Jonathan & Natalie's Blog

Atlanta Real Estate Market Update-Video

Jonathan & Natalie Lee (Prudential Georgia Realty) — Wed, 09 Jul 2008 13:31:14 -0500

Hello,

WOW! The NEW 2008 Atlanta Real Estate Market Update Video is here! The Atlanta Real Estate Market Update Video hosted by our President and CEO of Prudential Georgia Realty (top 50 real estate company in country), will help you build realistic expectations and provide insight into the current and future Atlanta Real Estate Market. One thing is for sure...it is still a great time to buy a home!

Natalie and I will be here to serve you when you are ready to buy or sell a home here in the Atlanta Georgia Area. We hope that you use our Atlanta Real Estate Market Update Video below to help educate you today! It really is a powerful resource.

Please enjoy and leave a comment.

If you do not see the image above, please follow this link to see the announcement:
http://prudentialga.announcemymove.com/announcement.php?id=a15&code=mX12eCgzw5&agentid=44170

Visit our website today to search all homes in Georgia including foreclosures at: www.TeamLeeHomes.com< /A>

Take Care,

Jonathan & Natalie Lee

Top Producing Realtors, ABR,CSN

Prudential Georgia Realty

770-313-1545

Best time to remodel is now and learn tips to save on your summer roads trips

Jonathan & Natalie Lee (Prudential Georgia Realty) — Thu, 29 May 2008 12:47:37 -0500

Subject:

Real Estate Advisor: June

Real Estate Advisor: June

Advantages of Remodeling Now

Rising energy costs and a middling economy have dampened consumer confidence, but for many homeowners, recent adjustments to the market may actually have a silver lining. For homeowners who've been looking to make updates to their property, there are a number of reasons that make this an attractive time to tackle a remodeling project.

Lower Costs

While it's unlikely that a contractor will offer to remodel your bathroom or finish your basement for fifty cents on the dollar, many are offering deals to encourage homeowners to invest in their services. Some companies are offering rebates or discounts to attract business. Others are simply more open to negotiating the bottom line. Generally speaking the better deals are for smaller projects, but exceptions can be found.

Shorter Waits, Faster Timelines

With new construction slowing in many areas and fewer homeowners funneling money into their own remodeling projects, many contractors have more time to take on new work. In years past homeowners often had to take a spot at the end of the line with their contractor of choice, as many companies had a backlog of work. In some cases start dates were set weeks or months out, and the total timeline for a project could be extensive if the contractor was working multiple projects at once.

Today, many companies are more able to schedule projects to begin in the short term. Timelines too are becoming more flexible.

Hiring the Best

During periods of construction boom, the average homeowner can have a tough time securing the services of the best local contractors. At those times the consumer has to compete for the contractor's business. While the situation is not completely reversed today, the average homeowner does stand a much greater chance of hiring a top-notch remodeling contractor than would have been possible even a year or two ago. Quality contractors are looking for new avenues of business, even if it means taking on minor jobs that may not have been on their radar in the recent past

Saving Money on Your Summer Road Trip

Americans have loved the open road seemingly from the day that the automobile was invented. This year, the rising cost of gas could threaten one of the season's most cherished traditions: the summer road trip. Here are some fuel-saving (and cost-cutting) tips for summer's road warriors.

