A Warm Holiday Greeting and Happy New Year From Carbutti & Company Realtors
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It’s hardly believable that we are at the cusp of yet another year – and it’s almost 2013! With a fantastic year behind us, we look ahead toward a great future in the coming months. I can’t tell you how much of a pleasure it has been serving our community members with the expert advice, one-on-one care and guidance with real estate endeavors in our communities.
Here’s a warm, resounding “Thank you!” to all our current and past clients. We believe you are more than just clients; you’re our friends and neighbors. We cherish that special relationship we have with each and every one of you.
Whether you have engaged in the purchase of a new home, sold a property or just needed advice and counsel on your real estate transactions – we have enjoyed being a part of the journey with you. In fact, we take so much pride in everything we do, that we take it into our communities and actively involve ourselves through charitable activities and donations. It’s just one of the ways we express our gratitude to you.
With Carbutti & Company Realtors, you will never find the mass-market approach to doing things. Instead, we manage each client, each transaction and each task with the utmost attention, skill and concentration necessary to get the job done and get it done optimally. As an independently owned real estate company, we strive to continue providing the most premium of quality service in the industry today.
Our premium quality comes from our expert team, support staff, administration group and extensive network of vendors and partners in the community. Here’s a shout out to them too!
Once again, thank you for trusting us with one of the most important aspects of your life and we wish you a warm, wonderful holiday season – with many happy times to come in the New Year and beyond!
Is Now the Time to Buy a Home or Should I Rent In Today’s Marketplace?
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It’s
an age-old question and even in today’s largely buyer-centric marketplace the
question still arises in many people’s minds “should I buy a home or should I
rent?”
Truth be told, today’s interest rates are unprecedented. Mentioned time and again by such investment gurus as Warren Buffett and Donald Trump, not to mention countless industry analysts and experts, these historic lows give buyers so much more to work with.
With rates hovering in the low 3s and even lower for shorter term mortgages, buyers can afford so much more house these days with the same amount of payment. In terms of whether or not renting is a better choice there are several factors to consider.
Reasons to Buy a Home Instead of Rent
Truth be told, today’s interest rates are unprecedented. Mentioned time and again by such investment gurus as Warren Buffett and Donald Trump, not to mention countless industry analysts and experts, these historic lows give buyers so much more to work with.
With rates hovering in the low 3s and even lower for shorter term mortgages, buyers can afford so much more house these days with the same amount of payment. In terms of whether or not renting is a better choice there are several factors to consider.
Reasons to Buy a Home Instead of Rent
We’ve
already covered interest rates but it’s more than just what your monthly
payment is or how much house you can afford with the lower monthly payments.
With the cost of borrowing so low, many times buyers can obtain an assumable
loan making their home a very viable property for future sale.
Add to the very low cost of borrowing the fact that prices are lower than they have been in a long time, and it’s a win-win situation because in most cases the monthly expense is less than if you were to be renting.
The fact that equity building is rarely possible with rent situations, what better than to own your own home and build value? In fact, with today’s low prices and rates combined when we see appreciation, it will be noticeably significant.
One more factor that many renters love from the moment they take the plunge and decide to own their home – is the sense of autonomy. The home is yours and you can do with it whatever you want. You can have pets or not. You can hang window coverings that suit you without restrictions. There are fewer rules and regulations to worry about than in a leased home.
Why Renting Might Make More Sense
Add to the very low cost of borrowing the fact that prices are lower than they have been in a long time, and it’s a win-win situation because in most cases the monthly expense is less than if you were to be renting.
The fact that equity building is rarely possible with rent situations, what better than to own your own home and build value? In fact, with today’s low prices and rates combined when we see appreciation, it will be noticeably significant.
One more factor that many renters love from the moment they take the plunge and decide to own their home – is the sense of autonomy. The home is yours and you can do with it whatever you want. You can have pets or not. You can hang window coverings that suit you without restrictions. There are fewer rules and regulations to worry about than in a leased home.
Why Renting Might Make More Sense
There
are some reasons that renting is a better choice for some people. In light of
our housing market challenges from just a few years ago many people are still
working on rebuilding their credit and financial outlook. There may be
uncertainty with job location and the looming potential of a transfer could
contribute to house-buying apprehension. In the same way, you may not know
exactly what your housing needs are; is there a family on the way and will
there be enough space? What type of housing will work best for you and your
family? Homeowners that prefer to avoid maintenance concerns and like the idea
of someone else handling all of that may lean toward a leased home, though
condos can take care of that issue. A lot of times people are afraid of the
commitment itself that goes with buying a house. For them, perhaps waiting
until they feel the time is right may be in order.
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With
the housing market as it stands right now, the cost to rent is definitely
higher than to buy a home these days. Many people shy away from the prospect of
buying when the think of the down payment but the truth is that the majority of
loan products nowadays require a minimal down payment, often very close to the
amount you’d expect to pay when renting. The expense that goes into the first
and last month’s rent plus security deposit, for an average single-family home
that rents for about $1600 a month can easily be channeled into a purchase if
all the other factors line up.
If you would like to explore your options, we invite you to contact us today. Our expert team will sit down with you and carefully consider all available alternatives so you can make an informed decision. We look forward to serving you!
If you would like to explore your options, we invite you to contact us today. Our expert team will sit down with you and carefully consider all available alternatives so you can make an informed decision. We look forward to serving you!
Welcome to the Town Tours for Durham and Middlefield, Connecticut
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The most well loved characteristics of the perfect towns in New England tend to surround the sense of community and the people that make up the life of those towns. Middlefield and Durham are no exception. Today, we share with you some of the most beautiful rolling hills in a picturesque setting that will take your breath away.
