I've noticed its been a while (again) since I've posted. June and July were relatively quiet on the business front. I stay busy with family during the summer when school is out. Well, I guess that's not entirely true, July was busy enough that I have 3 homes under contract scheduled to close in August!!! And I took a weeks vacation last week and am just returning.
I don't know if its the tax credit time frame that will be running out that's got people looking harder or if prices are finally right (or close enough to it), but we've seen a sales spurt again in Lake City, FL. Let's hope it continues through to the end of the year. I'm working on putting together some pricing information for our area now and will share it too.
I have started up a little running again (since my knee injury back in December). Beginning May, I'm only doing 1 race per month and doing a little more walking so as not to overdo.
I'm looking forward to the Leadership conference for NAR in Chicago and the FAR convention in Orlando this month. The traveling will also keep me busy.
Wow! it has been a little too long. Have I been busy? Yes and no! Since my last post I've been on a 2 week Route 66/Vegas vacation that was awesome! I'm continuing to stay in touch with prospective buyers, most who have homes to sell before they can buy. I'm steadily maintaining my current listings and trying to figure out creative ways to move them. I've been fairly successful in getting price reductions as needed, but in some cases, still can't compete with short sales and pending foreclosures in the area. Here's a picture of our current market:
1/6/2009
2/9/2009
3/16/2009
4/6/2009
5/6/2009
Available Inventory
449
426
419
414
424
# Homes Pending
39
48
49
46
48
Closed Sales
19
15
30
18
24
Absorption Rate
23.63158
28.4
13.96667
23
17.66667
Active Bank owned, foreclosure
31
30
31
35
or Short Sale situation
I have a closing next week that I'm trying to prepare for and working on a couple of leases. Still plugging along and plan to hang in there! Hope you will too! Take care.
Daily Real Estate News | March 19, 2009 | Share
Mortgage-Help Site, Call-in Number Go Live The U.S. Treasury Department went live on March 19 with its Making Home Affordable program, which aims to help home owners refinance or modify their mortgages.
The campaign includes a Web site at makinghomeaffordable.gov as well as a telephone hotline number at (888) 995-4673.
The federal government is targeting 9 million home owners whose loans are held by Fannie Mae or Freddie Mac.
What could you do with $8,000? How about using it to finance a home? In order to stimulate the economy and revive the housing market, Congress has enacted legislation providing a tax credit of up to $8,000 for first-time home buyers.
Just last year, home buyers and owners were able to take advantage of the Housing and Economic Recovery Act's $7,500 tax credit. This credit served as a 15 year interest free loan for those who purchased their home after April 9, 2008 and before July 1, 2009. With the new and improved $8,000 tax credit plan in place, buyers have the opportunity to receive a good chunk of cash which, unlike the last year's tax credit, does not have to be repaid.
If you're interested in taking advantage of this opportunity, you only have a short while to act. Determine whether or not you qualify for this tax credit by reviewing the following requirements.
Are You Eligible?
First-Time Home Buyer: Have you leased your home for the past three years? If so, then you may qualify for the tax credit, as the plan defines a first-time home buyer as a 'buyer who has not owned a principal residence during the three-year period prior to the purchase.'
Purchase Date: Buyers are encouraged to act fast as the cutoff date for this $8,000 credit is December 1st, 2009; not at the end of the year, as you might expect.
If you purchased your home before the New Year, you're out of luck, though you may qualify for the Housing and Economic Recovery Act Tax Credit.
Principle Residence: According to the plan, a "main home" is 'any home that will be used as principle residence,' and includes 'single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats.' Multiple home owners, or those looking to purchase their second, third or even fourth home, will not qualify for this particular tax credit.
Income Limits: Those buyers with a modified adjusted gross income (MAGI) of less than $75,000 for single taxpayers and $150,000 for married taxpayers filing a joint return will receive the full tax credit amount. If it is more, the tax credit amount is reduced until your MAGI meets or exceeds $95,000, at which point you are no longer eligible for the credit. Call me to discuss your current financial situation and to determine whether you make a good tax credit candidate.
