Dec. 15, 2007 - Look who's blogging - our newly elected Mayor Harold Weinbrecht

How about that! Our new Mayor Harold Weinbrecht has started a blog.  I'm not surprised.  Harold is very well educated and has worked as a software developer for the largest software firm in the area - SAS Institute. 

The primary reason that Harold ousted Ernie McAllister is that citizens felt that the pace and quality of growth in the Triangle's third-largest city wasn't been managed effectively.  Harold campaigned on a more "controlled" growth policy and had a large group of constituents that promoted Harold via the internet.  See previous post I wrote regarding the controversial election that gained national attention.

At Harold's blog he actually encourages other elected officals to start their own "journals".  What a fantastically progressive way for a Mayor to reach out to the citizens that elected him.  Harold plans to post entries in his blog weekly - I know I will be keeping a close tab on the blog and will frequently update my readers on the Mayor and his progress. 

Here are a few highlights from Harold's first post regarding meetings that he has had since the election(Harold didn't take office until December 15th):   

Dec. 14, 2007 - Have a dog with special needs? Visit Town & Country in Apex, NC

On your left is a photo of my dog Maggie.  I call her my "Goofie Girl".  She has allergies and a fettish for shoes, pants, underwear, and "people food".   Regardless of the challenges posed by Maggie, she adores us and we adore her - at least most of the time. 

I thought I have a ton of energy but Maggie has even more.  That is why Maggie's vet told us about Town & Country in Apex.  Town & Country's website talks about the services they provide for dogs that have special needs.  That's my dog. 

Just as I want the best for my child I also want the best for my Maggie.   Town & Country offers a variety of services including boarding, grooming, training, and daycare.  Maggie has been to the Town & Country obedience classes several times but somehow she has succeeded in failing the beginner training class on more than one occassion. 

Besides the training Town & Country offers a drop off service for dogs that they call doggie daycare.  Doggie daycare seems to cure Maggie.  There's nothing like dropping your dog off to play with several other hyper labs for up to 8 hours.  When Maggie gets home from daycare all she wants to do is hang out!!  Watch a video of the daycare "playtime" service here.  During the spring and summer months the dogs have an opportunity to go to the beach, Paw Beach that is.  The link above is a link to of the doggies playing at the beach.

If you decide to board your dog at Town & Country book ahead especially during the holidays. Town & Country offers luxury pet services like sofa time, tv time, and playtime.  I'm not kidding!!

If you live in the Triangle this facility is the best in the area, in my opinion.  If you don't check around with a few of your friends.  You may be lucky and they will have a facility in your area. 

P.S.  I clicked on the video links and good 'ol Maggie had to get in a couple of barks to let me know she really likes Town & Country and that she hasn't been back in a while.  Time to take Maggie back to her hold stomping ground to catch up with her pals.   It's too late to drop Maggie off today.   Maybe I'll just settle for the dog park instead since my Maggie deserves the best. 

Dec. 11, 2007 - Change in Tax Valuation leaves Homeowners Stunned

This year is the dreaded year for real estate tax asessments. Unlike other areas of the country we are blessed with low taxes and our assessment is done only every 8 years. The last assessment in the Triangle was done in the year 2000. I received my assessment in the mail a couple of weeks ago and knew the value would change dramatically. It's great when home values rise but it's not quite as fun to get the tax bill associated with the increase in the value. I'm not the only one dismayed by the change in tax values -Our local paper today ran an article about how homeowners in the area are stunned at the new values.

What homeowners in the Triangle don't realize is that the assessments are pretty accurate based on the overall strength of our real estate market. First, our market has been relatively unscathed by the recent subprime crises. Further, I believe the assessed values are even a tad lower than the market value. Next, why are we complaining? Most areas are assessed annually. Last but not least our millage rates in the Triangle hover around 1% of the overall assessed value. A bargain compared to many states that have high property taxes.

Here's where the average homeowner ended up in the Triangle:

• Wake county property values: 43%
• Average Wake County residential property value: 38%
• Durham county property values: Up 30%
• Average Durham County residential property value: 24%

If you would like to appeal the assessment you can click on the link I provided or if you have any questions about the market relative to your assessment(I've gotten a lot of these calls) please feel to send me an email or visit my website at www.TriangleNCHomes4Sale.com and complete the contact page.

Dec. 11, 2007 - Raleigh NC High Schools - Raleigh has 2 of the US top 100 Public Schools in 2007

Newsweek recently realeased a report with the Top 100 Public High Schools in the US - 2 of the top 100 are located right here in the Triangle. Raleigh Charter School and Enloe High School are listed as two of the best high schools in the Country.

Here are some additional details about the two honored high schools in the area:

#20 Raleigh Charter School - Raleigh Charter High School is located in Historic Pilot Mill right behind Peace College in downtown Raleigh. Founded in 1998, it is a public high schools sponsored by the North Carolina State Board of Education.

Raleigh Charter's mission is to teach highly motivated students in a college preparatory atmosphere. Raleigh Charter is attended by about 500 students and the average class size is 20. The student to teacher ratio is 10:1. Raleigh Charter is located at 1111 Haynes Street, Raleigh, North Carolina. The Raleigh Charter mascot is the Phoenix. The school newspaper is titled The Flame.