Middlefield Home of
a Generations’ Long Family Tradition
When
you arrive in Middlefield, you will immediately be taken aback by just how
serene the area is and the people’s genuine warmth. In fact, one of the most
cherished aspects of this great town is Lyman Orchards – a place where family,
friends and neighbors convene to do any number of activities together. You can
enjoy fruit picking with the family, sample delicious bakery treats, enjoy a
nice lunch at the farm’s deli and more.
Another
great destination for residents and area visitors is Lake Beseck. The classic
waterfront brings the perfect blend of relaxing backdrop to enjoy in great
weather and allows you to use the lake for fishing or boating as well. Peckham Park is another
fantastic place to spend time with your loved ones – with a host of things to
do including outdoor skating in its unique skating area, picnicking in the
pavilion or playing sports in the many fields. Younger children also enjoy
their time at Peckham Park with a fantastic playing space designed to keep your
youngsters very happy!
Historic Durham
Brings Character and Charm to Your Life
Imagine
walking into an area that stood strong centuries ago, rich with history of our
ancestors and the solid past of our forefathers. Durham is exactly that place
and as you find yourself going through town, you will immediately fall in love
with the beauty and charm of this lovely New England town. Ripe with farm
lands, both dairy and others, the small town environment is exactly what you
need to keep your family close knit with others in the community while living
on large, gorgeous stretches of land at the same time.
There
are so many great things to do in Durham, including the area-renowned Durham
Fair where the entire town is off to enjoy the festivities and activities lined
up for everyone. And there is no shortage of warm, inviting neighbors to welcome
you into the community and make you feel right at home.
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In
terms of homes, there is an eclectic mix of classic architecture built as many
as three hundred years ago as well as a host of newer homes that had been constructed
in the 80s, 90s and more recently. This is a great place where you will get a
lot of value in whichever property you might choose to make your home. Homes
with lots of land attached are available while at the same time you can find
the perfect blend of small cottage charm with neighbors nearby.
There
is much more to see and enjoy in both these fantastic towns and we welcome the
opportunity to share more with you! Contact us today for a customized look at
the areas you’d like to see!
FHA Renovation Loans Offer a Great Way to Purchase Heavily Discounted HUD Homes
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One of the unfortunate outcomes of the economic downturn our nation faced during the time immediately following 2007 has been the number of homes with the mortgage going into default. Sadly, try as much as we did collectively as a nation to avoid this, for many homeowners this was an inevitable and very painful fact of life.
But as they say, “every cloud has a silver lining” and the opportunity that lies in these same homes is for first-time buyers to be able to afford much more house in much less money. Take HUD Homes. When a federally insured home is defaulted on and repossessed by the government upon default, it will usually end up on a long list of available HUD homes.
As demonstrated in the video, all a prospective homebuyer needs to do is to visit www.HUDHomestore.com and start shopping. With weekly updates the inventory of these homes is fairly vast, providing a fair amount of selection in the same areas and same neighborhoods that you would find traditional MLS listings. As you browse through the properties you will find that each has a set of parameters, including the types of acceptable financing allowed on each property.
Keep in mind that there are many HUD homes that are insurable. In the example I pulled up to demonstrate the property was not insurable, therefore the only forms of financing available were either cash, conventional mortgage or a FHA 203k loan. Also called the “rehabilitation loan” the idea behind this type of financing is that the home being purchased will need some sort of rehabilitation or renovation. The government then insures one amount to cover the purchase price plus another additional amount that accommodates renovations/repairs that need to be done.
The beauty of this type of financing is that like any other FHA product you will only have to put down 3.5% on the loan and that includes the amount borrowed for rehabilitation too. There is one more aspect to HUD homes that many people don’t realize; these are usually open for owner occupants first before they open up to the remaining market. This gives you a much better chance at getting the property you want without having to compete with an investor that is out looking to get a great deal.
There is one small caveat to this unique type of home inventory – you must visit the property via an authorized HUD broker. Of course, Carbutti & Co. Realtors is a HUD broker and we have full access to HUD homes so all you have to do is give us a call or send us a quick email and we’ll get you right in to see the homes of your choosing. Also, in our extensive experience dealing with HUD homes, we are more than happy to answer any questions you may have about the home buying process with these properties. We look forward to hearing from you today!
Harness the Power of the Fall Season – List Your Home Now To Sell it Lightning Fast
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Many sellers are unsure whether or not to wait until next spring before listing their home. The confusion comes with a combination of age-old schools of thought that predict the spring season as being almost the only season for homes to sell successfully. Not true.
A lot of homeowners are under the impression that homes are not selling at all, whereas in our own experience, time and again we continue to see completely the opposite results. So much so, that we are defying the myths of never ending days on market statistics with many properties going under contract in approximately two weeks. Here’s why.
There are so many buyers in the marketplace right now that are eager to lock in the phenomenal interest rates and market conditions that continue to allow a very significant amount of buying power. The interesting thing is that while it is a strong buyers’ market in that sense, sellers are still enjoying an edge with the lower inventory that comes with it being this time of year.
Regardless of which side of the fence you are on, either way you look at it the market is strong. People are out there buying. If there are fewer homes available on the market, then that only means that there is less selling competition. This of course translates to top dollar and incredibly quick, hassle-free transactions in which everyone comes out a smiling winner.
