Deb's Dayton Ohio Real Estate Report

Investment Alert: Can You Afford a Second Home?

2012-01-05T14:19:00.001-05:00

By Chip Poli

Most of us have dreamt of having a vacation home. It could be on the beach
in New England, somewhere tropical, or even somewhere foreign. Many
consumers don't realize that with the proper research, their dream vacation
home might actually be in reach. Instead of visualizing how relaxing
vacations and weekend getaways could be, why not try to make your second
home a reality?

The first step to purchasing a second home is organizing your finances to
make sure you can afford it without compromising the security of your other
assets.

These tips can help you assess whether or not you are ready to invest in a
second home.

1. Figure out what you can reasonably afford by looking closely at your
income, savings, and spending habits. Future expenses need to be factored
into your budget, such as the likelihood of replacing a car or adding to
your family.

2. Check each of your three credit reports well before you start looking at
houses or shopping for lenders. If your credit score needs improvement
contact a credit counseling agency or ask your mortgage company for advice.

3. Create a budget. A budget not only clarifies your current financial
situation, but it also helps you identify places where you might cut back to
save for a down payment.

4. Consider tax implications. Purchasing a second home has its benefits, but
you should make sure you consider funds for property taxes on the second
home as well as additional income tax if your home will be rented out. You
should research the area's property taxes because some locations have
significantly higher or lower property taxes.

If your research proves you are not quite ready to start looking for your
vacation home, try not to get discouraged. It's better to wait than to put
your financial security at risk. If you feel that you are financially stable
enough to take on a second mortgage, now is a better time than ever because
interest rates are extremely low. Good luck!

For more information, visit www.PoliMortgage.com.

Monthly Contest - Discover Ohio

2010-08-04T09:42:00.000-04:00

Monthly Contest - Discover Ohio

Military discounts offer huge rewards for restaurants - Dayton Business Journal

2010-08-03T11:30:00.000-04:00

Military discounts offer huge rewards for restaurants - Dayton Business Journal

Scholarships aim to retool jobs skills

2010-03-23T12:54:00.000-04:00

Scholarships aim to retool jobs skills
Apply online before April 30, 2010

Updated: Tuesday, 23 Mar 2010, 12:22 PM EDT
Published : Tuesday, 23 Mar 2010, 11:53 AM EDT

DAYTON, Ohio (WDTN) - A new scholarship program aims at retooling out-of-work Daytonians.

The University of Phoenix and the Dayton Urban League announced the creation of five, full-tuition scholarships.

The money can be be applied to an undergraduate or master degree program and can be used on campus or online.

To apply, you must have successfully completed the Dayton Urban League's Job Readiness program within the last two years and submit your application online before April 30, 2010 to DaytonUrbanLeague.org .

Scholarships aim to retool jobs skills

Short-Sale Program Will Pay Homeowners to Sell at a Loss - NYTimes.com

2010-03-07T22:45:00.000-05:00

Short-Sale Program to Pay Homeowners to Sell at a Loss
By DAVID STREITFELD
Published: March 7, 2010

In an effort to end the foreclosure crisis, the Obama administration has been trying to keep defaulting owners in their homes. Now it will take a new approach: paying some of them to leave.

This latest program, which will allow owners to sell for less than they owe and will give them a little cash to speed them on their way, is one of the administration’s most aggressive attempts to grapple with a problem that has defied solutions.

More than five million households are behind on their mortgages and risk foreclosure. The government’s $75 billion mortgage modification plan has helped only a small slice of them. Consumer advocates, economists and even some banking industry representatives say much more needs to be done.

For the administration, there is also the concern that millions of foreclosures could delay or even reverse the economy’s tentative recovery — the last thing it wants in an election year. Click below to read the rest of this article...

Short-Sale Program Will Pay Homeowners to Sell at a Loss - NYTimes.com

10 Tips for Settling Into Your New Home : HGTV FrontDoor Real Estate

2010-02-04T06:21:00.000-05:00

10 Tips for Settling Into Your New Home

By Shannon Petrie, FrontDoor.com | Published: 11/17/2009

Shortly after buying a new home, you may feel too overwhelmed with moving boxes and bubble wrap to focus on anything other than getting your stuff from point A to point B. Besides ensuring a smooth moving process, there are several other things you need to take care of as you're getting settled into your home. While you're unpacking, make sure you handle these post-purchase musts: Read More...