Stay Put: In order to qualify for the tax credit, plan to stay put in your new home for a minimum of three years. Buyers cannot move, sell or otherwise leave their home for at least three years after they purchase.
Price: The plan states that the buyer receives 10% of the purchase price of the home or $8,000, whichever is less. So the monetary amount you're awarded is determined by your new home's price. In order to receive the maximum credit of $8,000, the buyer must purchase a home for $80,000 or more.
Participating in the tax credit program is simple. Determine your tax credit amount by completing the IRS Form 5405 and claim the tax credit on your federal income tax return. With home prices and mortgage rates at all time lows, buyer incentives and tax credits greatly contribute to your goals of homeownership.
Keeping You Informed I am dedicated to keeping you informed of the latest market trends and mortgage options. Visit me online at www.sandykishton.com, or call today.
As demand for homes is expected to increase this Spring, Bankrate.com offers 9 tips for homebuyers.
Buyers have access to the lowest mortgage rates in years and an $8000 first time home buyer tax credit that does not have to be repaid if the homeowner lives in the home for at least three years. This should improved demand side for the housing market and with these nine tips, buyers should be moving in to their new home soon.
Cash is king. With down payment increases from FHA and Fannie Mae, cash has more buying power than before.
Negotiate everything. Home sellers will be offering more incentives to sell their home quickly. Consider asking for seller paid closing costs, property taxes, and home association fees.
Save for a down payment. Set up a budget and include savings. The ideal goal is for 20% down on your new home.
Improve your credit score. Check your credit report for reporting errors, pay your bills on time, and do not cancel or close any open accounts.
Research the local housing market. As you work with your local Realtor, search online to find out how long homes have been on the market and what they have sold for. The more you know, the better off you are in negotiating your purchase.
Watch for certain neighborhoods. A Realtor will be able to help you avoid traffic issues, zoning changes, and higher crime areas.
Consider foreclosed homes. With the number of foreclosed homes on the markets banks should be eager to sell.
Look ahead. If you don't qualify for a mortgage today continue to watch the market and keep up your savings.
For assistance on qualifying for your home purchase or for a Realtor referral contact me directly at dwalters@integritymtgonline.com or 678.648.5626.
Dale Brill (from left), John Adams, Eric Godet and Alex Sanchez share their economic experience with members of the Lake City/Columbia County Chamber of Commerce. (Lake City Journal photo)
Columbia County poised for early economic recovery and business growth, state experts tell Chamber members
By Karl Burkhardt
Columbia County has many assets that attract new businesses and will help speed economic recovery. That was one of the key messages at a special meeting hosted by the Lake City/Columbia County Chamber of Commerce Monday at Lake City Community College.
Alex Sanchez, President of the Florida Bankers Association; John Adams, President of Enterprise Florida; Dale Brill, Director of the Governor's Office of Tourism, Trade and Economic Development; and Eric Godet, a Director of the Florida Chamber of Commerce, talked to community leaders about Florida's path to economic recovery.
They cited the area's quality of life, the Municipal Airport, the two interstate highways and Lake City Community College among the major assets.
"It is a self-correcting time, but it also is a time of great opportunities," said Eric Godet. "This won't last forever." The question is, "What are we doing today that will prepare ourselves for when we get out of it? Those who are going to benefit are those who are doing the groundwork now and laying the framework.
Dale Brill: "Tourism was down in 2008 by 2.8 percent and down 13 percent in the last quarter of last year." However, travel within the state is up 29.9 percent. People are staying within the state or driving to destinations that are 3½ hours away. They are spending less money, taking a long weekend instead of a two-week vacation. "The two-week vacation is virtually dead," he said.
"You have to do everything smarter. If the tourism industry is marketing today the way it did five years ago, it's going to be in serious trouble," he said. However, "We have to turn the state into a non-tourism based economy."
"That's happening now," said John Adams. "Did you know that 53 percent of the state is covered with timber? Most people don't know that. We are exporting plywood and lumber. Let's look at the hubs for distribution. In the last 30 months, $3 billion in outside capital - hard money - has come into the state.
