Jan. 30, 2009 - Survey shows a jump in first-time buyers

Annual profile of NJ home buyers and sellers

It's that time again when the New Jersey Association of REALTORS^® releases findings from the previous year's profiles of buyers and sellers.  The data is gathered from a survey of recent home buyers and sellers conducted on NJAR^®'s behalf.

• The number of first-time buyers rose from 36% in 2007 to 49% in 2008.
• The majority of home buyers believed the purchase to be a better investment than stocks.
• Of recent buyers, 32% reported that their first step in the home-buying process was looking online for properties for sale.  The median age of home buyers was 36 years.
• 50% of home buyers used social media sites such as Facebook, MySpace and Linked.In 
• In 2008, 84% of home buyers used a real estate agent or broker to purchase their home, as compared to 76 percent in 2007.
• Sellers typically sold their homes for 96% of the listing price, while 33% of people did not reduce their asking price before their home was sold. 
• The typical home was on the market for 12 weeks.
• The median age of home sellers was 48 years.
• 42% of sellers traded up to a larger home when purchasing their next home.
• 88% of sellers used the services of a real estate professional to sell their home.
• Of all For sale by Owner sellers, 40% reported difficulties in selling their home.

To read the entire executive summary of the 2008 report click here

Jan. 29, 2009 - Straight talk about today's market

Five things you need to know

Those who follow me on twitter.com might already know that my previously planned posting for today somehow became lost in cyberspace.  Nevertheless, while reading some of my favorite real estate blog sites, I came across Jovan Hackley, of VARbuzz.com who asks the the very interesting question: What five things would you tell buyers/sellers about today's market? 

Jovan said to give it straight. So, minutes ago - straight as an arrow, I posted my response to the question, below. 
 

Real estate is local. The follwowing is for Franklin Township, NJ:

1. Sellers: According Garden State MLS, 602 local residential transactions took place in 2008.

2. Sellers: For 2008, the average days on market (DOM) was 84 at 96% of asking price for those that sold.

3. Sellers: If you are not doing all the right things to sell your home then you are helping to sell your competition s’. Homes are selling in Franklin Township.

4. Buyers: If your credit scores are at least 720, you have an adequate downpayment and can document all that is required; it can be a great time to buy.

5. Buyers: Your house is not a bank. Work the numbers. The longer you plan to live in your home with a fixed rate mortgage, the benefits of home ownership will be greater. Congress is proposing a true $7,500 tax credit for first time buyers.

Jan. 22, 2009 - Low down payment still possible

FHA backed mortgages available to qualified buyers

The Federal Housing Authority still offers low down payment mortgages available to qualified buyers. Effective January 1st FHA downpayments increased from 3 to 3.5%. Further, FHA loans still offer many more advantages to consumers than the initial low down payment. Specifically, individuals with lower than excellent credit have found that these loans remain quite attractive.  Those with credit scores 500 or below are required to make a 10% downpayment. And guidelines require that buyers spend no more than 31% of their gross income on mortgage payments.

In a secial report yesterday, CNN/Money published an article, The lowdown on getting a low down payment loan.  For how to get a FHA insured mortgage click: Here

Jan. 20, 2009 - One amazing day

The dawn of a new era has begun

Today, January 20, 2009 has been one amazing day.  The world has witnessed the potential only available in America; that a young boy of inconsequential means could grow to become the most powerful individual on the planet, President of the United States of America.

In President Obama's Inaugural Address he spoke to the problems of American jobs and homes lost and went on to say,  "Let it be said by our children's children that when we were tested we refused to let this journey end, that we did not turn back nor did we falter..."  President Obam's campaign centered on determination and hope for our future.

I know many of us are being tested. But President Obama challenged us as a people and a nation to become more responsible. We will eventually get through this housing and credit crisis. And in the end we will be stronger for it.  Re-learning to use credit wisely, ending the greed of corporate America and expanding middle-class jobs at home is the answer. That is part of the hope, determination and promise the Inauguration of Barak Obama has brought to the world.

What a day this has been.  Change has come.

Jan. 19, 2009 - Mortgage modifaction - what a mess!