10 Tips for Settling Into Your New Home : HGTV FrontDoor Real Estate

COLDWELL BANKER REAL ESTATE STUDY FINDS CONSUMERS’ ANTICIPATED ‘SMART SPENDING’ OF HOMEBUYER TAX CREDIT WILL AID ECONOMIC RECOVERY

2009-12-16T11:59:00.000-05:00

83 Percent of Current Homeowners Surveyed Say They Would Spend Tax Credit on Repaying Existing Debts, Home Improvements, Savings/Investments and Household Expenses

Dayton, Ohio (December 16, 2009) – Coldwell Banker Real Estate LLC today announced the findings from a new survey that looked at how the recently expanded federal homebuyer tax credit, which opened up the credit to existing homeowners, might impact the economy. Of the more than 1,000 homeowners surveyed, 83 percent responded that if they were to purchase a home and qualify for the tax credit, they would engage in “smart spending” or put the money toward paying off existing debts, home improvements, savings/investments, or everyday household expenses. Only 6 percent of respondents indicated that they would spend the money on what are commonly referred to as luxury items such as a vacation or a shopping spree.

According to the survey, the top way homeowners would spend their $6,500 tax credit in a “smart” way would be to pay off debts (34 percent), followed closely by making home improvements (29 percent) and putting it into savings and investments (28 percent).

In addition, Coldwell Banker Real Estate found that 20 percent of homeowners indicated they were more likely to consider purchasing a home than they were six months ago, after learning about the $6,500 federal tax credit. The tax credit, which previously only was for first-time homebuyers, is now available to existing homeowners who sign a binding contract before April 30, 2010 and close on the purchase of a home before June 30, 2010. To learn more about the details of the expanded homebuyer tax credit, go to www.coldwellbanker.com

“I congratulate Congress and the Administration on the passage of the ‘The Worker, Homeownership, and Business Assistance Act of 2009’,” said Deborah Sasser, REALTOR and Associate Partner of Coldwell Banker Heritage Realtors. “The National Association of Realtors recently reported that 47 percent of 2009 home sales were to first-time homebuyers, so clearly the initial tax credit worked. “This survey offers positive indicators that there are more existing homeowners considering a home purchase today than there were six months ago, and the majority of respondents say they would engage in ‘smart spending’ that would directly benefit the U.S. economy.”

Methodology: Coldwell Banker Real Estate engaged ICR, an independent research company, to conduct an omnibus survey via telephone in November 2009, among a nationally representative sample of 1008 homeowners. The margin of error for total respondents is +/-3.09% at the 95% confidence level.

About Coldwell Banker Real Estate LLC®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. The Coldwell Banker system has approximately 3,300 residential real estate offices and approximately 100,000 sales associates in 47 countries and territories. The Coldwell Banker system is a leader in the industry in residential and commercial real estate, and in niche markets such as resorts, new homes and luxury properties through its Coldwell Banker Previews International® division. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker®, the Coldwell Banker logo, Coldwell Banker Previews International®, and BlueScapesm are registered and unregistered marks licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.

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Free H1N1 Vaccines For The Public Tomorrow In Greene County Ohio

2009-12-14T18:48:00.000-05:00

Greene County will host free H1N1 clinics Tuesday and Wednesday (12/15-16/2009) from 2 p.m. to 7 p.m. at the Greene County Fairgrounds. The shots are now available to the general public. You can download the H1N1 Vaccine Consent Form by clicking here. This may make your wait a little shorter.

The H1N1 clinic was held at the Hara Arena in Montgomery County today. Hundreds of people turned out, but it seems that this was a very well organized event and things moved fairly quickly. This Thursday, December 17th, the Preble County health district will host a clinic from noon to 3 p.m. and 4 to 7 p.m. at the county fairgrounds.