Plan Shorter, Smarter Trips - While you don't have to stay sequestered at home this summer, it might not be the year to plan your cross-country odyssey along Route 66. The simplest way to save money on your money road trip is to shorten the distance traveled. If your family makes an annual trek to the coast, look for lakefront vacations closer to home. If your family has a favorite camping spot, check around for similar outdoor opportunities nearer to you. Less time on the road will help you cut costs (and may help you preserve your sanity).
Car Choices - If you have more than one vehicle, of course you'll want to choose the most fuel-efficient option whenever only one car is needed. If you need to transport a large group, however, you may save gas by packing everyone into one larger, less fuel efficient vehicle rather than splitting everyone into two smaller, more efficient cars.
In Tune - Keeping up with car maintenance is a cost effective way to improve the vehicle's fuel efficiency. By scheduling regular tune ups, checking and changing dirty air filters, using the recommend motor oil and keeping tires inflated to factory specifications, you can improve fuel economy by as much as 19% overall.
Equivalent Gas Savings:
-Regular Tune Ups $.15 per gallon
-Clean Air Filters: $.37 per gallon
-Fully Inflated Tires: up to $.11 per gallon
-Using Correct Motor Oil: $.04 to $.07 per gallon
Fuel Smart - Only use the grade of gas required for your car (as stated in the owners manual). Putting premium fuel into a car that recommends regular won't help your fuel efficiency and will hurt you more at the pump. If Premium is recommended but not required, fueling up with regular should not result in any significant change in engine performance.
Ideal Speed - Each vehicle reaches optimal fuel economy at a different speed (or range of speeds), but in general mileage decreases rapidly as you pass 60mph.
Equivalent Gas Savings: $.26-.$86 per gallon (for each 5mph over 60mph)
Avoid Traffic - While no one seeks out traffic, getting stuck in gridlock burns fuel needlessly. Idling gets 0 miles a gallon, and larger engines usually waste more gas idle than smaller models.
Cruise Control/Overdrive - Cruise control can help you avoid unnecessary acceleration and deceleration (which wastes gas), while using the overdrive gearing lowers your car's engine speed (which both improves gas efficiency and reduces engine wear).
Packing Light - Every 100lbs added to your vehicle's weight reduces fuel economy by 1-2%. Extra weight affects smaller cars more drastically than larger vehicles.
Equivalent Gas Savings: $.04-$.07/gallon for each 100lbs
Packing Right - While roof racks and roof-top bins are useful, they increase your car's drag and can sap the fuel economy by as much as 21%. Even empty roof-rack cross bars cut fuel efficiency by around 1%. Pack only what you can fit inside your vehicle and remove empty roof-racks if possible.
Gas Prices at Your Destination - When trying to budget your transportation costs, don't forget that the gas pumps at your destination may not be as forgiving (or, perhaps, as staggering) as those in your neighborhood. If you're trying to keep costs down, keep an eye on gas prices around the endpoint of your trip and along your route (should you need to refuel along the way).

*Cost savings are based on a fuel price of $3.72 per gallon. Data provided courtesy of www.fueleconomy.gov.

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Home inspections 101

Jonathan & Natalie Lee (Prudential Georgia Realty) — Fri, 09 May 2008 15:52:23 -0500

Subject:

What are home inspections?

Real Estate Advisor: May

Upon Further Inspection

One of the most important steps in the home buying and selling process is often overlooked: the home inspection. While many buyers and sellers alike are wary of inspections (for fear of finding the dreaded "deal-breaker"), in reality thorough and timely inspections \help smooth the process and prevent headaches during or after closing.

The Difference between Appraisal and Inspection

Many consumers are unclear regarding the difference between a home appraiser and a licensed home inspector. A house appraisal is an independent evaluation of the current market value of the home. Generally speaking, the appraiser's job is to review the property to determine its worth relative to similar properties in the area and recent sales history. With that value set, the lender can determine how much money can appropriately be loaned to the buyer. Appraisers typically work for the bank, the FHA, or HUD depending on the type of loan.

In contrast, the house inspector is trained to identify items in the home that need either replacement or repair. A licensed inspector will carefully examine the home's structural components, heating, cooling, plumbing and electrical systems, insulation, roofing and so on. A home inspection report will give far more detailed information than available in a home appraisal.

While an appraiser will perform a walk through of your home, it is typically a cursory examination that lasts between 15 and 30 minutes. An in-depth home inspection will last from two to three hours. An appraiser may point out potential problem areas, but they are not trained to spot damage or faulty systems. Only a certified inspector can adequately review the quality and condition of a home for sale.

Seller's Perspective: Informed Buyers, Added Protection

Many sellers choose to have their home inspected before ever putting the property on the open market. Such presale inspections are combined with the seller's disclosures to form a comprehensive disclosure package of documents about the home.

Some sellers shy away from this practice, feeling that it is an unnecessary expense when many buyers will obtain their own inspection anyway. But presale inspections aren't meant to replace the inspection an interested buyer will seek, rather they are meant to increase a potential buyer's knowledge about the property. Well-informed buyers will be less likely to walk away from a property that they like, and by providing a disclosure package you show buyers that you are negotiating in good faith.

The presale inspection is also a safeguard against potential home defects that might affect a future closing or even worse result in legal action after the sale of the home. An early inspection can help you identify any items you that will require either repair or disclosure (and possible concessions) as you move forward.

Buyer's Perspective: Cost-Effective Peace of Mind

A presale inspection provided within the seller's disclosure package does not mean that smart buyers should go without a second inspection by an inspector of their own choosing. In general, a home that has been thoroughly inspected benefits buyer and seller alike.

