The Swell Bubble Gum Factory could become the next site of a YMCA! While talks are in the preliminary stages, Haverford Township, through eminent domain, has been working on acquiring the existing property and setting up a long term lease with the YMCA.
I personally think it could be a great addition to the area. I've heard awesome things about the new YMCAs in the region, from great programming for families to reasonable membership costs. Also, as I'd love to have access to a local indoor swimming facility, this could be a great centrally located option. We'll see.
Check out this Delco Times Article for the lastest:
Havertown homes are selling! With 67 units sold at an average sales price of $292,716, June 2009 marks the highest number of units sold in one month since June 2008 (according to Trend Multiple Listing Service Statistics run on July 1, 2009)
We've not only seen the the most sales in one month (27 more units sold then May 2009) but also the highest average sales price and the least number of Days on Market (68) for 2009. While June is typically one of the strongest months for residential sales in our area, this information is encouraging in that the trends still exist in our changed economy.
What's Driving the Havertown Market?
First time Home Buyers - 70% of my sales this year have come from first time home buyers taking advantage of great prices, great rates, and the $8,000 tax credit.
Location and Price - Havertown fits the right price range at the right location. With great neighborhoods, great schools, and great location, their are very few alternative locations that offer all Haverford Township with home selling on average just under $300,000.00.
Trading Up - With the draw of first time home buyers, homeowners looking for more space are finding great deals for less while being able to sell their own homes. With rates in the low and affordability being the highest its been in years, homeowners are realizing the advantages in this market.
What's Selling?
Amenities & Condition - There's no substitute for homes with the works and in great condition. When there's lots of homes to look at, the magnifying glass is pulled out and everything counts. The homes that reach this status are gone in days if not hours.
Central Air - While I don't have statistics to back this up, I believe Central Air is one of the best things Havertown homeowners can do to improve the value and sale ability of their homes. The buyers in the market grew up with the luxury of central air in their parent's homes and they want it badly. The home with central air will sell sooner then the home without, given similar other conditions
Family Room/Extra Space - Old homes in Havertown tend not to have 1st floor family rooms, so when they do, or have a good alternative, like a nicely finished basement, buyers become very interested.
Watch out, the Mortgage Crisis has just gone Hollywood! I was in my car listening to our local Philadelphia Morning Show, Preston & Steve, when I heard the hysterical movie promo for "Drag Me to Hell", quite the inventive name for a horror flick. When a loan officer makes of tough decision to deny the extension of a mortgage payment, the denied borrower casts a horrifying spell onto the loan officer...sending her to hell of course.
I'm going to put this in the worst case scenario category for things that can happen to loan officers.
I heard this is based on true events:)
Check out the movie trailer for yourself (its even better then the radio spot):Drag Me to Hell
People can say that I'm biased because I'm a REALTOR, but the truth is, if your a qualified 1st time homebuyer with decent credit and have a little money saved up, STOP THINKING AND START ACTING! The window of opportunity has presented itself and it won't be open forever.
When I was 23 (2003), I bought my first house because I had a decent job, mortgage rates were very low, and mortgage guidelines made it fairly easy to qualify. I had a 4.125% 3 year adjustable rate mortgage on a fixer upper that I was excited to fix. I lucked out as it was right before the big boom in our area and I ended up with some decent equity.
FAST FORWARD
Now, I wish I was a first time homebuyer all over again.
Here's the situation:
There's an incredible inventory of properties at the lowest prices the market has seen in years
Interest Rates that are averaging the lowest they've been in over 50 years
An $8,000 tax credit for qualified buyers (or 10% of the home value) can be applied to next years taxes.
Let me put this into perspective. You buy a $200,000 house using an FHA Loan. If you have a decent job, or combined income if your married, and decent credit, you should qualify for an FHA loan which requires only 3.5% down to purchase (3.5% into the deal). Beyond that 3.5% you can have up to a 6% seller's assist. This means you can finance your closing costs into the mortgage if you are in a position where you need to keep your cash in your pocket.
If this doesn't seem to make sense here's some Mathmatics:
3.5% down on a 200,000 purchase price = 7,000.00 + closing costs (around 5% of purchase price) = 17,000.00 - 5% seller's assist = $7,000.00 total
Keep in mind if you are doing a seller's assist you are raising your loan amount and do need to make sure that the home appraises for the appropriate value. I recommend speaking to a qualified REALTOR to help you determine the market value of a property before making an offer.