Businesses are looking for new areas right now, Adams said. "They're going to be coming from Jacksonville, right up to your community, looking for distribution hubs." He cited major developments in Jacksonville, particularly in the port, that can help Columbia County.
"Florida has the greatest network of airports in the world. This is a comparative advantage," Adams said.
"Our big export hub is Latin America. Exports from Florida are up 21 percent, $100 billion to $134 billion. Export jobs are in here. Plywood and wood products are going to Mexico and South America. Wood products is not a glamorous business, but it is a heck of an industry."
"I think our housing is starting to come back," said Sanchez. "I'm really optimistic on housing. We are so much better shape than other states. Michigan lost 10 percent of its population in the first seven years of this decade."
He noted that Florida's population is approaching 19 million and new arrivals are buying homes. We're getting inventory off our shelves. That's what is going to drive us back as our population steadily - not drastically - increases."
During the question-and-answer period, John Kasak asked about the property insurance problems. "Citizens Insurance is underfunded. The governor is running name-brand insurance companies out that can pay their bills and want to stay but can't get a rate increase."
"This is an issue that is obviously important to the banking industry," said Sanchez. "We need private insurance here. I don't take a lot of comfort in these Florida-based insurance companies. Some of these small companies serve just one area of our state and that's putting too many eggs in one basket. If that area is hit, they'll probably go under," he said.
"We're going to have to accept higher premiums," Sanchez said. "You know, in Florida, before Hurricane Andrew in 1992, it was cheaper to insure a home in Florida than in Minnesota - It just got out of whack. Hurricanes had not hit before '92 and we sort of forgot about them. It is a big challenge for our state.
"We've got to sit down and talk to these (insurance) folks. If we were to have a major hurricane in one of our major urban areas - everything we're talking about here is not going to matter anymore. We might be able to make one hurricane. The question is, what if we had two - one in Miami and one in West Palm - or one in Miami and one in Tampa. From everything I read, I don't think we will be able to survive both of those," Sanchez said.
"From the Florida Chamber standpoint, one of the drivers in the business climate is competitiveness," said Godet. "It's time for us to look at property insurance and find a way of stabilizing that process that really works. In the early years, we probably weren't paying enough, especially for someone in the South living on the beach.
"We also need to focus in health insurance and stabilize that.
"These are things we need to look at as a state. We've gone from one of the most affordable states to live in and for businesses to move into, to one of the more costly. These are the kind of things we need to look at in terms of how do we shore up our state so when we move out of this situation, we're prepared to have the kind of growth we were tracking before.
"We also need to look at property tax relief, taxpayer fairness and worker compensation," Godet said.
Aaron Nickelson of Westfield Realty Group commented, "I know Columbia County being a small rural community needs this type of stuff you're talking about to in order for us to see the kind of growth that will bring this community and this area to compete on the level more of the Gainesvilles and the Ocalas. So, as a board, and as guys that are out associating with these development groups and with these corporations, what does a small community like ours have to do to in order to see some of that growth come to Columbia County?
"I think you have huge advantage," Godet said. "Columbia County has a track record of attracting large corporations. Timco is one of them. The key is quality of life, which is one of the Chamber's drivers. You have that quality of life, affordable housing, project ready sites. It is import to get that word out.
"This must be the only area where I see two major highways intersect and it's not developed - it has to be the only one on the country. This is a goldmine!" he said.
"When you have a community that is ready to receive anyone who comes through, it's amazing what can happen. It's a natural area.
Since my last post, I've been to San Francisco for the CRS Sellabration convention. I learned a great deal at this 2 1/2 day convention and have been anxious to share. However, I am still sorting through all of my notes and trying to stay caught up with running my real estate business. I'm trying to be more timely with my posts, but having a hard time with it. Since my return from San Fran, I've had 2 closings, taken 4 new listings and working with quite a few buyers.