Buyer-driven inspections are common contingencies in many sales contracts. While some sellers may request a specific inspector, most will allow the buyer to pick an inspector without restriction. If a seller will not pay for all or part of the inspection without first approving the inspector, consider paying for an independent inspection out of pocket. Look for experienced inspectors with a strong reputation in the community (see the "Finding the Right Inspector" section below).

Occasionally a buyer will opt instead to do a walk through with the original presale inspector to gain further information about items in the disclosure package. While this does give the buyer the chance to ask questions about the property (and it is better than no inspection at all), it's usually best to have a true second opinion whenever possible.

Specialist Inspectors

If the general inspection identifies problems or potential defects, seek a second inspection by a specialist. The reason for this is simple: while home inspectors are trained to spot defects throughout your home, by their very nature they do not have specific expertise with every single structure or system in the house. For example, an inspector may cite signs of wear on a HVAC system as possible evidence that a replacement is in order. Calling in a licensed heating contractor may either confirm the existence of a problem or show that the general inspector was mistaken.

Additional inspections do come with an expense, but they can prevent surprises after closing or eliminate unnecessary repairs, the cost is easily offset. If the general inspector recommends additional inspections (which is often the case), you should heed the advice.

Finding the Right Inspector

Whether buying or selling, picking the right inspector is an important decision. A good inspector will be experienced, meticulous and plainspoken. It pays to use a home inspector with a proven track record in your area. You'll also want an inspector who will stand by their work and take responsibility for any oversights or errors. If the inspector is also a general/repair contractor, they should disclose this information upfront. Both seller's and buyer's agents can typically provide referrals of qualified inspectors. You can also check for local members of the National Association of Home Inspectors (NAHI) or the American Society of Home Inspectors (ASHI), two of the most respected home inspection associations.

National Association of Home Inspectors http://www.nahi.org
American Society of Home Inspectors http://www.ashi.org

Tax Time Tips

Jonathan & Natalie Lee (Prudential Georgia Realty) — Thu, 27 Mar 2008 15:00:04 -0500

Subject:

Real Estate Advisor: April

Real Estate Advisor: April

Last Minute Tax Tips

Most of us welcome the middle of April - the weather finally starts to show some of the promise of Spring, letting us know that Summer can't be far behind. For a few harried individuals, however, this time of year is the start of nail-biting, hope-I-didn't-forget-anything dash of paperwork in order to meet the IRS's filing deadline on the 15th. If you're one of these bleary-eyed souls, this last minute guide is for you.

Beat the Deadline

In order to be considered on time, your return must be properly addressed and postmarked no later than April 15. That doesn't mean that you have until the 15th to start your taxes, however. Procrastinating until the last minute can easily cause you to miss potential sources of tax savings and will put you in far greater jeopardy of making mistakes.

File a Paperless Return

Filing your return online can be far easier than putting pen to paper the old fashioned way. A number of professional tax return preparers offer electronic filing of tax returns in addition to their normal return preparation services. In most cases these e-filing services do a good job of guiding you through the entire filing process. Most charge a modest fee and offer a range of additional e-filing products for those who need additional assistance.

In addition to being fairly easy, e-filing is the typically the quickest and most accurate method of filing tax return. If you're due a refund, the waiting time for e-filers is half that of paper filers. By filing online you also have the option to have any refund directly deposited into your bank account. Almost 80 million taxpayers filed their returns electronically in last fiscal year.

Payment Options

If you can't immediately pay the full balance of taxes you owe, there are still alternatives available to you. You can apply for an IRS installment agreement, using their new Online Payment Agreement application on IRS.gov. This Web-based tool allows qualified taxpayers or their official representatives to self-qualify, apply for, and receive immediate notification of approval. You also have a number of options for charging your balance on a credit or debit card. There is no IRS fee for credit or debit card payments, but the processing companies will charge a convenience fee. E-filers with a balance due may pay their taxes directly from their checking or savings account on the April due date with no service fee.

Extensions

Should you find that you are unable to file by the due date of your return, you can request an extension of time to file. However, it's important to note that an extension of time to file is not an extension of time to pay. You will owe interest on any past-due tax and you may be subject to a late-payment penalty if payment is not made timely. To receive an automatic 6-month extension of time to file your return, you must file Form 4868 by the due date of your return.

