The signals are out there: home sales are picking up and prices are slowly ascending. However, recovery isn't obvious everywhere yet. Most markets are still seeing the cheapest homes selling fastest, while mid-range homes are taking longer, and upper-end properties are languishing.

Whether buying or selling, your best strategy in this dynamic marketplace depends on which tier your property sits. This column will begin by offering advice for that bottom tier of the most affordable homes. My next column will discuss the mid-range market, and then finally we'll get around to those most expensive properties at the top.

Most of the two million recent foreclosures have made up the bulk of the least expensive homes on the market. Bargain prices and a federal tax credit have lured investors and first-time buyers into the fray, increasing sales of $100-$250K homes by 9% over the last year. Buyers should act quickly and submit their offer with due haste. If your offer isn't accepted, keep checking back, because deals commonly fall through.

While it's hard to compete against foreclosures in the pricing category, they’re often in dire need of repairs. Sellers can increase their odds of success by offering their home in "model condition" at a fair price. Whether you’re a buyer or a seller, watch this blog for more advice on making your sale or purchase work.

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

It’s probably no surprise that homeowners who have faced the ordeal of foreclosure feel a certain measure of shame or guilt about their experience. Whether or not those feelings are warranted, it's hard to survive the process completely unscathed.

What is surprising is the recent development of "buyer's guilt." Some who are fortunate enough to afford to take advantage of a low-priced foreclosure offering are suffering some degree of remorse about the transaction.

Whether it's because they got a deal that none of their friends or family did, or whether they just feel badly about someone else's unhappy situation, the emotions are real, but should be approached in a different way.

These buyers are not necessarily capitalizing off someone else's misfortune, but actually helping by removing a distressed property from the market and maintaining property values. It's actually good for the market and the local economy for buyers to take advantage of these bargains.

If you have some doubt about buying a foreclosure, you can ease your concerns and do some good for others. When you make your move, why not make a donation of household goods instead of packing them in boxes? Certainly a local shelter or charitable organization like the Salvation Army can improve the lives of others with your kindness, and put you in a great frame of mind about your move!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

Although less than ideal, sellers are seeing more "contingency" contracts, wherein the buyers make their offer contingent upon being able to sell their own home first to complete the purchase. If the buyers aren’t successful, their Offer To Purchase becomes null and void, potentially leaving the sellers at Square One.

A compromise has developed, called a "kick-out clause," which is wording included in the contract that allows the sellers to continue marketing their home, even while under contract. If the sellers receive another offer, the buyers are granted a “kick-out” period - usually 72 hours - to respond by removing their sell-first contingency or by securing financing and completing the purchase.

Unfortunately, the chances are that most buyers who must sell first likely won't qualify for another loan on the new property. If the buyers fail on both counts - selling and financing - then the sellers have the right to accept another offer from qualified buyers.

While this might seem to put the buyers at a disadvantage, the sellers must have some sort of protection against an offer that could tie up their listing indefinitely and perhaps never be consummated.

Consider including language in the contract that also requires the buyers to begin aggressively marketing their own home within a specified period. If the buyers don't leap to action, the contract can be voided.

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

Phew! After four years of declining home sales, the numbers appear to be finally turning back upward, with closed sales and pending contracts at above-normal increases. In particular, first-time buyers helped buoy the market by taking advantage of low prices and interest rates, as well as the $8,000 tax credit offered by the federal government.

At least for now, home prices remain attractively low, and mortgage payments as they relate to income are very comfortable. All the information seems to point to the fact that home prices have actually overcorrected downward. What does that mean? It indicates that many markets may experience a price "snap back," with values increasing a lot more than the historical average of 4% appreciation per year.

Some factors may continue to make buyers cautious, mostly declines in retirement savings and a lukewarm economic recovery with unemployment hovering around 10% nationally. Now is not the time to hesitate, however, as mortgage interest rates are expected to rise in 2010.

We can expect the momentum of home sales to continue, especially with the extension of the tax credit through April and the fact that qualification is no longer limited to just first-time buyers. Prices and interest rates will rise this year, so buyer confidence should be at an all-time high. The pressure cooker of pent-up demand is about to blow its top!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

Selling your home in anything other than an active market can seem challenging, but what do you do when yours is only one of many homes in your neighborhood with For Sale signs? Surprisingly, there are actually some advantages to marketing your home in this situation.

More buyers are drawn to neighborhoods where they can preview more homes at once. More buyers means more opportunities for your home to be seen and to attract an offer, so make your listing stand out against your competition.

Price your home aggressively after reviewing the comparable sales figures provided by your real estate representative. Don't give your neighbors the advantage of looking like a bargain compared to your listing - take it yourself and show buyers what a great value you're offering. If you're competing against foreclosure listings, having your home in "move in" condition helps, because foreclosures often need lots of repairs.

With this much activity in the neighborhood, make sure that your home is available for showing on literally a moment's notice. Buyers who come to look at other listings may spot yours and want to see it right away to make comparisons. Be prepared for "impulse" prospects with good housekeeping and an escape plan for unexpected showings.

Finally, don't worry if your neighbor sells first - that just makes for less competition in your market!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

It’s the best news in real estate since last year’s First Time Home Buyers Tax Credit: an estimated $22 billion will pump into our economy as a result of the government not only extending the tax credit, but including current homeowners, too.