THERE's MORE
Taking the above scenario one step further, now you qualify for the 8,000 tax credit because you make less then $75,000 (or $150,000 as a married couple). This will be added to your 2009 tax return. This credit will be on top of the incredible buying advantage of tax deductions including real estate taxes and interest that will come off of you gross annual income. Because you pay mostly interest on a 30 year loan in the first few years, you write off a lot of interest.
WHAT's It All Mean
With a loan amount of $203,000 (3.5% down + 5% assist), interest rate of 5%, and annual taxes of $3,500.00, you have a total monthly payment of about $1600.00 (includes insurance and PMI) and paid about $8,000 in closing costs. If you purchased the home by July you would pay 5 months or $8,000.00 by the end of 2009. Given the $8,000 tax credit you will receive, you would practically break even on your payments and need less then 10,000 to purchase.
THE BOTTOM LINE
The advantages of being a qualified 1st home buyer in this kind of market are ones that we may never be seen again. While housing appreciation may not be great over the next year, the outlook beyond, although unknown, should be more favorable. And do yourself a favor, find a home that's a great price because it needs a little paint and sprucing up. Use your imagination, enjoy creating your own home and build equity quickly. While the economy would like to make you think its all dollars and cents, a home is a wonderful thing to have.
PLEASE TAKE ADVANTAGE
**Please note that the numbers provided are for example only. I recommend you speak with qualified professionals to make sure the situation works for you.
As the New Year has begun so has Single Stream Recycling for Haverford Township. Additionally, you can now recycle more types of plastic and bottles!
What's Changed:
Now you can place all your recycling into one container
Green and Brown Glass have been added to the list (you can drink beer and go green)
Plastics numbered 1 through 7 can be recycled
If you need a bigger recycling container, Haverford Township is providing them for $18 a piece or you can pick up a free dical to slap on your exising trash can. You can pick up a decal at the Public Works office building at 2325 Darby Road in Havertown.
Secondly, mark your calendars for opportunities to get rid of your Household Hazardous Waste:
March 28 - Marple Transfer Station, Marpit Drive & Sussex Boulevard, Broomall
April 25 - Emergency Services Training Center, 1600 Calcon Hook Road, Sharon Hill
Sept. 19 - Covanta Delaware Valley, 2nd & Harwick streets, City of Chester
Oct. 8 - Rose Tree Park, North Providence Road (Route 352), Media
I'm sitting in my cold car this morning listening to a NPR news report about Bernanke's concern that foreclosures are effecting every market in the U.S. whether or not your market is suffering from a foreclosure problem. Its a great eye opener if you want to be depressed for the rest of the day.
Bernanke, Bush, the Big 3 Automakers, you name it, the news isn't good. The bigger problem I see is that when you and I listen, these stories effect our day and put everyone into this "Fear Funk". So while I can't change the world I'm committing to one thing:
I'm Turning off the News, Turning on the Music and Starting to Live again!
Of course Under Pressure by David Bowie was playing, but at least it made me smile. I hope you will follow and please enjoy some Holiday Cheer...we could all use a little.
Lastly, some good news for the Philadelphia Region...Jed Smith, Managing Director of Quantitative Research for the National Association of REALTORS stated on Monday at the Suburban West Realtors Association, "We project that the Philadelphia housing market to begin to show recovery in July/August of 2009 which will mean a significant uptick in sales and values."
With rates down, inventory up and prices soft, this kind of news makes me believe it is actually the best time there's been to buy real estate since I've joined the business.
2008 is not over yet, but I'd like to shed some light on our local market in Haverford Township real estate. If you've been listening to the National Association of Realtors (NAR) advertising, you've heard the famous line repeated, "Every market is Local, talk to a Realtor". While national news focuses on the national averages, you might be pleasantly surprised to find out how our local Havertown real estate market has faired.
First of all I'd like to make one distinction. While a stock market graph looks like a plane nose diving, the real estate market graph continues to follow regular trends. As all the bad news of the stock market makes us feel like everything is sinking, this is not a fully direct correlation...there are too many other factors involved. Factors including the location of the town, who's moving into the area, and what type of industries represent large sectors of the area's population. Additionally, what type of appreciation has Havertown seen in comparison to the rest of the U.S. over the real estate boom?
I'm happy to say that Havertown finds itself in a good central location surrounded by a diverse job industry. Additionally,Havertown and the Philadelphia region experienced a much more moderate level of appreciation through the boom in comparison to surrounding metropolitan areas like Washington D.C. and New York City.