Roadblocks and hurdles

In slightly more than 24 hours, we will enter into a new American era. President-elect Obama and the 111th Congress will begin the hard work in resolving the housing crisis.  Regardless of the plan, there will be roadblocks along the way.  MSNBC has provided an excellent report on why it is (and will continue to be) so hard to modify a mortgage.

At the heart of the problem is the fact that, "Most mortgages written during the peak of the lending bubble were bundled into pools of loans whose monthly payments are paid to the holders of a series of mortgage-backed bonds. The original lender no longer has an interest in the mortgage. " - from MSNBC

So, even if the servicing mortgage company agrees to modify the interest rate, it is much more difficult to get the outstanding loan amount also modified.  Don't attempt to accomplish this alone.  Many forclosures begin with the homeowner modifiying their mortgage.  You may be better served to seek legal council at the outset.  To learn more about the process and for the complete story visit MSNBC

Jan. 16, 2009 - Century21 leads the way online

Century 21 pulls money out of TV

Last week Tom Kunz, president and CEO of Century 21, in an interview with Welcomemat's Frogpond TV announced advertising dollars previously spent on television advertising will be shifted to strengthen its interactive online media presence in 2009.   "It is where consumers are really at." Kunz told Susie Hale during the interview.

As a Century 21 agent, I am especially excited about this announcement.  It is in-line with my professional agenda for 2009 to incorporate more innovative technologies; making your home buying and/or selling process less stressful for you.  So I invite you to continue to reading my post here and follow my "tweeps" at http://twitter.com/somerset08873

Jan. 9, 2009 - December 2008 Residential Sales

Franklin Township Residential Sales

click to view

According to the Garden State MLS, the month of December, 2008 ended with 46 Franklin Township single family residences sold.  Sale prices ranged between $125,000 and $815,000.

The month ended with 410 active listings on the market.

That's what is happening in the marketplace now, January 9, 2009

If you have a question about a specific property in town, or stats for surrounding areas, please don't hesitate to contact me.

Source: Garden State MLS, L.L.C. **Info. deemed RELIABLE but not GUARANTEED - ALL Room Sizes are Approx.**

Jan. 9, 2009 - Cariage Homes at Qualbrook Sales Report

What’s happening in the marketplace, now – January 8, 2009

According to the Garden State MLS, currently there are five(5) homes actively listed for sale in this Franklin Township development, at the time of posting.  Two are 2-story townhomes with 3 bedrooms-2.5 baths.  Three are a 2 bedroom-2bath ranch.

There are no new listings since the last report to you on December 8th. All listed prices range between $229,000 and $307,500. 

There was one Carriage Homes at Quailbrook sale since the last report; 290 Hazlitt Way, $290,000, 3bedrooms/2.5 baths.  One 2 story 3bedroom/2.5 bath home is currently under contract.

That's what is happening in the marketplace now, January 8, 2009

If you have specific questions about a Carriage Home proprerty or any local property, email me at: mjadams@century21.com or call (908) 583-0409. 

Jan. 6, 2009 - It's a new year, so now what?

Refining focus

As I write my first post of 2009, I am refocusing and refining my energies to what will be most effective in my business and for my clients and customers.  I plan to deliver more value to you by providing timely information that you can use. I will incorporate more innovative techonolgies; making your home buying or selling process less stressful for you.  

Looking back at 2008's local real estate market, here in Somerset, I must say the situation was tough for sellers and buyers.  Sellers who failed to adjust to current market conditions and demands had their homes languish.  Buyers with credit less than stellar had difficulty obtaining financing.

As tough as one might think it was for Franklin Township real estate it was not as bad as other locations around the country.  I will provide the usual stats in a separate posting. However, on average fifty to sixty local real estate transactions per month were conducted last year. So, if you were a seller without a buyer and your home is still on the market, it is time to refine your focus to what your competion did right.. Then refine your plan to emulate success.

For first time buyers, 2009 may present one of the greatest oppurtunities to obtain the American Dream.  Inventory remains high, prices have come down and mortgage rates are the lowest that they have been within the past five years.  Buyers who have eliminated bad debt, maintained good credit, are gainfully employed, have sufficient downpayment and can provide documentation to lenders may very well benefit the most this year.  

This year remains to be an excellent time to upgrade to larger home, particularly if you plan to reamin in the area.  What you will save on the larger purchase price will more than offset any loss that you might have on your current home.