Joint Returns

If you are married and will be filing a joint return, remember that both husband and wife must sign the return. If your spouse cannot sign (because of disease or injury) and requests that you sign the return, you should sign your spouse's name in the proper place followed by the word "by" your signature, followed by the word "husband" or "wife". Don't forget to also sign in the space provided for your own signature. In addition, you must attach a statement that includes the form number of the return you are filing, the tax year, the reason your spouse cannot sign the return, and a statement that your spouse has agreed to your signing for him or her.

Special Rebate

Unless you've been sleepwalking for the last few months, you probably have heard about the individual rebates that many taxpayers will be receiving as part of an economic stimulus package. Under the Economic Stimulus Act of 2008, some 130 million Americans will receive checks entirely separate from normal refunds. The most common questions: who will be getting money, how much and when?

If you earned more than $3,000 for the 2007 tax year but owed no taxes, you will get some money back. If you had any net tax liability for 2007 you should likewise seem some form of rebate. In many cases there is a rebate bonus for taxpayers who claim children (those under 17 years of age). Non resident aliens are excluded from the rebate program. The rebate amount begins filing out if your adjusted gross income is over a certain threshold ($75,000 for single filers, $150,000 for married couples filing jointly).

In general, the basic rebate amounts break down as follows:

Individual taxpayers could receive rebate checks ranging from $300 to $600.
Married couples will get up to $1,200.
Most individuals who have income of $3,000 but who do not have to file a return will get $300.
Some taxpayers with children will receive an additional $300 per child.

Because the IRS needs time to the normal glut of 1040s from filing season, checks will not start being issued until May at the earliest. According to the IRS, payment date will be based on the last two-digits of your Social Security number, with checks being mailed between mid-May and Mid-July. If you previously requested that your standard tax return's refund be directly deposited to your bank account, the additional rebate will likewise come through as a direct deposit.

Go to the Pros

If you've decided to wait until the last minute to file your tax return, chances are this isn't the first time in your life that someone has told you to seek professional help. In all seriousness, when the deadline is fast approaching obtaining a seasoned tax expert is a sound decision. The extra care, protection and expertise that a knowledgeable tax preparer can provide are more than worth the cost of their services.

To Refinance or Not to Refinance...that is the Question!

Jonathan & Natalie Lee (Prudential Georgia Realty) — Thu, 06 Mar 2008 20:24:45 -0600

Subject:

Real Estate Advisor: March

Real Estate Advisor: March

Refinancing Your Mortgage

Radio airwaves, magazines and newspapers are filled with advertisements from lenders encouraging homeowners to refinance their home mortgages. These messages extol the virtues of switching from Adjustable Rate packages to fixed mortgages to lock in lower interest rates. The question is: would refinancing your mortgage really be the right move for you?

Rise of the Refi

Interest rates have fallen dramatically since the first of the year, and as a result mortgage refinancing has been gaining steam across the country. Applications to refinance existing mortgages have been on the rise in recent weeks. Many of these homeowners are just as attracted to the possibility of getting out of riskier Adjustable Rate Mortgages as they are to lower rates.

Whether or not you should refinance your mortgage depends largely on your personal circumstance. Most important are the interest rate and terms of your current mortgage as well as your outlook (how long you intend to own your home).

The conventional wisdom has always been that you shouldn't refinance until the interest rate has dropped a full point (or more) below what you're currently paying. The basic theory behind this advice is sound enough: given the typical costs associated with refinancing, chasing lower interest rates is only financially sound once the rates drop below a certain threshold. But the old rules fail to take into account some of today's situations, such as owners wanting to switch from an ARM to a fixed rate mortgage or those eyeing a "no-cost" refi.

Things to consider

As with most money matters, there is no "one-size-fits-all" answer to the refinancing question. If you're considering refinancing, consider these elements:

Rate - Interest rates have been dropping throughout 2008, and a large number of homeowners are seeking to take advantage by locking into lower rates. Some believe that it is better to wait and see if rates will continue to drop, owing that the general trend has been downward. On the other hand, the current rates are a known commodity that you may wish to take advantage of.

Risk - Historically the main motivation for refinancing a mortgage has been to secure a loan with a lower interest rate. But many homeowners are now seeking to refinance mainly for the kind of security that ARM products typically can't offer. If you have concerns over future fluctuations or spikes in interest rates, you may wish to lock in a fixed 15 or 30 year fixed rate mortgage, particularly if there is no annual or lifetime cap on the amount that your current loan can increase.