Children under age 10 who received their initial H1N1 vaccination on or prior to Nov. 16 are eligible to receive their second dose of the vaccine at the clinics. Two doses are required for this age group to be fully protected.

The Warren County Combined Health District will offer free H1N1 vaccine at a walk-in clinic on Saturday Dec. 19 from 9 a.m. to 2:30 p.m. at Urbancrest Baptist Church located at 2634 Drake Road, Lebanon.

For more information you can contact Greene County: www.gcchd.org or call (937) 374-5600

NewsGeni.us - Article - Refinances the Bulk of New Mortgage Activity

2009-12-11T08:44:00.001-05:00

NewsGeni.us - Article - Refinances the Bulk of New Mortgage Activity

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Mortgage fraud scheme leads to prison for former Centerville man

2009-12-10T20:42:00.000-05:00

By Lou Grieco | Thursday, December 10, 2009, 03:36 PM Dayton Daily News

CINCINNATI — A former Centerville man was sentenced Thursday, Dec. 10, to 33 months in federal prison for his role in an extensive mortgage fraud scheme that affected 210 residential properties, including 205 in Montgomery County.

Julian M. Hickman, 32, now of East Cleveland, appeared before U.S. District Judge Michael Barrett. He is the second of six co-defendants to be sentenced. The first, Jessica A. Zbacnik, was sentenced Dec. 3 by Barrett to 30 months in prison.

The scheme affected 63 investors and led to foreclosure against owners of more than 90 percent of the properties, according to Carter M. Stewart, U.S. Attorney for the Southern District of Ohio.

Hickman pleaded guilty in December 2008 to two counts of conspiracy and three counts of willful failure to file income tax returns.

In a statement of facts filed with his plea, Hickman admitted that, between March 2002 and June 2008, he and others recruited unsuspecting individuals to buy residential properties, many of them dilapidated, at prices artificially inflated above legitimate fair-market values.

Hickman admitted that he participated in 107 separate fraudulent real estate closings between March 2002 and June 2006. Hickman and his co-conspirators netted more than $3.8 million from the deals.

Hickman failed to file federal income tax returns in 2003, 2004 and 2005. In 2003, Hickman received gross income in excess of $680,000. In 2004, Hickman received gross income in excess of $830,000. In 2005, Hickman received gross income in excess of $200,000.

Zbacnik, 42, of Mason, pleaded guilty July 29 to one count of conspiracy to commit money laundering and one count of conspiracy to commit mail fraud, wire fraud and money laundering.

According to the statement of facts filed in court, Zbacnik admitted that she had helped arrange, facilitate and manipulate documents associated with real estate sales and closings. The purpose was to fraudulently obtain excess mortgage loan proceeds generated from the sale of residential properties.

There are four co-conspirators who are still awaiting sentencing:

— Edward McGee, 74, of Dayton, who pleaded guilty on May 12, 2009 to conspiracy to commit money laundering.

— Kenneth O. McGee, 49, of Dayton, son of Edward, who pleaded guilty May 12, 2009 to conspiracy to commit mail fraud, wire fraud and money laundering and conspiracy to commit money laundering.

— Robert Mitchell, 42, of Vandalia, who pleaded guilty to conspiracy to commit mail fraud, wire fraud and money laundering and conspiracy to commit money laundering on March 11, 2009.

— Kamal J. Gregory, 34, of Centerville, who pleaded guilty to conspiracy to commit mail fraud, wire fraud and money laundering and conspiracy to commit money laundering on April 14, 2009.

UP8WC9WZ3GQ9

Realty Times - Short Sale Sellers Need To Guard Against "Double Whammy" By Bank and I.R.S.

2009-12-10T20:28:00.000-05:00

Short-sale sellers and their agents have plenty to think about, and it is understandable if they are annoyed by the reams of paperwork that may come their way. Nonetheless, it really is important not only to pay attention to what is in the paperwork but also to be sure to retain it for possible future use. This is because of bad consequences that the seller may experience sometime after the sale has taken place. Click here to read the rest of the story...

