For those of you considering listing your house soon, or in the future when you do list your house. Here are some things to consider pertaining to the price of your property.
OVERPRICED PROPERTIES fail to compete with others on the market. Buyers look at many properties and eliminate by comparison. Your home may help sell others.
OVERPRICED PROPERIES fail to meet the Buyer’s expectations. People expect certain things for a certain price and become disinterested when a property does not meet their criteria.
OVERPRICED PROPERTIES remain unsold for a long time causing Buyers to be wary. Many times they won’t even of consider making a lower offer.
OVERPRICED PROPERTIES can turn a Buyer from one area to another. Someone qualified to buy in your location may disqualify themselves if confronted with even one or two overpriced homes.
OVERPRICED PROPERTIES can ultimately cause a monetary loss. Consider your carrying costs for the next six months. The market may come up to your price in that time, but you've already invested more, plus you may be running the risk that your property is considered to have a problem or that you are an uncooperative seller.
OVERPRICED PROPERTIES reduce advertising response. A Realtor who repeatedly advertises properties that are overpriced, soon becomes known as a poor merchandiser.
OVERPRICED PROPERTIES will not be shown by realtors. Buyers expect realtors to take them to properties that have been priced appropriately within their price range.
OVERPRICED PROPERTIES make it difficult for a Realtor to build a sound business. Ethical Realtors don’t take listings that are overpriced just for the sake of getting a listing. Ethical Realtors sometimes have to tell sellers what they don’t want to hear. Since, Realtors get paid on exactly what you and the buyer agree upon for a selling price, they have no motivation to recommend listing prices for less than what they believe the market will bear. If a Realtor is willing to list your home overpriced, ask yourself why he might do that. The Realtor most likely has an alterior motive which doesn't revolve around the expectation to sell your home at that price.
Wednesday, September 23, 2009
Monday, September 21, 2009
Current Mortage Rates
For those first time home-buyers and others curious. Thought you might like to be updated on a sampling of current interest rates.
30 YR fixed up to $417K - 5% 0 points , 4.75% with one point
30 YR fixed from $417K to $708K - 5.25% 0 points, 5% with one point
5/1 ARM up to $708K - 4.25% 0 points, 3.875% with one point
As you can see these are near all-time lows. When has there been a time in history that has combined low interest rates and lower home values? Enjoy.
30 YR fixed up to $417K - 5% 0 points , 4.75% with one point
30 YR fixed from $417K to $708K - 5.25% 0 points, 5% with one point
5/1 ARM up to $708K - 4.25% 0 points, 3.875% with one point
As you can see these are near all-time lows. When has there been a time in history that has combined low interest rates and lower home values? Enjoy.
Wednesday, September 16, 2009
First Time Home Buyer Tax Credit
I wanted to provide some factual information pertaining to the 2009 First Time Home Buyer Tax Credit as it currently stands.
Who Qualifies?
First-time home buyers who purchase homes between January 1, 2009 and December 1, 2009.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.
Which Properties Are Eligible?
The 2009 First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:
The price of the home—the credit is equal to 10% of the purchase price of the home, up to $8,000. (In this area that pretty much means you'll be getting the $8,000 tax credit)
The buyer's income—single buyers with incomes up to $75,000 and married couples with incomes up to $150,000—may receive the maximum tax credit.
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.
Who Qualifies?
First-time home buyers who purchase homes between January 1, 2009 and December 1, 2009.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.
Which Properties Are Eligible?
The 2009 First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:
The price of the home—the credit is equal to 10% of the purchase price of the home, up to $8,000. (In this area that pretty much means you'll be getting the $8,000 tax credit)
The buyer's income—single buyers with incomes up to $75,000 and married couples with incomes up to $150,000—may receive the maximum tax credit.
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.
First Post
I wanted to provide my clients another median to interact with me, and others. I plan on posting at minimum once every Monday. Most of my posts will be Real Estate based, and as specific to the Norwalk market as possible. From time to time, I may use this as a forum to share my random thoughts on what's going on around Norwalk, Real Estate related or not.
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