Term - In addition to the rate and structure of your loan, take into account the term of your current loan and any potential refinance. For example, if you've already paid off eight or nine years of your current mortgage, you might find opportunity in a fixed 15-year or 20-year loan as opposed to the more common 30-year product. In general, extending the total term of your loan will negate the benefits of lower interest rates, so try to keep the bigger picture in mind.

Closing Costs - As with primary mortgages, refinancing a mortgage entails up-front expenses. Many lenders are offering refinancing packages with modest out-of-pocket expenses. Even if lower than average, these costs may be substantial and additional fees may be added to your loan balance. Some lenders are even offering "no-cost" refinancing in order to attract homeowners. Remember that in such cases you'll likely not get the lowest interest rate available in the market. Be sure to carefully weigh the benefits of any "no-cost" package against those of traditional refinances available to you.

The Break-Even Point

Unless you've secured no-cost refinancing, you'll need to weigh the cost of the new loan against the amount you'll save over the term of the loan. One simple way to determine if refinancing is in your best interest is to determine the amount of time (with your monthly savings) it would take to recoup any fees or closing costs.

To start you'll need to determine your (potential) monthly savings. Review your payment coupon to verify the amount of your current monthly interest and principal. After establishing the rates and loan packages that you qualify for, ask your loan officer or mortgage broker for an estimated monthly payment. Many online mortgage calculators can also help you determine monthly costs if given the principal loan conditions.

You can now use that monthly savings to determine the point at which you'll begin to see a real return. For example, say refinancing will entail $2000 in costs but will save you $50 every month in payments. If you divide the mortgage fees by the monthly savings you find that the "break-even" point is 40 months from now. After that point the monthly savings would no longer be mitigated by the up-front costs.

Again, your personal situation determines whether or not the prospect of refinancing is truly viable. If you plan to own your home for many years or the cost of refinancing is very low, then you're more likely to realize the benefit of securing a new mortgage.

From Tenancy in Common to Tips to Sell Real Estate in '08

Jonathan & Natalie Lee (Prudential Georgia Realty) — Fri, 22 Feb 2008 19:57:21 -0600

Subject:

Real Estate Advisor: February

Real Estate Advisor: February

Investment Quick Q&A

Q: What exactly is "tenancy-in-common" ownership?

A: In simple terms, tenancy in common (sometimes called tenants in common or TIC) is a way for two or more individuals to hold title to an individual property without a "right of survivorship". This means that each individual co-owner gets to decide who will inherit their portion upon death (rather than co-owners interest passing to the other co-owners involved).

In application, this has become a popular style of ownership for individuals wanting to invest in commercial real estate. Each co-owner of the TIC receive the benefits of ownership (rental income, profit from future sale, etc) while leaving the day-to-day management to professional managers. If you're considering entering into this form of commercial real estate investment, consult a real estate attorney in advance.

Sellers Tactics: Attracting Buyers in '08

Home selling strategies should always be carefully tailored to meet current market realities. Here are some things to keep in mind if you're planning on selling your home in 2008.

Get a Home Inspection: In a buyer's market, it pays to take a pro-active approach. Home defects or outdated systems can hold up a sale or result in price reductions later on. By getting a home inspection before putting your home on the market, you'll be able to address problems that might otherwise turn off savvy buyers.
Set Pricing Accurate to MarketSetting a realistic asking price is the best way to ensure a timely sale. It's no longer enough to simply check current comparable listings in your area and match their asking prices. Research both the price and the time on the market of current comparable listings. Pay close attention to any properties that have sat unsold for an extended period of time. Get information on recent sold properties in the area, paying close attention to the sold date. If available, seek out statistical data on local home buying trends. Hire a professional appraiser to give you more finite idea of your home's value. Keep your mind open to the possibility of a future price reduction should your initial listing not generate the kind of response you desire.
Pre-Market Prep: With inventories rising in many areas, buyers have become much more meticulous. It's more important than ever to make sure that your home is show-ready before the listing is placed on the market. Clean and de-clutter your home inside and out. If you've been considering remodeling, stick to less-expensive projects in key rooms. Make any necessary exterior repairs (such as fixing broken gutters or missing shingles) to improve your home's curb appeal. A professional stager can draw out your home's best qualities while downplaying personal touches that may not be for everyone.
Professional Marketing: In a slowing market that favors the individual buyer, the guidance and know-how of a licensed seller's agent becomes all the more valuable. The available resources, marketing experience and industry knowledge of a real estate professional will help you develop a targeted marketing plan based on your home's strengths and the makeup of your immediate market.