Realty Times - Short Sale Sellers Need To Guard Against "Double Whammy" By Bank and I.R.S. UP8WC9WZ3GQ9

U.S. Inventory Declines for November - WSJ.com

2009-12-09T13:33:00.000-05:00

The number of homes listed for sale declined in many U.S. cities in November, but more houses are likely to hit the market early in 2010.

The supply of homes available for sale in 27 major metropolitan areas at the end of November was down 2.4% compared with a month earlier, according to figures compiled by ZipRealty Inc., a real-estate brokerage firm based in Emeryville, Calif.

Inventories typically decrease modestly in November compared with the previous month, according to Zelman & Associates, a research firm. Over the past 25 years, the average change has been a decline of 1.8%.

The November inventory in the 27 metro areas was down 28% compared with the year-earlier period, according to ZipRealty. The ZipRealty data cover all single-family homes, condominiums and town houses listed on local multiple-listing services in metro areas where the firm operates. Read the rest of the story... U.S. Inventory Declines for November - WSJ.com

U.S. Inventory Declines for November - WSJ.com

2009-12-09T13:30:00.001-05:00

Vets get more time for home tax credit - Economic Development - Builder Magazine

2009-11-18T15:20:00.000-05:00

Nov. 11--Federal legislation extending the popular homebuyers tax credit has something extra for members of the armed forces serving overseas -- more time.

Under the bill, signed into law by President Obama on Friday, the income-tax credit of up to $8,000 for first-time homebuyers was extended from its former deadline of Nov. 30. The new law says homebuyers will be eligible for the tax credit if they sign a binding sales agreement before May 1, and close on the purchase before July 1, 2010.

But for members of the military on active duty outside the United States for at least 90 days -- between Jan. 1, 2009 and April 30, 2010 -- the tax break will remain in effect for an additional year. Read more...

Vets get more time for home tax credit - Economic Development - Builder Magazine

America's Newest Land Baron: FDIC - WSJ.com

2009-11-17T09:49:00.000-05:00

ATLANTA -- In the waning days of the Great Recession, the federal government is still jumpstarting the economy and propping up financial markets.

It is also trying to sell Dresden Heights, a failed condo development on a noisy freeway ramp next to a Motel 6, a Waffle House and a Do-It-Yourself Pest Control.

For more than a year, the Federal Deposit Insurance Corp. has been seeking a buyer for 36 partially built condos it inherited from a high-flying, short-lived Atlanta bank. The agency has been fending off vandals, haggling with architects and uncovering the developer's blunders, all in a bid to dispose of this condo project, just one of the 2,554 foreclosed assets dumped onto its books. "These are properties with a bad story," says Jim Gallagher, a senior official in the FDIC's Division of Resolutions and Receiverships. "What we're trying to sell is something that is rundown or not completed or has some property damage."

The financial crisis started with Americans buying homes they couldn't afford. It is ending with the government struggling to sell buildings it never wanted. Read More...

America's Newest Land Baron: FDIC - WSJ.com

NAR Survey Shows First-Time Home Buyers Set Record in Past Year

2009-11-15T19:37:00.001-05:00

San Diego, November 13, 2009

First-time home buyers reached the highest market share on record during the past year, according to the latest consumer survey of home buyers and sellers. The study was released here today at the 2009 REALTORS® Conference & Expo.

The 2009 National Association of Realtors® Profile of Home Buyers and Sellers is the latest in a series of large national NAR surveys evaluating demographics, preferences, marketing and experiences of recent home buyers and sellers. Among national surveys, NAR’s Profile of Home Buyers and Sellers is unprecedented in size and scope.

Paul Bishop, NAR vice president of research, said several factors have been at play. “Tax incentives, record high affordability conditions and a pent-up demand brought a record share of first-time home buyers into the market,” he said. “These buyers are critical to housing and a general economic recovery because the market always heals from the bottom up – they absorb inventory, free existing owners to make a trade and stimulate related goods and services.” Read More...