So to answer one of the most frequently asked questions I am getting these days, it IS a great time to sell your home. Sure, you could wait till spring. But keep in mind that so will countless other sellers and by the time springtime blooms are back out, so will equally as many more “for sale” signs, competing with you.
By listing your home now, you can harness the power of the buyers that are striving to find that perfect property before the holidays kick in.
Contact us today if you’d like a custom, home valuation report detailing exactly what we expect your home will sell for in today’s marketplace. Our team looks forward to hearing from you and helping your real estate goals come to fruition.
Who Said Buying a Home in the Spring Is Better Than Buying in the Fall/Winter?
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Other than the age-old trend of people buying homes more so in the spring season as opposed to the fall and winter, there really is no reason that one might choose one season over the other. Sure, there may be more homes on the market – but equally there are as many more buyers circuiting the market too.
The question prospective buyers ought to be asking themselves is whether or not they would prefer buying a home that is right for them regardless of the time of year or does it just suit them more to buy when it’s warmer outside?
Spring Is In the Air – And So Is Much More Competition
Many buyers like to be out shopping for a new home at a time that they feel there are a lot more homes on the market. But one very important thing to consider is that there are equally as many other buyers out there also looking. And with a greater number of buyers at any given time, there’s a good chance you will come across more buyers looking for the same type of property that you are seeking.
So when the perfect home shows up on the market, in great condition and priced just right – you guessed it – more than one buyer will likely show up to make an offer on it. What does that do to your chances of securing the home of your dreams? Having multiple buyers vying for the same property dilutes your chances a good amount. Not only will you find a greater likelihood of competing against another buyers’ bid but you will also face the risk of multiple offers and ultimately a bidding war. Despite the low, low interest rates, the last thing any buyer wants is to deal with artificially inflated prices.
Real Estate Market in Fall and Winter Slows Down But Doesn’t Stop
Contrary to what many people believe, the real estate market does not stop during the cooler months of the year – rather it just slows down a little. But this can work in buyers’ favor when you consider that there is fewer buying competition to contend with. Yes there are fewer homes on the market since the same people that believe springtime is a better time for real estate also remove their homes from the market. However, with fewer sellers there are also fewer buyers which means that when you do find the perfect home there is a much better chance at successfully closing the deal – and without all the hoopla that goes along with multiple offers or bidding wars.
Consider also that by the time the holidays begin to roll around, many sellers have had their property on the market for one, two or even more months and they are eager to sell. This translates to their willingness to negotiate more than ever before.
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With today’s record setting low interest rates and with them the very low cost of borrowing money combined with increased buying power, it only makes sense to jump off the fence and embark on your home buying journey. We invite you to contact us today so we can begin helping you find your perfect home.
Don’t Let the Internet Take Away Your True Homebuyer Experience!
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Before I got into the wonderful business of real estate, my dad was a full-fledged member of the profession. And I have to say that I learned a LOT from him. But as technology began to get more and more prevalent in our line of work, things started shifting and there was a notable change in the way I (as well as many of my associates, colleagues and others in the same industry) was doing things.
Today, though – I want to talk about stepping back from all this technology – for just a second. Don’t get me wrong; I know only all too well how important using today’s modern tools is to being effective in any setting. But when it comes to buying a home, there is something to be said about sitting face-to-face with someone that has nothing but the best of intentions (and responsibility) for you.
That’s why at Carbutti & Co. Realtors we focus heavily on making sure that we serve our buyers with everything they need as they embark on the wonderful journey of buying their new home. We work hard to make sure you are educated on all the important steps you need to know about the buying process.
While doing myriad online searches, reading through countless Internet blogs and soaking up tons of information published widely on the web, many buyers do not realize the need for an exclusive relationship with one Realtor/Broker. To help illustrate how important this piece is in the overall endeavor of searching, choosing and buying your new home, I often mention this analogy; Imagine standing in a courtroom and facing a judge. The other side has their attorney representing them but you are standing there all alone and have no one representing your best interests. Transactions in real estate need just as much representation.
Buying real estate can be a complicated process with complex situations, detailed forms and certain nuances that only a professional would know to consider. Without a professional licensed Realtor at your side making sure you make decisions that get you the best outcome, you stand to risk a lot. That’s why we encourage our clients, friends, business contacts and neighbors to enter an agency/broker agreement with us so that we can focus all our energy on the needs at hand – and do so with the utmost conviction and purpose. Not that we don’t do so anyway, but with an exclusive contract with you it becomes our legal duty to provide full representation of your needs, as per your best interests.
One of the things we do to assist our buyers’ understanding of the process is to provide them with a copy of our extensive Homebuyers’ Guide. This comprehensive and very well thought-out resource will help to prepare you for all that goes in to searching, finding and buying your dream home.
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So in your quest to finding the perfect home, please don’t forget you also need to find the perfect agent – and we can honestly say that we believe, hands down, that our competent, knowledgeable and focused agents are the ones to represent you – as you need.
If you’d like to explore your options, get some help getting preapproved for a mortgage, or even if you just want to test the waters and see what’s out there – we invite you to contact us today at 203.980.6886 or via my email directly at jonathan@carbutti.com. I look forward to hearing from you!
Guilford Connecticut Town Tour; The Perfect Blend of Coastal Living With Historic Charm
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As visitors first begin to discover, the Town of Guilford has many gorgeous aspects to it that make it such a highly desired place to live. Nestled among the exquisite shores of this quaint New England beach community are the marks of history, community and camaraderie. Just fifteen or twenty minutes from New Haven, this small town offers its residents a little bit of everything. Homes that represent some of our region’s earliest settlers, including the oldest house in Connecticut (built in 1639) as well as newly constructed homes to suit those with varied tastes – all are found in this great town.