Adding a "Mother-in-Law" Apartment

Some homeowners are looking at mother-in-law apartments as a way to accommodate the needs of older family members or to generate additional income.

What is a "mother-in-law" apartment?

While exact definitions vary, in general "mother-in-law" apartments (sometimes called "accessory apartments") share these characteristics:

a separate, secure entrance
bedroom/personal living area
private bathroom
kitchen or kitchenette

Depending on the size of the apartment, the unit may include a living room in additional to the bedroom. Typically such units are not part of the original floor plan of the home, although in some rare cases houses are designed to incorporate separate smaller units.

Types of Units

There are a number of different "styles" of mother-in-law apartments, including:

Basement units
Second floor units
First-floor add-ons
Exterior buildings/guest houses
Above-garage apartments (usually with a detached garage)

Any accessory apartment, regardless of the location or size, should be constructed in a manner that is as consistent with the design of the existing structure as possible.

Attractions of the Accessory Apartment

Space for Relatives: For many homeowners, the thought of sending aging relatives to a retirement home or assisted living facility is tough to bear. The incredible financial expense associated with these options makes the decision that much more difficult. Many would prefer to take care of an aging parent or relative at home, and the ability to offer that relative a degree of privacy and independence is very appealing.

Additional Revenue Stream: While rents for mother-in-law apartments are typically lower than those found in more conventional apartment buildings, the income gained from renting out an accessory apartment can help with mortgage payments or bills. Remember that income from your rental unit is taxable, although you can deduct maintenance costs associated with the rental.

Guest Quarters: If not in use by a permanent tenant, accessory apartments can serve as a perfect extended guest room, providing friends or relatives from out of town with more privacy and space.

Resale Value: While not a home-run in terms of adding resale value, accessory apartments will be a selling point for certain buyers, and the presence of a mother-in-law can help set your home apart from similar properties in the market.

Things to Consider

Zoning & Permits: Neighborhoods zoned for single-family residences generally prohibit secondary units such as accessory apartments. Often these prohibitions are a result of fears that extra units will cause congestion, traffic, or increased load on public utility systems or community services. Check with city and/or county housing departments to see if mother-in-law apartments are allowed in your area. In some cases you may be able to obtain special exemptions depending on the situation.

If accessory units are permissible in your neighborhood, you will still need to apply for necessary housing permits and building/construction permits for any conversion work that you do. Converted spaces will also have to pass a building inspection, and if your neighborhood is governed by an association there may be additional rules and requirements restricting the changes that you're allowed to make.

Landlord/Tenant Laws: Obligations of the tenant and landlord should always be clearly defined in a rental contract. You should always research local landlord/tenant laws (and if possible, consult a real estate attorney) prior to starting any mother-in-law apartment project.

Insurance: The addition of a separate apartment unit may affect the rates for homeowner's insurance. It's also advisable to purchase liability insurance to protect against any damage or injury to your tenant or their property.

Parking: Do you have adequate parking for both your family and your tenant(s)? Are their local parking restrictions that may come into play?

Utilities: If you plan on using the unit as a rental, you'll need to contact your utility companies to have separate lines and meters for the apartment (unless, of course, you plan on paying for all utilities).

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Take Hope with Bush's Foreclosure Relief Plan

Jonathan & Natalie Lee (Prudential Georgia Realty) — Thu, 06 Dec 2007 17:47:49 -0600

Homeowner's all around the nation today should have hope from the foreclosure relief plan that President Bush released. Since the foreclosure rate has risen to all time highs this much needed relief to many homeowners that carry subprime Adjustable Rate Mortgages. Bush said that 1.2 million people could be eligible for assistance. He also stated that others will be considered for help with refinancing. Call the hotline 1-888-995-HOPE to see if you are eligible for the relief. Remember, you have to ask to receive!

As a Realtor and homeowner, I am glad the White House finally stepped up and addressed the current foreclosure situation. I applaud President Bush for his actions to aid homeowners all around the nation. Time will tell if this is the only relief needed or if more drastic measures will have to be taken. Some people think that the relief is not nearly enough. Maybe they need to count their blessings for the relief that is being given instead of wanting a perfect solution. Your comments are welcome.