NAR Survey Shows First-Time Home Buyers Set Record in Past Year

The Associated Press: FHA boss: FHA is not the new subprime

2009-11-15T19:04:00.000-05:00

FHA boss: FHA is not the new subprime

By ALEX VEIGA (AP) – 1 day ago

SAN DIEGO — Federal Housing Administration Commissioner David Stevens said Saturday that concerns the agency is headed for the same financial trouble that snared Fannie Mae, Freddie Mac and the subprime sector are unwarranted.

Stevens made the remarks during a speech at the National Association of Realtors' annual conference and expo in San Diego.

His comments come days after the agency revealed its financial reserves have fallen to a dangerously low level due to more homeowners defaulting on their loans. The FHA does not make loans, but rather offers insurance against default.

That's led to mounting concerns that it will eventually need an infusion of cash like government-controlled mortgage finance companies Freddie Mac and Fannie Mae. Read more...

The Associated Press: FHA boss: FHA is not the new subprime

HouseLogic | Own Smarter

2009-11-15T16:02:00.000-05:00

You care about your home. The NATIONAL ASSOCIATION OF REALTORS® cares about homeownership. To help you become the best, most responsible homeowner you aspire to be, we want to provide you with free information and tools you can use to make smart and timely decisions about your home.

HouseLogic | Own Smarter

Homebuyers tax credit extended and expanded - Nov. 6, 2009

2009-11-06T16:02:00.000-05:00

Homebuyers tax credit extended and expanded - Nov. 6, 2009

FHA Postpones Release of Audit As Bailout Worries Mount - Developments - WSJ

2009-11-05T09:05:00.000-05:00

FHA Postpones Release of Audit As Bailout Worries Mount - Developments - WSJ

Senators OK homebuyer tax credit extension - Real estate- msnbc.com

2009-10-29T10:10:00.000-04:00

Senators OK homebuyer tax credit extension - Real estate- msnbc.com

Realty Times - Sell Short, Get $1,500 in Closing Costs

2009-10-22T19:16:00.000-04:00

Realty Times - Sell Short, Get $1,500 in Closing Costs

Record Streak Continues for Pending Home Sales

2009-10-01T21:11:00.001-04:00

Record Streak Continues for Pending Home Sales

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REALTORÂ® Magazine-Daily News-Credit Reports Under Extra Scrutiny

2009-10-01T21:08:00.001-04:00

REALTORÂ® Magazine-Daily News-Credit Reports Under Extra Scrutiny

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Credit Reports Under Extra Scrutiny

2009-09-29T09:59:00.000-04:00

Buyers who are under contract and hoping to close before Nov. 30 when the first-time home buyer credit expires should refrain from buying furniture and other things on credit. Lenders are running credit checks prior to closing day and any increase in credit card or other debt can jeopardize the loan, says Lew Reich, an associate with Keller Williams Realty in Plano, Texas.

Reich warns buyers to even refrain from checking out a new large purchase because even an inquiry on a credit report could scare a lender. Reich tells borrowers: "If someone's squeaking by and, all of a sudden, they may be looking at increasing debt, the lenders will have a keener eye in looking at your loan," he says. "Stay out of the stores," he adds. (Source: The Associated Press)

REALTOR® Magazine: Cost vs. Value Report

2009-09-22T20:55:00.001-04:00

REALTOR® Magazine: Cost vs. Value Report

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REALTOR® Magazine-Daily News-Credit Reports Under Extra Scrutiny

2009-09-22T20:45:00.001-04:00

REALTOR® Magazine-Daily News-Credit Reports Under Extra Scrutiny

Shared via AddThis

2009-08-17T10:00:00.000-04:00

COLDWELL BANKER REAL ESTATE SURVEYS 1,000 MEN AND WOMEN TO DISCOVER GENDER DIFFERENCES IN THE HOME-BUYING PROCESS

Survey Finds that While Couples Make Real Estate Buying Decisions Together, Women Make Up Their Minds Significantly Faster than Men

PARSIPPANY, N.J. (August 17, 2009) – It often seems as though men and women are from different planets, but every day millions of couples navigate through day-to-day and even life-altering decisions. Because a home is the biggest purchase most people will make in their lifetime, Coldwell Banker Real Estate LLC surveyed 1,000 individuals to discover how much men and women differ in the home-buying process.