Visitors and residents alike enjoy a host of activities that take place year round, solidifying this community’s already strong sense of community. And there is no shortage of commercial activity either. With the perfect blend of shops, historic storefronts, coffee places and restaurants, the town center is the perfect place to spend time whenever possible. Gorgeous beaches, spectacular green and wide-open spaces make Guilford a great place for recreation.
What many people enjoy about Guilford is also how accessible New Haven is through the Metro-North train line. After just an hour and ten minute train ride, people are transported to an entirely different place. Another key aspect of living in Guilford that is enjoyed by residents is the strong school system. Connecticut’s schools are consistently ranked high and Guilford is no exception. The schools feature unique music and sports programs as well as academics that rival only the top schools in the state. Time and again, Guilford students receive recognition statewide and on a national level.
To discover Guilford, we invite you to take a tour with us so we can share the experience with you in person. Contact us today to schedule your tour; we look forward to meeting with you!
Three Very Costly Mistakes That Sellers Make When Choosing a Listing Agent
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We’ve all heard the expression “time is money” right? So why, then, is time not something that most sellers think about when hiring an agent to list their property? Just imagine, hiring the wrong agent can end up in months of frustration with lack of communication, lack of preparedness and worse, a lackluster attitude toward what is probably the most important financial transaction of your life.
To help make sure you don’t make the same mistakes that countless other sellers have made, here are three important things to consider before you sign the dotted line of a listing agreement.
Shop Carefully and Consider Your Options
All too often we see that most sellers will hire the first agent they meet and speak with about their home. That is not a problem except that many agents will unscrupulously have you sign a 6-month or worse yet, 12-month exclusive right to sell agreement with them. What does that mean? It means that regardless of who ends up selling your property (yes, even if you found your own buyer) they would benefit from the sale. But it goes beyond just the commission. If after a few negative experiences with this person you wanted to get out of the contract – you simply couldn’t.
To sign an agreement with a broker that lasts a year or even six months is a huge mistake. These sellers end up unhappy with their agents – stuck because despite being told verbally that they would be able to get out of that contract within 30-days, they couldn’t. The reason for this is that it was more than likely not in writing – effectively trapping these people into staying with that broker despite what their wishes may be.
At Carbutti & Co. Realtors, our goal is not to trap clients into being forced to deal with us. We want you to recognize our strengths and want to work with us. Our 90-day listing agreement policy reflects that and corroborates the confidence we have in our team to deliver results that work to serve your best interests. We feel that 90 days provides a good benchmark of time to help determine whether the home is priced right, advise has been appropriately administered and whether the property has received ample exposure in the market.
Choose an Agent or Broker That is Current
What do we mean by “current”? It’s simple. Just like technology continues to evolve in all other areas of life, we have to assume that the person representing them is also current with technology. A very surprising large number of agents neglect to realize the importance of delivering on real-time needs of buyers using up-to-date tools. Rather than make the mistake of hiring an agent that is relying strictly on Open Houses (studies show less than 2% of sales are generating from Open Houses), contact someone that is using relevant technology.
Video is the single most innovative and also underutilized technology in real estate. Your agent should be using video tours as a matter of routine and unless they do so, you are working with a broker that has not yet kept up with the times. Buyers are out there using their smartphones to do home searches, utilizing their GPS systems to search neighborhood properties and expecting real time responses to information requests. That’s why it is critical to know that unless your broker is up to speed in today’s technology, they can’t keep up with the needs of today’s buyers. As a test, look up any agent in Google. Do they pop up as the first or second item on the search results page? If not, they are not positioned to be at the forefront of today’s technologically advanced real estate industry.
Look for Recognition Among Community and Peers
There is something to be said about agents and brokers that are revered not only by members of the community but also by their peers. In the many dealings that are necessary for a smooth transaction, it is critical that agents on both sides of the transaction are able to communicate effectively. When you have an agent that is difficult to get along with, does not mesh well within the community or their colleagues, you stand to face risks that directly impact the sale of your property.
Hire a broker with a name that is respected in the marketplace by both consumers and other real estate agents. When interviewing your prospective agents, be sure to ask about their dealings with others in the industry. At Carbutti & Co. Realtors, we enjoy strong relationships with the real estate community and others. Among other factors, this helps us to successfully achieve the goals of our clients.
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These are just a few of the things you can do to make sure you are in good hands when it comes to selling your home. But beyond that, it’s important to be able to look your agent in the eye and feel that you are valued – cherished and most of all heard. To give us an opportunity to listen to your needs, please contact us today. We look forward to the chance to share with you why we are the right brokerage to hire for your real estate needs!
Wallingford, CT Real Estate Market Update
As we take a look at how our single-family homes on the market have been performing lately, the news is good. The big news is that our home sales have not only outperformed our expectations, they have surpassed them by far. In fact, when looking at the relationship of inventory as to sales, we are seeing home sales that have exceeded our new inventory coming on the market over the past couple weeks.
The median selling price is currently $279,000 with an average price per square foot of $172. Our days on market are not as telling as the rest of numbers, with the average DOM currently registered at 212 for the Wallingford area.
Fairly High Percentage of Properties With Price Reductions
One statistic that many consumers do not tend to hear about is the percentage of properties with price reductions. At the moment we have 38% homes that experience some form of price lowering from the time they were listed to now. The reason this is relevant and useful to you is that this number points to the number of properties that may or may not have been priced appropriately to begin with.