#56 Enloe High School The William G. Enloe GT/IB Center for Humanities, Sciences, and Arts (Enloe High School) is a magnet school located in East Raleigh. The school is named for William Gillmore Enloe in 1962, the mayor of Raeligh at the time the school was opened. As far as public shools go it has over 2,500 students enrolled which is quite large for magnet school in this area.

Dec. 11, 2007 - Subprime as we used to know it is OVER!!

If you're home buyer and you have a FICO Score of less than 680 and a down payment of less than 30%, the cost of mortgage money has increased significantly.

Unlike the "subprime" loans of the past several years that have been processed by "subprime departments" of mortgage institutions or brokered to subprime specialists, these loans will be handled routinely. While borrowers with FICO scores of 620 to 680 may not be considered subprime, their scores are "rated" for additional pre-set premiume of from 2% to 3/4%. Further, this "rating" of loans by credit score will encourage many lenders to "push" marginal borrowers into subprime loan instruments as they have often done in the past.

Fannie Mae's most recent report states that the average FICO score for the bundled loans that they buy is 721. That alone indicates a system of "creaming" of loan packages. The new rating of loans based on credit scores alone, is likely to make mortgage financing much more difficult for borrowers with scores of less than 680.

If you think a home buyer with 20% down is a good risk, think again.
The changes in the fees Fannie and Freddie will be requiring of borrowers will, as of March 1, 2008, apply to home buyers with FICO scores of below 680 rather than the former score of 620 or below. Further, and very important, these new fees will apply to home buyers who are putting down less than 30%. That's right, not the traditional 20% required for Private Mortgage Insurance, but 30%.

FOR A $300,000 PURCHASE WITH 10% DOWN:
FICO 620 or below, the premium will be 2% of the amount borrowed and the home buyer will have an additional fee of $5,400.

FICO 620 to 639, the premium will be 1.75% of the amount borrowed. The home buyer will have an additional fee of $4,725.

FICO 640 to 659, the premium will be 1.25% of the amount borrowed. The home buyer will have an additional fee of $3,375.

FICO 660 to 679, the premium will be 0.75% of the amount borrowed. The home buyer will have an additional fee of $2,025.

Of course, borrowers can elect to roll these fees into the mortgage interest rate, thereby raising the interest rate by up to 1/2% or more. Add the higher cost of PMI and it's likely that rates will increase by 1% or more.

HIGHER MORTGAGE INSURANCE PREMIUMS
Sure to follow will be an increase in Private Mortgage Insurance premiums. Some in the industry predict an effective doubling of the PMI costs for conventional conforming loans, those purchased by Fannie and Freddie. On a $300,000 home purchase with a 10% down payment, the Private Mortgage Insurance cost will be about $4,590. Further, many private insurance providers will no longer insure loans with less than 5% down. If your home buyer has a FICO score of 659, their increased cash needs for settlement will increase by about $7,700 or an increase in interest rate to finance the increase cost.

THE AMERICAN DREAM JUST BECAME MORE COSTLY.

RATE SHOPPING AS WE KNOW IT IS OVER.
One thing is for sure. Buyers will find it more and more difficult to shop for lenders with the lowest rate because rates will become much more FICO Score sensitive than before. It will be difficult for any lender to quote a rate without looking at the prospective borrower's credit score. How will this affect the mortgage companies that advertise rates on the Internet??

Dec. 10, 2007 - Upate on the Raleigh Infill Issue

Dec. 4, 2007 - Sunday Brunch in the Triangle - A family tradition

Dec. 4, 2007 - First impressions mean everything to buyers, especially during the holidays

You've bitten the bullet -there's no way around it-you're selling your home during the holidays. This time of year is unlike any other time of the year when I'm showing homes. Although my activity has slowed down from the summer season, the buyers that I've shown during the holidays are much more serious.

I noticed a recurring theme with the houses my clients liked this week - they were all warm, cozy, inviting, smelled nice, and, yes, they were decorated for the holidays. Based on my observation I'd like to give you a few pointers that are selling during the holidays:

1. Create an attractive environment that will allow buyers to view your home during this most hospitable of seasons.
2. Spruce up your home by cleaning and decorating to give your home that "picture postcard" look.
3. Make sure that your decorations are elegant and inviting and not intimidating or "over the top".

These are the types of things you need to check off for the holidays in your home:

• A fresh coating of paint and a spotlight on the exterior door works wonders to create a cheery mood upon entering.
• Keep in clean - clean daily, especially in high traffic areas.
• Make your home beautiful and inviting by setting the stage with the correct lighting - High-watt bulbs show off a home better than low-watt bulbs.
• Leave the radio on a station that plays Christmas music during the holidays. In my area 93.9 and mix 101.5 are two.
• Make sure your home "smells" like Christmas - Insert plug-ins with a mild Christmas/apple/cinnamon scent.
• Make sure that Christmas decorations don't interfere with the floor plan or spacing in the home.
  • For example, I showed a home last year where they tried to stuff their wall mounted fish next to the Christmas tree in a small dining room.
• Keep Christmas decorations simple and elegant.
• Keep the personal photos to a minimum so that buyers can see themselves living cozily in the home.

I know this isn't the silver bullet to selling a home. If I had one I certainly know I'd use it. However, keeping these simple tips in mind will be one more reason to keep your home in contention and to land a buyer.