The real estate company engaged a third-party research firm, International Communications Research (ICR), to delve into the innerpsyche of men and women, asking questions such as “How long did it take for you to know that the last home you purchased was right for you?” and “If you found the home of your dreams but had concerns about its security, would you still be interested?” Coldwell Banker Real Estate also surveyed couples on additional topics, such as “Who wears the pants in the relationship?” when it comes to making major financial decisions.

“The results were surprising,” said Diann Patton, the Coldwell Banker consumer real estate expert. “Not only did we uncover some of the inherent differences between men and women, but we also pinpointed a number of ways that the two genders are actually the same. For example, both men and women are increasingly concerned with having a space to work in their homes – something we would not have seen 40 years ago.” She continued, “We also found that feeling insecure about a home’s safety is a deal-breaker for most people, regardless of gender.”

Patton noted this topic is particularly timely given that many first-time homebuyers are hoping to take advantage of the $8,000 tax credit before it expires on December 1, 2009.

Below are some key highlights from the Coldwell Banker Real Estate study:

Women may be inclined to make up their mind more quickly than men …

When asked how long it took before they knew their home was “right” for them, almost 70 percent of women had made up their mind the day they walked into the house, vs. 62 percent of men. Conversely, significantly more men needed two or more visits: (32 percent of men vs. 23 percent of women).

Women would rather live closer to their extended family than to their job …

55 percent of women find it more important to be closer to their extended family (those that do not live in their household) than to their job, compared to only 37 percent of men.

A home’s security is a deal-breaker for both men and women …

64 percent of women said that if they found the home of their dreams but had concerns about its security, they would no longer be interested. More than half of men agreed (51 percent).

Couples say that no one “wears the pants in the relationship” in terms of major financial decisions …

When asked who wears the pants in the relationship (when it comes to major financial decisions, such as purchasing a home), almost 70 percent of respondents living with their significant other said it’s actually mutual.
However, 23 percent think that they, themselves, wear the pants in the relationship, not their partner. More men than women said this (26 percent vs. 20 percent, respectively).

Men and women agree on how they would use a spare room, for the most part …
When the respondents were asked how they would use an extra 12 x 12 room if it could be anything they wanted, men and women agreed on the top three most popular, and very practical, responses:

Bedroom: 25 percent
Office/Study: 15 percent
Family Room / Den: 11 percent

However, men really do want a “Man Cave”…

Interestingly, out of the 8 percent who indicated they would turn that spare room into an entertainment center, it was a preponderance of men leading the charge. In fact, four times as many men as women said they would use the extra space for recreation / entertainment.

In addition to providing background on the survey results, Patton is able to offer tips for couples who are currently going through the process of buying a home. “These results further validate how critical it is for couples to recognize each other’s differences and work together, from deciding a neighborhood to how to use a spare room,” she said. “Online tools and the expertise of a real estate professional can be particularly helpful for couples, especially if they work together step-by-step along the way.”

Methodology: Coldwell Banker Real Estate engaged ICR to conduct an omnibus survey via telephone in May 2009, among more than 1,000 respondents.

Inspecting a Home Before Calling a Home Inspector

2009-07-19T08:52:00.001-04:00

Who Let The Cat Out?

2009-02-18T20:26:00.007-05:00

Let's see...I have the listing information sheets, new clients, a rainy day and a lock box that has to be coerced to open...oh...and I can't forget DO NOT to let the cat out (who happens to be sitting just inside the front door waiting for the opportunity to escape!)

It truly amazes me that people who are animal lovers will place the care and safety of their pets in the hands of absolute strangers...it is odd enough that they will let us in to roam their home unattended, but that is another story. I truly HATE it when I schedule a showing and hear the dreaded words, "DO NOT LET THE CAT OUT". No one ever leaves instructions on what to do IF the cat gets out. Or worse yet...what happens to the Realtor who lets the cat out??

Typically I use the paper in hand, block the bottom of the door approach when I first open the front door. I am bent over, very stylishly of course, poised to wrestle the fleeing feline as it bolts out between my legs. I will usually enlist the services of my clients as a back up team just in case I miss.

