for operating funds to maintain decent3 and safe conditions at the property."