The existing $8,000 maximum credit stays in place for first-time buyers. A "first-time" buyer is one who has not owned a home during the three years prior to the purchase. However, repeat buyers who have lived in their home for five of the past eight years may also qualify for up to a $6,500 tax credit on their purchase.

Unlike before, as long as the property is under contract by April 30, 2010, buyers will have an additional 60 days to close by July 1, 2010. The credit applies to single-family homes, condominiums, townhomes and co-ops.

The qualifying income limits have been increased as well, up to $125,000 for individuals and $225,000 for couples filing jointly. If an individual makes up to $145,000 or a couple up to $245,000, the credit can still be claimed, but at a reduced percentage. Any incomes over those amounts won't qualify.

If your tax credit totals more than your tax bill, you'll receive a refund! Approximately 2 million people are expected to take advantage of this buying opportunity, so jump to action before the April 30 deadline!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

If you can hear the whispers below the din of panic, you know that the recent financial and housing collapses have actually created some amazing opportunities for smart investors. Low interest rates and depressed property values have combined in an environment favorable for long-term gains.

It may not be for everyone, but if you're in the right financial position, you have plenty of options. However, there is a right way and a wrong way to invest, and it's the wrong way that led so many to suffer in the recent housing crisis.

Don't think about investing in real estate until you've saved up for your nest egg and have held or reduced your expenses to keep it growing. Your money doesn't work for you unless it's your money.

Similarly, don't begin your investment adventure until you've polished up your credit score. The best opportunities go to those with upfront cash and excellent credit. Maximize your borrowed capital by making sure you get the lowest interest rates and best terms.

It then follows that you should not over-borrow. Real estate markets are continually cycling up and down. Learn the lessons of the recent debacle, and don't over-leverage yourself to the point you can't survive a down period in the cycle. If you're smart about it, you won't get rich quick, but you will get rich right!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

With markets so rapidly changing, it's easy to imagine how property appraisers might sit in a darkened room, waving their hands over a crystal ball, and producing the mysterious and all-powerful document of a home's value. Let's dispel the notion of magical figures and look more carefully at the process.

When comparing against similar properties, it's not just the final price that counts. Appraisers also factor in any "incentives" offered, such as sellers who pay closing costs or remodeling allowances.

Perhaps the most important factor that lenders review in an appraisal is the closing dates of the "comparables" (other homes by which yours is measured). Unfortunately, with today’s stricter lending requirements, most "comps" must have sold within the last 60 or even 45 days to carry weight. Markets change so quickly that any sale price over two months old may be completely irrelevant.

Now a few words about how foreclosures in a neighborhood affect determination of value. Technically, appraisers shouldn't consider them, because they don't fit the Appraisal Institute's definition of "a property reasonably exposed in a competitive market." However, if several area homes have been abandoned, we know the negative effect that can have on a home's “perceived” value.

If you're planning to sell, express your concerns about the appraisal process to your representative, who will offer explanations and suggestions for improving your report’s results.

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

Mortgage applications are being reviewed far more thoroughly now than in the past, and your credit score should be 680 or higher to qualify for the best interest rates. So how do you determine your score, and know you're getting the credit you deserve?

Everyone is allowed one free credit report per year from the three reporting agencies (Experian, Equifax and TransUnion). Review the reports for accuracy and act quickly to correct any errors or omissions.

Approximately 35% of your credit score is based on the timeliness of your payments. Make sure that no late payments older than seven years are still on your report.

If you have paid off loans or credit cards, a zero balance should appear on those accounts. Sometimes, agencies don't properly update those balances after settlement.

15% of your credit score is based on the length of your credit history, so make sure that the opening dates of all your accounts are accurate. Also make sure that the limits on your credit cards are correct, and keep the balances under 50% of those limits. Total debt accounts for 30% of your credit score.

Finally, think twice about closing credit card accounts with zero balances, because this negatively reduces your ratio of "available credit" to your debt. First, get the facts. Then, make corrections. Finally, apply for home financing with confidence!

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.

While not a very common problem, if you've got it, it can have a terrible impact on your listing: The Messy Neighbor. If you live next door to a "neglected" property, you might lose up to 20% of your home's market value, particularly with buyers looking for any excuse to reduce their offer.

It's technically not your problem, but ask not for whom the bell tolls. It's well worth your time and effort to resolve this situation amicably. Always be respectful, and don't let your emotions get the best of you.

Unless you believe your neighbor is "unhinged," you should begin with a visit to their home and a positive attitude - no name-calling or finger-pointing. Don't grab everyone on the block and gang up on your neighbor - you'll get better results if you go alone or with one other person.

If you find your messy neighbor is unwilling to take care of their maintenance, it may still be in your best interest to do the work yourself or with the help of other neighbors. No, it's not fair, but if you want a fair sales price, this may be your only option.

As a last resort, you could file a complaint with your property owners association or city government. You could be referred to a mediator who will help settle your disagreement cordially.

Michael Sinton, CRB, CRS, e-Pro
Broker/Salesperson

For more information, contact Michael Sinton, CRB, CRS, e-Pro, Broker/Salesperson, Assist-2-Sell, America's leading discount real estate company, directly at 732-364-7434, via email at msinton@assist2sell.com or on the web at www.WeSellCentralNJ.com.