Once we manage to get inside our "tour guide" will typically direct us to the high points of the house such as the kitchen countertops, dust bunnies under the bed and of course the ever famous, lets hide it in the bathtub or behind the sofa, "litter box" which is always a show stopper. If by chance one of the visitors happens not to be a cat lover our guide will make every attempt to welcome them by rubbing up against their legs to make them feel more at ease. I am also not sure that to do if our host should develop a hacking fur ball attack. Is there a protocol for Kitty Heimlich? Since I am now ultimately responsible for this precious ball of fur I need to know.

As you can imagine we also have to consider the possibility that we will have to contend with a rear door escape plan should we decide to examine the back yard. So again we arm ourselves with papers in hand to ward off any escape attempts. Once outside, door closed safely behind us, we then have to repeat the entry procedure for a second time. Here is where I really get tripped up sometimes. What do you do if there is a cat outside acting like it wants to go inside? Does the cat live there? How do you know? Did the previous Realtor make the unforgiveable mistake of letting a cat out? My philosophy is...when in doubt let it in! The showing instructions never said don't let the cat IN.

At this point, the "potential buyers" and I have spent 90% of our time in the house trying not to let the cat out; or in the bedroom with the note on the door (which obviously the cat can't read); or making sure the basement door is left open at just the right angle and trying desperately not to step on any tails.

After making a successful exit from the property we all sigh in relief as we have accomplished our mission. Who cares if we missed the 4th bedroom with the completely remodeled state of the art bathroom, Italian marble inlay, 10 person Jacuzzi tub, built in massage chair, 60” plasma TV and 500 watt stereo surround sound system with wireless internet...at least We Did Not Let The Cat Out!

Note: This is not a commentary on cats or their owners. I think they are great, just not when showing a house :)

Economic Stimulus Bill Passes House and Senate

2009-02-17T09:51:00.001-05:00

The House and Senate passed the "American Recovery and Reinvestment Act of 2009" on February 13, and the bill includes several provisions that are beneficial to spur activity in the real estate market. Here are some highlights of the bill:

Homebuyer Tax Credit - The bill provides for a $8,000 tax credit that would be available to first-time home buyers for the purchase of a principal residence on or after January 1, 2009 and before December 1, 2009. The credit does not require repayment. Most of the mechanics of the credit will be the same as under the 2008 rules: the credit will be claimed on a tax return to reduce the purchaser's income tax liability. If any credit amount remains unused, then the unused amount will be refunded as a check to the purchaser.

FHA, Fannie Mae and Freddie Mac Loan Limits - The bill reinstates last year's 2008 loan limits for FHA, Freddie Mac, and Fannie Mae loans. These limits were equal to the greater of 125% of the 2008 local area median home price or $271,050 for FHA and $417,000 for Fannie and Freddie, with an overall maximum cap of $729,750. For the few areas where the 2009 limits were higher, the higher limits will apply. In addition, the bill includes language providing the HUD Secretary with the discretion, if warranted, to increase the loan limit for any “sub-area”, i.e.an area smaller than a county. The Secretary's discretion is again limited by the $729,750 cap. These 2009 limits will expire December 31, 2009.

The inclusion of these loan limit provisions in the final bill is a victory for homeowners, buyers and REALTORS®. While these new limits were included in version of the original stimulus bill approved by the House, the bill first approved by the Senate did not. NAR's Call for Action to both the House and the Senate prior to the final vote advocated strongly for the provisions which were then included in the final bill approved by both Chambers.