Avoiding Foreclosure in Villa Rica, Ga

Jonathan & Natalie Lee (Prudential Georgia Realty) — Tue, 27 Nov 2007 15:28:33 -0600

Did you know there were 2800 foreclosures last month in Georgia alone? Read the below article with tips to prevent and avoid foreclosure at all cost!

Real Estate Advisor: November

Avoiding Foreclosure

Avoiding Foreclosure

Many markets are seeing a rise in delinquencies and foreclosures. If you've missed payments on your mortgage or are worried about future payments, it's easy to feel like you're all on your own. With your house on the line, you may be tempted to hide and merely hope for the best. However, if you face problems quickly and directly you're much more likely to avoid foreclosure.

It's important to remember that foreclosure is also an undesirable endgame for lenders. Many mortgage companies would rather attempt to work with a delinquent borrower before resorting to the expense and hassle of foreclosure.

Identify the Timeframe of Your Financial Issues

Generally speaking, mortgage service companies provide one set of solutions for borrowers who have short term troubles and another set for those whose problems are more long term. Before you begin negotiating with the mortgage company, you should know which category your situation falls into.

For example, if you've been recently confronted by a costly auto repair, you may be in a crunch trying to meet a mortgage payment or two. Because the repair bill is a one-time expense, the mortgage issue is short term.

On the other hand, a change in employment or earning ability can be a longer-term problem, especially if your financial outlook is unknown.

Respond to Contact

Ignoring a problem rarely makes it go away. Unfortunately, in far too many cases borrowers fail to respond to their mortgage service company (the firm that collects payments and sends notices when payments have not been received). The first step in showing good faith is responding to the calls or letters regarding your delinquency. Many service companies have a foreclosure prevention department that is trained to empathize with troubled borrowers. So make initial contact, but be careful not to agree to any new terms hastily.

Get Outside Assistance

The mortgage company may offer up several different solutions initially, but the last thing you want to do is to agree to something new that may put you into even more of a bind down the road. Before agreeing to any new terms, you should describe your situation to an outside expert. Seek outside help in the form of a real estate attorney, credit counselor or a housing counseling agency.

Document, Document, Document

The most caring mortgage lender in the world still sees things largely in black and white, so it's important to gather as much information as possible. Begin by collecting all correspondence from the mortgage service company. Keep envelopes when possible, as sometimes the postmark of critical notices can affect a borrower's eligibility for relief.

Document Income - Collect as much documentation displaying your income as possible. Lenders typically want to see at least one month of income, but get together as many consecutive recent pay stubs as possible. Find your last two to three tax returns and W2 forms. Also include three to six months of bank statements.

Document Expenses - Assemble all bills, paid or unpaid, from the time you began to fall behind in payments until now. Include utilities, credit card bills and auto payments. It's particularly important to show any of the reasons that you may have fallen behind in the first place (such as unexpected repair or medical bills).

The documents will likely help tell the story of why you fell behind on your mortgage payments. Now it's up to you to fill in the blanks with the human element. Write down all of the circumstances that lead to your current situation, and you'll be better prepared to explain yourself to the powers that be.

Possible Solutions

Depending on the number of payments missed, the size of the loan and the financial outlook of the borrower, the mortgage company has a variety of potential solutions that it may offer.

Repayment Plans - If you haven't missed many payments, the mortgage provider may work with you to form a repayment plan that allows you to pay off the past due amount bit by bit (in addition to your regular mortgage payments).

Reinstatement - Should you be experiencing a temporary shortfall of cash, your lender may provide an extended period of time to pay of the past due amount. In most cases you will still be responsible for any late fees or penalties you've already incurred.

Forbearance - If you need temporary relief, the lender may offer a forbearance plan. A forbearance plan suspends or reduces your payments for a set period of time, with the unpaid to be paid later in either pieces or one lump sum.

Loan Modification - Longer term financial problems that affect overall income are sometimes solved by loan modification. Any term of a mortgage may be modified by a lender: the rate, the payoff date, and even the total amount owed. A lender may modify the terms of the mortgage if you cannot payments under the current agreement, but the lender is reasonably sure that you will be able to consistently make future payments under new terms. Modifications are extreme measures and are used sparingly, but are an option for lenders who conclude that foreclosure would be more costly.

Be Relentless, but Realistic

Most mortgage service companies are essentially broken into two branches. The first tier is the collections department, whose job is to track down delinquent borrowers and recover back payments. The second division is the foreclosure prevention department (sometimes called loss mitigation, delinquency customer service or loan resolution). This second tier is responsible for making the tough decisions.