The following data was derived from TrendMLS.com, November 24th, 2008 and covers all of HaverfordTownship for sales between $0 and $999,999. I consider sales over 1 million to be unusual in our market, therefore not representative of a the majority of sales. Of the 477 sold properties this year so far, 5 were over 1 million dollars
As you can see 2007 and 2008 residential real estate sales in Haverford Township have stayed relatively equal. At times we've seen jumps and drops, but overall we can say that the average sold home in Havertown remains to fall right around the $300,000 mark.
While I wish this was the full story we have to look at the number of sales as well.
Here the graph shows that we've felt a bigger impact from a lack of sales. In 2007 Haverford Township had sold 651 units and in 2008 we are up to 482 as of November 24th. Unless Havertown experiences and incredible up rise in sales through December, I would predict that the number of sales will have declined by approximately 20%.
What does this mean for Haverford Township Residents looking to sell?
The current market is tricky, but workable. Less units are selling and there is quite a bit of competition. While average home sale prices have remained in tack, it will most likely take you longer to sell. On a positive note, if you've kept you home in great condition, made some improvements and maintained your systems, the market recognizes this and is willing to pay for the improvements. Spending some time or money giving your home a fresh coat of paint can make a world of difference.
What does this mean for Havertown home buyers?
You have a lot of inventory to sift through, but you can find some great deals. If your willing to role up your sleeves and get your hands a little dirty, Havertown offers well built homes that often need some updating, as residents tend to live in their homes for many years. Surprisingly, there have been some recent competitive bidding sections on the homes that are in great shape and priced right. You want to make sure your financing is in line in case that house pops up.
Overall, I think we can safely say that the Havertown real estate market is still intact while feeling a bit of a slow down due to the new mortgage regulations and current economy.
Has anyone noticed all the new 5k Runs that are popping up these days. Running has become more and more popular all across the U.S. Whether its a 5k, 10K, Half Marathon or Full Marathon, the numbers are staggering how many people are participating. Just this weekend, Philadelphia is expecting somewhere in the range of 18,000 runners for the Philly Marathon!! Now its not only running that has been growing in popularity, triathalons have be growing as well.
Now I like running and riding, but I have to say, they can be a little on the boring side. Don't get me wrong, I ran in this year's Philadelphia Half Marathon and it was and incredible event. I've done it three times now and I go more for the atmosphere and energy then anything.
My point is if your into running and riding and are looking for a little something else to spice it up you have to try an ADVENTURE RACE. If this is the first time you've heard of it, don't worry, its probably not the last. Adventure Racing is kind of like a triathalon, but with events that often include trail running, mountain biking, orienteering & canoeing. These races are usually classified by hours rather then distances, so you'll find 4 to 6 hour races, 12 hour races and yes that's right 24 hours races for the clinically insane...you'd be surprised how many have accomplished these. Most importantly, Adventure Races are typically set up for teams, anywhere from 2 person teams to 5...and that makes it fun and interesting.
So I'm more of a 4 - 6 hour racer and have participated in a handful of races over the last 6 years. Each one is a new challenge and none are the same. If you looking for something new and are willing to try I definitely recommend you start searching. While there are many great races all over Southeastern Pennsylvania, I'd recommend checking out www.makebreak.com and tell Butch I sent you. He runs about 5 races a year and they are a blast. I'm always looking to put together teams so if your interested let me know.
Here's one of my latest races with my Team The Lost Boys at Blue Marsh Lake (Just Northwest of Reading Pa)...Wildlands Challenge
The one thing I love about this business is that every deal is different! The one thing that's really hard about this business is that every deal is different! While the market for buy, fix and sell properties has declined, from time to time there will always be the occasional situation for the right investor. Just a couple days ago, I saw two fixer upper properties in Upper Darby Township, Pa come on the market and immediately sell within less then 12 hours. These were great opportunities.
The BEWARE part comes in when you sell your renovated property. Just recently a well known and respected bank went as far as to ask for costs (labor & materials) & paid receipts of all work accomplished on the home after having already received a satisfactory appraisal. This is for a home that was priced well within the limitations of value of its surrounding neighborhood.
While the information was able to be provided and the deal moved forward, the fact that a bank is trying to find value in the "cost" of jobs completed is a bit of an awakening. This goes beyond real estate theory and common sense. While a list of completed items to support the value increase in the home may be necessary, cost of the repair and renovation has no bearing on the current market value of the home.
My Advice
Be conservative, keep good records, and be aware that banks are heading toward ultra-conservative practices. None of the parties involved, including the mortgage broker, had experienced these kind of detailed requests.
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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