Consider this: a great home in a great location that is situated among other similar homes but priced way over the rest – simply will not generate enough attention, if any at all. As a buyer, this means you should exercise savvy in your judgment when looking at properties. For sellers this is a huge wake up call to those that may be expecting more than their home is realistically going to yield.
Market Action Index Showing Wallingford Buyers Still Have the Edge
Our current Market Action Index is at 12.7, indicating a buyer-centric market for the time being. However, this trend is moving upward toward a seller-controlled environment as we approach 30 (a MAI above 30 implies sellers’ advantage while below 30 marks a buyer-controlled climate).
What Does This All Mean To You as a Consumer?
It means that now is just about the best time to buy. There’s no telling how the Presidential election will impact the housing market so right now, as we are sitting in a fairly certain market with reasonable prices, record setting low interest rates and buyers out there seeking competitively priced properties, it only makes sense to reach out and grab the opportunity!
If you would like a more detailed look at how we are doing in our marketplace, or if you want to explore buying or selling your home, contact us today for a customized consultation where we can assess your needs and get started on making your goals become a reality.
Traditional Vs. Online Marketing: Why Traditional Marketing is Fast Becoming Obsolete
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Believe it or not, there is more to selling a home than just putting out ads. And as we delve deeper and deeper into this digital age, what used to be considered luxuries are now necessities to the marketing scheme of any successful real estate agent. Consider some of the traditional ways that real estate agents for years (generations?) have marketed their clients’ properties – and notice how each item is entirely passive.
· 1. Putting a sign outside the home, hoping a buyer will drive by.
· 2. Listing the property on major national websites or the local MLS with the expectation that an offer will be received eventually.
· 3. Hoping that other agents will notice the new listing and introduce it to their buyer clients.
· 4. Advertising the property in print publications, again with the expectation that a buyer will notice the listing.
As someone that wants to successfully sell their home, it’s important to ask yourself:
Do I want my agent to be passively marketing my house? Or is a proactive approach critical in today’s market?
Today, we live in a world where nearly everyone holds a smartphone (or tablet, laptop, notebook, book reader) and each provides an unlimited gateway to instant access of information. At the same time, we also live very much in a “here and now” world. Where there once may have been a charm of sorts to sit down and meet with your agent over coffee and discuss your needs prior to engaging in the standard forms of advertising – now, it’s a whole new ballgame.
Buyers are savvier than ever before and they too don’t have that much time on hands. So the first thing they do is jump online to shortlist locales, neighborhoods, school districts and other macro aspects of their home search. Next, they begin shortlisting on a more specialized level. They pare down specific neighborhoods, research about area restaurants, shopping, crime rates, amenities and other things. At this point in their search, most of them haven’t even engaged in a conversation with a real estate agent.
Now, ask yourself this question:
Would I rather be a seller hoping for a buyer to drive by and just happen to see the “open house” sign – or does it make more sense to position my property out there for buyers to find before they start shortlisting?
In fact, the real estate industry is fast changing and soon enough the only way to succeed in selling your home will be to reach far out and grab the business. In other words – you will have to make it happen yourself because it simply won’t happen on its own.
So the next time you find yourself asking an agent, your agent – or even one that you are thinking of hiring – what they will be doing to get your home sold, be sure that their answer shows they are proactive rather than stuck in yesteryear.
Carbutti & Co. Realtors Remains at the Forefront of Technology
This is where we come in. With the use of expert video technology as a standard approach, we accept nothing less than taking a proactive stance at marketing your property. Where some agents might host an open house to introduce a property on the market, we also provide an intimate look into the home with a video tour. Where you might see flat, one-dimensional photographs of a home “marketed” by others, our listings practically jump off the page and speak to buyers. Where buyers may expect to receive cold, impersonal emails – we take the time to communicate face-to-face, even if that means doing so online.
In the business of real estate, we know it is critical that we stay current with the times and with one look at our blog you will see that we take this very seriously. You can see examples of our video tours, subscribe to receive our bi-weekly education video communications or take a town tour to get a close look at some of the wonderful aspects of your community of choice. When it comes to selling a home, we utilize unique, custom communication tools catered to making buyers feel valued.
These are the very things that stand out. These are the tools that make buyers want to view our listings. These are the things that make our homes sell.
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To find out how we can help you get your home sold, call us today for a customized consultation so we can determine your needs and start working on it right away!
Wallingford – The Quintessential Town You Will Fall In Love With (If You Haven’t Already)
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Many of you that are watching this video are long time residents of the Wallingford area and needless to say, you already know all that we have to offer. But even then, we wanted to share with you a unique look at our town and enjoy all that our home encompasses.
From the quaint shopping area of Downtown Wallingford, gorgeous vineyards, expansive parks and phenomenal school districts – there is so much to this New England wonder!
As Ernie St. Amant mentions in the video, “Everyone knows each other in the community”. We are firmly connected with one another, we take pride in our town and it shows in everything we do. You will see the hustle and bustle of activity year round; Parents coaching kids’ sporting teams, volunteers serving their communities, teachers an active part of our children’s lives – even out of the classroom.
And who says we can’t hit the big city when we feel like it? With instant access to all major highways, professionals and families alike have a great time living the dream of being in a quiet, comfortable and safe haven town – without giving up anything.
Wallingford is the perfect place to raise a family. An ideal location for young professionals. A quaint town with rich layers of history and plenty of more memories in the making.
Welcome to Wallingford! We look forward to seeing you soon!