Getting past the collections agents and to the loss mitigation department is critical. The help of an attorney can be crucial in gaining you such access. When you do get through to a loss mitigation agent, tell your story and answer all questions about your income and expenses, and request an application for forbearance or modification.

While the hope is that the lender will offer mitigation, you should be prepared for the worst case scenario: that you will have to move out. However, if the lender does over loan resolution, they likely will push you to make a quick decision. Instead take time to consider it with an advisor before agreeing to anything.

Real Estate In Villa Rica, Ga in a Slow Market

Jonathan & Natalie Lee (Prudential Georgia Realty) — Sun, 14 Oct 2007 20:52:13 -0500

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Real Estate Advisor: October

Selling Tactics: Buyer's Incentives for a Slow Market

Selling Tactics: Buyer's Incentives for a Slow Market

In a slowing market, sellers can find it tempting to believe in magic solutions. With unsold inventories growing in most areas, some sellers resort to offering flashy incentives for buyers. Everything from big-screen TV's to vacation packages are being tacked onto listings in the hope of luring in interested buyers.

In truth no amount of flash or gimmickry will change how buyers feel about your home's core qualities, but incentives that appeal to a buyer's wallet can be effective in certain situations. Below are some buyer's incentives that may help set your home apart from the rest:

Paying Points - The current housing slump has placed mortgage concerns in the minds of many buyers. Sellers who offer to pay mortgage points for the buyer (sometimes referred to as "buying down the mortgage") are more likely to attract buyers who are nervous about their monthly payments or interest rate. Each point you pay equals 1 percent of the loan amount, so mortgage buy downs lower both the interest rate and the monthly payment.

Down-Payment Aid - One of the biggest hurdles for many homebuyers, especially first-time homebuyers, is the down payment. Help with the down payment may in many cases be more important to the buyer than the actual asking price itself. This incentive works well for those selling "starter" homes that are more likely to draw first time homebuyers.

Closing Costs Help - Legal fees, title insurance, filing fees - closing costs can add up in a hurry for buyers, typically totaling somewhere between 2 and 7 percent of the total loan amount. Sellers who offer to assist with the closing costs will appeal to cash buyers short on cash

Home Warranty - Including a year (or two) of home warranty coverage serves as a peace of mind for the buyer that they won't have to foot the bill for unexpected repairs in the first year or two of ownership. Most policies include service to the home's HVAC, interior plumbing, appliances and major fixtures. The low cost of home warranties (typically a few hundred dollars) makes them a low risk-high reward incentive to offer.

Maintenance Fees - Some features of a home that you may consider "selling points" (pool, hot tub, sauna, gas fireplace, AC system, etc) can actually seem like detractions to buyers due to their related maintenance costs. You can assuage a buyer's concerns by offering to pay for the first year's worth of maintenance.

Landscaping - Offering to spring for a few additional landscape features can be a nice way to let buyers add personal touches to the property without taking on personal expense. Keep in mind that adding such touches on before putting the home on the market may have a greater impact (provided, of course that your landscaping choices aren't woefully misguided).

Condo/Homeowner's Association Fees - In a condominium complex or planned community, homeowner's dues add to the monthly cost of ownership. If the first year's worth of dues are taken care of by the seller, potential buyers have one less early-expense to worry about.

Price Reduction - Price reductions don't usually come to mind when discussing incentive strategies, but really no single factor is more important than the asking price. A well-timed price reduction can indicate to buyers that you are flexible and serious about selling the home.

Upgrades - In most cases major home repairs and touch ups should be completed prior to putting the listing on the market. However, offering to finance certain aesthetic changes, such as new exterior or interior paint, can be marketed as a means for the buyer to add their own personal touch to the home.

Extras - If you're going to offer a "throw-in" as an incentive, why not tailor the offer to the charms of your home? For example, the antique hutch that perfectly compliments your entryway might be included in the list price. If you've invested time and money in a prized back deck, including a premium gas grill could be a logical pairing. Buyers often view wild incentive offers with skepticism, but "thoughtful throw-ins" don't carry the same air of desperation.

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Homes for Sale in Villa Rica Ga,Dallas,Hiram,Rockmart,Temple,Douglasville,Marietta,Powder Springs

Jonathan & Natalie Lee, Realtors®, ABR

Prudential Georgia Realty

http://www.jonathanandnatalie.com/