I'm asked often, "How's the real estate market?". My response is "busy" and "steady", which in my case is true. Usually we see a little peak around the holidays while folks are off work or visiting relatives in the area, then it slacks off a little bit until the Spring. Not so this year. I have been steady and busy since the first of the year and it's likely to continue through the Spring, as March is just around the corner.
In 2008, for the Lake City-Live Oak area, on single family homes, our sales volume was down 30% and our prices were down 11%. Our area board just went through its renewal period and we are down 100 realtors. I'm excited about the state of my current market, because I work hard for my clients and hope to see more progress as the year continues.
As the new year begins, so does the need for a change. I've upgraded my online marketing by utilizing some free sites as well as enhanced my listings on Realtor.com. I've been busier than ever since the beginning of the year. I've already had one closing and have 2 more properties under contract. WOW! What a way to start out the year! I'm feeling very positive about our market. I really like being busy. Use this link to see my current listings: http://www.sandykishton.com/My_Listings/page_1705830.html
I've been given clearance by the Ortho doctor to start jogging again and eventually run. I'm starting slow so that I don't have another injury. The weather hasn't been real cooperative... imagine, lows in the low 20's in Lake City, Florida. My personal training has also been very successful. I have six clients who are working hard to better themselves and am very proud of them. I plan to walk/run in the upcoming 5k for the Blue Gray Army 5k on February 14th and am also putting together a bowling team for CARC's bowl a thon here in Lake City as fundraisers.
With rates at historic lows, it's a great time to buy a home - if you can
With all the doom and gloom over housing, you might be surprised to know that this is a fantastic time to get a mortgage. Not if you have poor credit, to be sure. But you can get a great deal on a 30-year, fixed-rate, conforming loan these days if you have a solid FICO score, a manageable debt burden, and proof positive of a reliable income.
You have to go back to around 1961 to find a time when 30-year mortgages had rates this low, according to Keith Gumbinger, a vice-president at financial publisher HSH Associates in Pompton Plains, N.J. For that, thank the U.S. government, which is trying to jump-start the stalled housing market by buying up mortgage-backed securities. On Dec. 31, Freddie Mac reported that average rates on 30-year fixed mortgages dropped to 5.1 percent for the week, down about 1.3 percentage points since late October and the lowest since its survey began in 1971.
For new loans, get a fixed rate Forget what you were told in quieter times about the pros and cons of fixed- vs. adjustable-rate mortgage loans. These days, all the best deals are on fixed-rate loans because that's the segment of the market that the government has been targeting with support. The securitization of adjustable-rate loans has mostly dried up, so banks don't want to originate ARMs, therefore they don't offer attractive rates on them, says HSH's Gumbinger.
USDA offers buyers 100% loans with no money down and no PMI (private mortgage insurance), minimum required credit score of 620 and seller assistance with closing costs, in some cases.
Before making an offer, get pre-qualified Home sellers are likely to give you a better deal on a house if you're pre-qualified for a mortgage. Why? Because it shows you can get the deal done quickly. In this market, nothing burns a seller more than being strung along by a buyer who wants the house but can't qualify for a loan to buy it.
So, pull the trigger or wait? Nobody but you can decide this one
Wow, since my last post I've had a lot going on...
My other real estate closing has been postponed, but I have another under contract scheduled to close next week.
Over the holidays, I had a lot of my listings shown, but no offers.
Went to Jacksonville for Christmas
Had all of the family over in Lake City at some point in time, for multiple night stays, alternating one or two at a time.
Babysat my niece and nephew on New Year's Eve, made smores by the fire and did fireworks. Fun !!
I've started Physical Therapy on my knee and am ready to run... well almost. By the end of the month, hopefully. I'm ready to register for a few races, but am waiting till the last minute.
I have 5 personal training clients right now, haven't seen any new ones (or old ones come back) since the first of the year with New Year's Resolutions and all...
Been working on my contact list and checking in with some folks who I haven't heard from in a while
Here's the latest stats for my area:
Columbia County Residential- Single Family Homes (does not include Mobile Homes)
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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