National Association of Realtors Reporting Significant Increase in Sales in First Quarter
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We have all been waiting while watching the real estate market – especially during the rollercoaster ride that has resulted in some very low lows. But now, as we are in the midst of 2012’s second quarter the signs all point to an improving market. The National Association of Realtors is reporting home sales on the rise, home prices stable but lower than they have been in years and significant distressed properties on the market. All create a ripe environment for a great deal on a home creating an opportunity that many buyers are jumping to take advantage of before it gets too late.
Huge Jump In Home Sales in 2012
The NAR recently reported that home sales have reached the same level as they were during the first quarter of 2007. In the face of a changing real estate environment this is further indication of a strengthening market that highlights heightened consumer confidence with buyer power to match. The main reason for this spike in sales has been the phenomenal deals available to buyers right now. Combining the record-setting low interest rates with equally as unrivaled home prices, buyers are able to afford more home today than they have been able to purchase for years.
Great Deals Continue to Motivate Buyers
Almost a third of the sales reported in the first quarter of 2012 were of distressed sales. The reason buyers are attracted to bank owned or short sale properties is because they end up getting a fantastic deal on the home since banks want to quickly unload the property. Despite the misconception that these properties are rundown, they are actually often in good condition. Buyers are savvier than ever before and realize that this opportunity will likely turn around soon enough with interest rates and home prices beginning to rise in some markets. In some areas interest rates have dropped to as low as 3.6% for qualified buyers with good credit standing.
Home Prices Starting to Come Up In Some Markets
As predicted by analysts, some markets that were hard hit by the recession such as Phoenix are beginning to see higher increases in home values. Before this trend spreads to most other markets, buyers are getting off the fence and buying up the properties they might have otherwise waited a bit longer to purchase. Currently, as reported by the NAR, the national median list price has dropped to $158,100 – indicating a very opportune time to buy.
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If you have been considering purchasing a home – we invite you to contact us so that we can show you how today’s fast-improving market works in your favor. Through our extensive resources and tools, we will be able to guide you through and to the successful purchase of your dream home!
Three Essential Strategies When Selling Your Home
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Once you have made the decision to sell your home, the next step is to put it on the market and get the word out! Hopefully, the home will sell in record time. But if you are like many homeowners these days, the number of sellers still outweighs how many interested buyers are out there. So how can you stand apart? How can you be sure that your home is the one attracting the most attention in the neighborhood? And aside from that positive feedback from the buying community, what can you do to get the most out of your listing and be successful? Here are three absolutely vital aspects of selling a home – that if followed are sure to help you successfully achieve your selling goals:
Do Your Homework and Be Prepared
The single most important thing you can do before even taking the first step in selling your home is to hire the perfect agent. This is not a matter of just finding the next person you know that deals with real estate professionally. Hiring an agent is a process that should be done carefully and with much thought. Does he or she take an active marketing stance? Are they accessible? Do they have a strong, solid and proven track record? What do recent clients say about dealing with this agent and/or broker?
Understand what your competition is selling. By knowing and understanding the other options buyers looking in the same area have, you will gain a competitive edge and be able to adjust your home based on the others’ offerings. One example is the comparison between an older home versus new construction. Though the amenities and number of bedrooms, bathrooms and square footage may be the same – buyers might easily prefer new construction. Your preparedness will help you overcome challenges such as this example perhaps by compensating with incentives or making updates to your home.
Strengthen the Perceived Value of Your Home
Now, more than ever, buyers are savvy and they know what to expect. That is why when they see several properties in one area they are able to easily distinguish a good deal from a not-so-good one. By working to enhance the perceived value of your home you can stand to gain significant leverage over other sellers in the area. One of the best examples of this is a new home that offers a 13-month warranty to go along with the sale. Nothing provides more reassurance to buyers than to have the sellers stand by their product. And if the home does have any issues, buyers know that the warranty will cover those issues. The typical cost of a home warranty is not more than $350-$400 but it can cost less depending on the coverage chosen and company. Imagine the edge you will have when buyers see most major components of the home as well as little things covered by a warranty plan.
One of the most damaging things you can do to the potential sale of your property is to price it inaccurately. Though homeowners are free to price their home as they wish, once area comparable sales, appraisals and inspections, as well as buyers’ perceived value are taken into consideration, prices can change dramatically. It is important to know your competition, assess your property as compared to that competition and then price the home accordingly. Overpricing can clearly lead to lack of buyer interest while underpricing can backfire in more than one way; the seller would obviously get less money and also buyers could potentially be turned off thinking that something is wrong with the property.
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For a customized assessment of your home’s selling position and for an analysis of how much you can potentially sell your home for – contact us today!
Beware of the Companies That Will “Pay Cash For Your House”
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Imagine being in the midst of a terrible financial situation, behind on your mortgage, unable to pay your bills and considering selling your home before you really want to. Now imagine a shark sneaking up behind you and then snatching away your lifelong dream, putting you in a position you will likely never recover from.
Well, there are sharks out there that are trying to capitalize on the financial troubles of many families and homeowners in the nation. These are the ones that spend lots of advertising dollars on blaring billboards, audaciously claiming that they “ Will Buy Your Home For Cash” and “Close In 7-10 Days”.
Think about it. It sounds too good to be true, doesn’t it? It is. The single biggest risk of dealing with these companies, aside from the fact that you are exposing very personal details of your financial life to them, is that they will likely steal your equity.
