What's the best neighborhood in Philly to buy an old house? This Old House Magazine says Mt. Airy, recognizing it among the best neighborhoods in the Northeast. With the help of PreservationDirectory.com and realtors, This Old House put together its third annual list for its March issue, which will hit stands on February 19.

The Northwestern district along Germantown Avenue was a favorite, chosen for Best for City Life and Fixer-Upper categories. It ranked up there with places like Stuyvesant Heights, Brooklyn and Bangor, Maine. Both historical and affordable, Mt. Airy has always been a Philadelphia gem. You can read what This Old House has to say about it in their online article, Best Old House Neighborhoods 2010: the Northeast.

We learned some interesting facts, including that Mt. Airy is often referred to as Berkeley East, and that some owners rent out one side of their mini mansions. Well done, Mt. Airy. We're proud to call you one of ours.

Photo Credit: Mt. Airy USA

One sign of our current financial times has been the shift of lending power (for real estate and other types of loans) from the too-big-to-fail national banks and financial companies to smaller regional lenders. In the Philadelphia area regional players such as Beneficial Bank and Susquehanna Bank have been actively picking up business left behind by the area's national players (Wachovia, Bank of America, PNC, etc.). The big national banks have been too busy struggling to maintain financial solvency, digest government-forced acquisitions, and deal with their public image to focus on increasing deposits and loans from local customers.

Now it seems the trend is continuing to trickle down and power may be shifting to even smaller, dare I say tiny, local banks. One report in today's Inquirer tells of a group of bankers leaving regional player National Penn Bank for the tiny neighborhood-focused Valley Green Bank of Northwest Philadelphia. This shift should be a boon for local real estate investors as small community banks are often their most willing lenders anyway. As these small banks pick up new staff and deposits from their larger regional and national competitors their lending capacity and sophistication should grow accordingly. Now may be a perfect time for real estate investors to establish relationships with these banks as they look to grow their book of business.

Philadelphia has been operating a pilot program to assist home owners facing foreclosure since 2008. This program provides counseling, help with negotiating a loan modification, and assistance to stop the Sheriff's Sale.

The Mayor of Philadelphia has become a spokes person for the campaign to inform homeowners of the program, appearing in ads such as the one posted on the back of the 23 Septa bus that runs from the top of Chestnut Hill in Northwest Philadelphia to Oregon Street in South Philadelphia.

A ruling of the  Court of Common Pleas in Philadelphia enacted the Residential Mortgage Diversion Pilot Program to keep as many homeowners as possible in their homes. If a homeowner is facing foreclosure, help is available through one of the non-profit, OHCD (Office of Housing Counseling and Development) counseling agencies that are located around the city. 

The court order gives homeowners the right to have a conference with their lender under  the supervision of the court.  

Any Philadelphia homeowner who is behind in their mortgage payment can contact the Save Your Home Hotline 215-334-HOME, or visit www.phillysheriff.com for more information and for a referral to one of counseling agencies.

Homeowners can also call a neighborhood counseling agency directly. In Northwest Philadelphia assistance is available at Mt Airy USA; phone 215-844-6021 and ask for the Senior Housing Counselor.   

Who is eligible? These services are for owner occupied properties within the City of Philadelphia.

Is there a cost? The services are offered at affordable rates, and may be FREE for qualified individuals.

Can these services really save homes from foreclosure? Yes. The counseling agencies can stop the foreclosure sale, providing time to assist the owner to negotiate a debt resolution agreement with their lender. Many homeowners have been able to stay in their homes with this program. Some homeowners have determined that selling with a short payoff to their lender is their best solution, known as a Short Sale. In either case, foreclosure can be avoided.

Kathleen Sheridan is a Short Sale Specialist

Weichert, Realtors® - McCarthy Associates

6901 Germantown Ave, Philadelphia, PA 19119

Office: 215-843-1414 ext 230

Call Today for Assistance: 215-740-3320

Enjoy living in Mount Airy in a large Victorian era home that was renovated in 2006. The deep rear yard offers an ideal space for gardening, to create a playground for children, or exercising your pets. The location is very convenient for commuting to work while in waking or bicycling distance of shopping, restaurants, historic sites, and the Wissahickon park.

This recently renovated property offers updated amenities including the custom kitchen with granite counter tops and stainless steel appliances, and the large main bedroom suite.

Kathleen Sheridan (Weichert, Realtors(R) - McCarthy Associates)

NW Philadelphia Home Sales, Short Sales, Investment Properties

Philadelphia housing price statistics provided by the TREND Multiple Listing Service for housing sales are now available for the 2^nd quarter of 2009. According to the report the housing market in Philadelphia peaked in the 3^rd Quarter of 2007. Average prices citywide have declined by 12.3% since that quarter, with most of the decline ( 84.1%) coming within the past 12 months.

The statistics provide an interesting snapshot of what Northwest Philadelphia home sales looked like in the 2^nd Quarter of the Year where there were two types of buyers. Leading the way were 1^st time home buyers who could take advantage of the $8000 Federal Tax Credit. The 1^st time buyers were purchasing homes that were good buys, mostly in good to very good condition priced between $100,000 and $400,000, with most sale being in the $200,000 to $300,000 range. The other group of buyers were investors buying the lowest priced 'as is' properties that could be renovated for use as rental properties.

Sales of Northwest Philadelphia homes over $400,000 were rare. Overall there were 18 homes sold in the price range between $400,000 and $1,000,000. There were 2 sales of homes over $1,000,000.

 The table below shows the Market Watch Statistics by zip code.

Northwest Philadelphia 2^nd Quarter Home Sales Statistics*

Zip Code             Median Price              Avg Price                 Price Chg                 Ttl Sold               % Chg              DOM                S/A

*Data Provided by TREND Multiple Listing Service

Roxborough (19128) led the way in number of sales and only .077% decline in prices. This is a neighborhood where most houses fall into the $200,000 - $400,000 price range.

Chestnut Hill (19118) with the highest valued homes in the area saw a low number of sales and an apparent decline in prices due to most sales being in the strongest $200,000 - $400,000 price range.

Mt Airy (19119) had the widest range of sales from $40,500 to $1,795,000 while ½ of the sales fell into the $200,000 - $400,000 price range.

Cedarbrook/E Mt Airy (19150) saw the greatest decline in average price while sales increased, because this popular neighborhood for 1^st time buyers in the $100,000 to $200,000 price range was also popular with investors picking up distressed properties at low prices.

The other areas with low median prices (19138, 19141, and 19144) also saw strong sales of the lowest price houses.

One statistic that was consistent in all neighborhoods was the ratio of selling price to asking price. Overall, homes were selling at around 95% of the asking price when an offer was received.

In summary under market homes are selling well, but with many available prices are low. Mid priced homes are selling well when the are in good condition and prices are stable. Larger, higher priced homes may or may not be holding their value, few are on the market and fewer are selling. Buyers are looking for value and make below asking price offers.

Kathleen Sheridan

NW Philadelphia Home Sales, Investment Properties, Short Sales