Neighborhood Stabilization - Division A, Title XII of the bill provides $2,000,000,000 in additional funding for the Neighborhood Stabilization Program (NSP). The NSP was created by the Housing and Economic Recovery Act of 2089 (Public Law 110–289) to provide grants through the Community Development Block Grant program (CDBG) to states and localities to address the problems that can be created when whole neighborhoods are decimated by foreclosures. The funds can be used to purchase, manage, repair and resell foreclosed and abandoned properties. In addition, the funds can also be used by states and localities to establish financing methods for the purchase and redevelopment of foreclosed properties. After purchase the homes must be used to assist individuals and families with incomes at or below 120% of area median income. Twenty-five percent of funds must be used for households with incomes at or below 50% of area median income. By leveraging their expertise in partnership with others from both the public and private sector, REALTORS® in many communities have been making important contributions to their local communities’ neighborhood stabilization programs.
Commercial Real Estate - Commercial real estate is impacted primarily through those provisions of the bill focused on green building and energy efficiency as well as business tax incentives. H.R. 1 provides significant funds for state energy programs, which could be used to support commercial property owners' investment in energy efficiency upgrades while commercial property owners seeking to invest in alternative energy systems for onsite power generation would benefit from the Department of Energy Renewable Energy Loan Guarantees Program. Of particular benefit to small businesses would be certain provisions of the bill that provide tax relief in the area of bonus depreciation and capital expenditures, as well as the 5-Year carryback of net operating losses for small businesses.

Rural Housing Service – The bill provides an additional $500 million to existing USDA Rural Housing programs. The RHS provides both a guaranteed loan program and a direct housing loan program for those meeting the program’s eligibility criteria. The direct loan program will receive $270 million while $230 million will be allocated for unsubsidized guaranteed loans. It has been reported that this level of funding would provide for an additional 192,000 homeowners.
Low Income Housing Grants - Allow states to trade in a portion of their 2009 low-income housing tax credits for Treasury grants to finance the construction or acquisition and rehabilitation of low-income housing, including those with or without tax credit allocations.
Tax-Exempt Housing Bonds - Tax-exempt interest earned on specified state and local bonds issued during 2009 and 2010 will not be subject to the Alternative Minimum Tax (AMT). In addition, financial institutions will have greater capacity to purchase tax-exempt state and local bonds.

Energy Efficient Housing Tax Credits and Grants - To promote green jobs and energy independence, ARRA invests significantly in efforts to make homes and buildings more energy efficient. The bill provides state and local governments with $6 billion in energy efficiency and conservation grants for energy audits, retrofits and financial incentives. Through 2010, homeowners will be able to claim a 30% tax credit (up from 10%) for purchases of new furnaces, windows and insulation. Another $5 billion will be available to modernize the nation’s electricity grid and install smart meters on homes that help to save consumers money. There is also $5 billion for weatherization assistance for low income households and $2 billion for federally assisted housing (section 8) efficiency efforts.

Transportation Investments - The bill provides $46.7 billion to states and localities for capital investment for surface transportation projects including highways, bridges, transit, and rail projects. NAR policy supports increased spending on the types of transportation infrastructure addressed in the bill with the exception of Amtrak and high-speed inter-city rail where NAR has no policy. These investments will tend to moderate traffic congestion and support a variety of transportation alternatives which will improve the quality of life of American communities and bolster the value of real estate.

Broadband Deployment - The bill creates $7.2 billion in grants to promote broadband deployment in unserved and underserved areas and for mapping the availability of broadband service in the U.S. Any entity is eligible to apply for a grant including municipalities, public/private partnerships and private companies as long as they comply with the grant conditions. The grants are subject to “network neutrality” requirements to ensure that broadband networks be free of restrictions on content, sites, or platforms, on the kinds of equipment that may be attached, and on the modes of communication allowed.
The bill also charges the FCC is with developing a national broadband plan that shall seek to ensure that all Americans have access to broadband capability and shall establish benchmarks for meeting that goal.

Source: National Association of REALTORS®

2009-02-04T15:04:00.001-05:00

Dayton, Ohio: Job losses boost foreclosures
USATODAY 2/3/009

The city of Dayton, Ohio, may have escaped the real estate bubble, but it has been burdenedby other problems. It has been bleeding automotive manufacturing jobs for the past seven years,and that has hammered its housing market.

Since 2000, the Dayton area has lost about 30,000 manufacturing jobs, said Richard Stock, director of the University of Dayton Business Research Group.
And Dayton's home foreclosure rate went up 18% last year, according to RealtyTrac.
"I think job loss is the biggest cause of foreclosure," says Harry Vearn, president of the Dayton Area Board of Realtors. "And that has brought home prices down."