Getting Pennies on the Dollar For Your Home
Consider this recent example: A woman I met a short time ago was behind on her mortgage payment and feared that her home would face foreclosure. Rather than approach a Realtor, she responded to one of these ads and almost found herself trapped. With years of experience dealing with these types of “investors”, we were able to go in and show her how big of a mistake that would have been. It turns out she had a significant amount of equity in her home. Had she proceeded to engage with this company that wanted to “help” her, she would easily have lost all if not most of the equity that she had built up over the years.
The most enticing thing to people in such situations is that they see an easy and quick out with the companies’ claim to close in seven to ten days. But if you take a closer look at some of the websites of these companies you will notice that they are a bit off. Here is an example of one site that comes up in the first few Google picks. You will notice right away that there are typos on the site – something that hardly signifies a quality, long-standing company.
A Better Way to Get Out of a Tough Situation
Rather than deal with these less than scrupulous companies and risk losing the hard earned equity on your home, visit your Realtor. He or she will walk you through your options and explore viable alternatives to giving up and getting out then losing out in the process. In the woman’s case above we suggested that she sell her home, pocket the equity of her home and move on. Rather than allow this alarming trend to continue, homeowners should educate themselves on the programs designed to really help them get out of the financial difficulty they are facing. Recent changes made by the government to PMI fees for homeowners that refinance allows property owners a chance to seize the opportunity of today’s lower interest rates while avoiding foreclosure.
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Remember, if something sounds too good to be true – especially when it comes to your home – it probably is. To find out where you stand and how you may be able to sell your home quickly but effectively, contact us today. We will help you determine exactly what you can get for your home, how long it might take to sell it and what you can expect if you choose otherwise.
What Would Warren Do?
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The news spread like wildfire. No, it’s not another politician’s sex scandal or the latest (definitely not greatest) gas prices. It is the monumental statement made by Warren Buffett that he would buy up “a couple hundred thousand” single-family homes. The catch is that he would do that if it were something he could practically manage. He may not be able to practically manage it but individuals certainly can.
Think about that. For months, if not more than that, countless Realtors have been urging their clients and potential clients that now is the perfect time to buy. Now that it comes from one of the biggest investors of our time, it brings new light to the subject for many investors and has generated widespread industry buzz from the moment the billionaire uttered those words.
In an interview where he discussed several topics, soon into the discussion with Becky Quick of CNBC’s Squawk Box, he said that in addition to equities, single-family homes are probably the most attractive investment there is out there right now. With the low rates that seem to be heading further down still, he suggests buying at these low interest rates and then for homeowners to refinance if and when the rates dips even more.
He cited that the only reason he has not purchased as many homes as he would have liked is because of the practicality of managing the transactions and properties. Apartment units might have been more manageable and in his words, he said he would “load up on them” had that been the case. But for the everyday investor it makes perfect sense to seize this opportunity and Warren Buffett highlights this repeatedly in his most recent discussion on CNBC.
Mr. Buffett shared his perspective on the idea of buying homes at distressed prices, fixing them up and renting them out as an ideal way to get a solid return on investment. Referring to the changing trends and attitudes within the housing market, he also said this is the perfect way to “short the dollar” because with a 30-year fixed rate mortgage it can go two ways; either the interest rate is too high down the line after which you can go and refinance or if it’s too low the other guy’s stuck with it for 30 years. Could this be the return of the house-flipping craze that we saw boom in the mid 2000s?
Mr. Buffett’s statement brings new light to something that so many agents and mortgage consultants have been saying all along. Buy now. At a time when stocks are just now rebounding after four years of inching their way back up, he says that consumers should acquire 30-year fixed rate mortgages and then refinance when rates go down further.
If homeowners can hold on to their property for a long time after purchasing it at the lowest rates the industry has to offer they are sitting on the best investment possible of our time. Of course equities are still very strong but they have come up quite a bit and Warren Buffett says owning a home is a “leveraged way of owning a very cheap asset”, making it quite possibly the most attractive investment that you can make.
HUD-Owned Homes Are One of Real Estate’s Best Kept Secrets
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For a few years now the real estate market has been heavily leaning on the buyers’ side with a lot more inventory than there have been buyers and unfortunately because of the economy we are going to see more of the same in 2012. But if you’re a buyer, this could not be a better time for you, especially with interest rates still as low as they have ever been!
HUD-Owned Properties Are Not Always Money Pits
The single biggest hang up that most homebuyers have about looking at HUD-owned homes is that they perceive the properties to be money pits waiting to happen. The truth is that there are a lot of properties in perfect or at least near-perfect condition. At best these properties require some rehabilitation but nothing that will cost too much or involve lengthy time-consuming projects. In fact, aside from a few cosmetic issues like paint, flooring or fixtures, HUD-homes most often have solid structure and very desirable amenities, floor plans and features.
Homeowners Can Manage Fix-Ups With the FHA 203k Home Reno Loan
There will be times that you will come across serious fixer-upper homes in this category however you will likely get the property at a steep discount and with the help of a 203k loan you can build in renovation costs into your mortgage. The best advantage of this is that you can customize the home to your needs, doing anything from installing a high-end kitchen and bathrooms to finishing your basement or even landscaping. One of the best features of this loan is that it also facilitates owners to live elsewhere for up to 6 months while rehabilitation takes place, keeping up mortgage payments in the interim. Add to that the fact that you will get the same low interest rate on your 203k loan and buying a HUD home makes even more sense!
When you consider the financial benefits of buying in today’s market and buying through HUD with the historically low interest rates available out there, it makes good sense to browse HUD homes. Most buyers receive deep discounts on their property – discounts that add up to thousands of dollars and many times even tens of thousands of dollars. When you factor in the low interest rates and as a result buyers being able to afford much more house for the same monthly payment amount, dealing with a few cosmetic concerns is well worth it.
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To begin your search for HUD homes, browse the official HUD search engine of all properties listed nationally, by state. Keep in mind that in order to bid on any of these homes you must go through a registered HUD broker as all real estate agents are not qualified to handle these transactions. Getting a great deal, sometimes as much as 40% below market value, is worth a little extra effort – so why not start your search today?
Is Now a Good Time to Buy?
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I get asked all the time whether or not now is a good time to buy. Honestly, now is a great time to buy. Never have I seen sellers more willing to negotiate than I do right now.
First of all, we have fantastic mortgage rates. These rates are at all time low. The average national interest rate is at 4.6% for a 30 year fixed rate loan while the 15 year rate is around 3.78%. Could we have imagined these kinds of interest rates just a few short years ago?
As an example, if you took out $300,000 loan for 30 years at a fixed rate of 4.6%, your payment would be around $1,537 per month. If you decide to wait another year hoping prices will go even lower and the rate rises to 5.7%, you would need home prices to fall another 12% to come in at same mortgage payment. That's more than double the price decline most are expecting to happen.
I truly do not believe that interest rates will be going much lower. In fact, most experts predict that they will be going back up to just under 6%.
I also don't foresee prices falling another 12%. If anything, prices are stabilizing. In many areas, prices are actually starting to inch upward again.
Mortgages for expensive homes will fall to $625K for a conforming loan very soon. Right now, lenders can do over $700K on a regular conforming loan without having to worry about getting into a non-conforming situation.
For buyers, there is also a lot less competition right now. It's the perception of many buyers that prices will fall lower, but most experts think there may be an additional 5% decrease at most in some markets.
In Connecticut, some areas are already seeing upward pricing trends. In other words, don't sit around waiting for the prices to adjust downward as well as the interest rates. They are so super good right now that it doesn't make sense to keep waiting it out in an already fantastic market.
For renters, new studies are showing that renting really isn't such a great deal right now. Demand for rentals over the last few years has increased because of the rise of foreclosures and less renters looking to buy. However, the supply has not kept up which means that rental prices have gone up. Why rent when you can buy a home and pay less each month?
Experts also believe that qualifying for a mortgage is likely to get harder instead of easier. As the mortgage market starts moving into the private market and away from Fannie Mae and Freddie Mac, many believe that tougher lending standards will be created.
As always, if you have real estate questions or want to get pre-approved for a mortgage, call or email me. I am also always happy to sit down with you and go through the whole buying process with you at any time.
Shop Around Until Interest Rates Drop when Buying a Home
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When you're in the market for a home, I'm here to help you find the best mortgage terms around. But I also want you to be a fully-informed consumer!
As you already know, buying a home may be the largest purchase of your life so you should go into it with eyes wide open! In this article, I'd like to provide you some proven and common-sense guidelines that can save you time, money and hassle during the mortgage-hunting process.
Guideline 1: Look Beneath the Surface of the Interest Rate!
If you're like most prospective home buyers, you call lenders or use the Internet to shop for the best interest rates. That's a good first step, no doubt about it! But, the mistake many buyers make is that they stop there and don't consider the fees that may be added on to the loan later by the cheapest lender.
Guideline 2: Chose the Type of Lender That Works Best for You!
There are several different sources of lenders - banks, credit unions, mortgage brokers, etc. They all have their advantages and disadvantages in terms of the rates and services they can offer you. For example, credit unions often provide the best value and service, but, of course, you have to belong to one in order to receive their services.
Regular banks and "big lenders" (Bank of America, Citigroup, etc.) also provide competitive rates and services. Of course, they only offer products their companies provide. You can also use a mortgage broker. This person is a "wholesaler" who uses several lenders to give service to their customers. The advantage of a broker is that he or she offers a greater selection of rates and products. However, they also tend to be more expensive than regular banks and big lenders.
Brokers make money in two ways. One is origination fees ("yield spread" or "rebate"). Essentially, the origination fee is a commission paid by the bank to the brokers to encourage them to use their firm. The second way is by selling a higher interest rate to you. This means there's room for you to negotiate that interest rate down!
When a broker quotes you an interest rate, ask him or her to tell you what the origination fee, rebate or yield spread on that rate is. For a broker, a reasonable amount would be a total of 1% of the loan amount from yield spread, origination or combination of the two. Most brokers usually want to make at least 2%.
Tip: Don't pay an origination fee unless the broker informs you that he or she isn't getting anything on the back end of the deal.
The bottom line: you can (and should) shop among all these lenders to find the lowest rate. It can save you thousands of dollars over the life of the mortgage.
Guideline 3: Review the Good Faith Estimate with an Eagle Eye!
Most lenders provide complete and straight-forward information on these forms; however, there's no reason for you to accept the GFE at face value. Comb through the information and if you don't understand a particular item or fee, ask for an explanation. If you still don't understand them, you may want a lawyer to review them for you so you have complete understanding.
Remember: A GFE is only an estimate. Changes may occur through no fault of the lender. A reputable lender will let you know if fees are going up substantially. In general, however, if those fees go up by more than approximately 16%, then a red flag should go up in your mind.
Guideline 4: Negotiate, Negotiate, Negotiate!
When confronted with the expertise and "prestige" of banks, we all have a tendency to think they know best, and we should, therefore, agree to their terms. Never think this way! Banks are like any business; you can and should negotiate with them!
Want more information on banks and other lenders? Contact me today!
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