With shrinking inventories and more competition, buyers are finding they have less negotiating power in today’s market. CNNMoney recently highlighted some of the following tips to help home buyers be more successful in their purchases this spring:
1. Lowball offers are a waste of time: “The days when you could scoop up a house for 20 percent less than the list price are long gone,” the article notes. Homes are selling much closer to their asking price nowadays, surveys show. Michael Murphree, a real estate professional in Birmingham, Ala., says he advises his clients that if homes are selling below the list price in an area but are still being sold in less than two months to make an offer that is no more than 2 to 3 percent below the asking price. If homes are selling above the listing price, Murphree advises clients to make their first offer at the full asking price.
2. How to win a bidding war: To do that, agents say come with a higher price and fewer contingencies, and be flexible with when you can move in. In some transactions, the sellers could be left trying to find new housing for themselves, so some real estate professionals suggest leaving the closing date blank on the contract and allow the seller to fill it in, or be willing to negotiate a leaseback if the seller needs more time to vacate.
3. Shop around for financing: Credit unions and small banks tend to offer the lowest rates and may even be less strict about their underwriting, Guy Cecala, publisher of Inside Mortgage Finance, told CNNMoney. Cecala recommends getting a good-faith estimate from one lender and then showing it to other lenders to see if they can beat it.
Source: “Housing Is Back! Best Moves for Home Buyers,” CNNMoney (April 8, 2013)
Established in 1974 with a mission to reduce homelessness, increase community support and promote self sufficiency, the Good Shepherd Housing and Family Services is operated by a multi-denominational board of directors and staff managing over 70 housing units. Good Shepherd Housing and Family Services is located in the Mount Zephyr Business Center at 8305 Richmond…
With tighter inventories of homes for sale, buyers are finding increased competition through bidding wars. But the bidding may not be between only one or two other buyers -- more bidding wars are popping up where dozens or even hundreds of other buyers are all competing for the same property.
"The only question is not whether a new listing will get multiple bids but how many it will get," Kris Vogt, who manages Coldwell Banker offices in the Sacramento area, told CNNMoney.
For example, a home in Elk Grove, Calif., reportedly received 62 separate bids, with the final sales price more than $150,000 above its $129,000 asking price. In Cambridge, Mass., real estate brokers stopped accepting bids after the tally reached 250 bids for two condos listed at $800,000 each. The two condos ended up selling together for $2 million.
Seventy-five percent of real estate agents with the brokerage Redfin surveyed in March say their clients have faced multiple bid situations for properties -- up from 56 percent in late 2011.
Bidding wars appear to be most prevalent in California. Ninety percent of homes sold in San Francisco, Sacramento, and throughout Southern California saw multiple bids during the month, CNNMoney reports. What’s more, at least two-thirds of listings in Boston, Washington, D.C., Seattle, and New York had bidding wars for homes too.
Meanwhile, inventories of for-sale homes continues to be low. The National Association of REALTORS® reported a 19.2 percent drop in inventories year-over-year in February.
Source: “The home bidding wars are back!” CNNMoney (April 4, 2013)
Inlet Cove is alongside Route 1 This neighborhood of townhouses is near grocers and eateries Inlet Cove is close to Fort Belvoir, Alexandria, and Potomac Mills shops, in the city of Woodbridge Interior to these properties are multilevel Inlet Cove is serene
Pending home sales increased again in March, affirming that a surge of home sales is unfolding for the spring home buying season, according to the National Association of REALTORS®. The Pending Home Sales Index, a forward-looking indicator based on contracts signed in March, rose 5.3 percent to 102.9 from 97.7 in February, and is 21.1…
Some of the best housing deals are on high-end homes, many over $1 million. Some of them need TLC or they aren’t in the most-coveted locations. But there are plenty of desirable properties and lots of sellers who are getting impatient. Buyers with cash have the best opportunities. Buyers who need a mortgage should move…
The National Association of Realtors recently did a study about the characteristics of home buyers. Some of the findings might surprise you. Thirteen percent of buyers purchased a home with one or more parents and grandparents together with adult children. There were several reasons given for purchasing a multi-generational home. Cost savings; Children over the…
The Millennial generation is about 90 million strong—forming the largest demographic wave in the country’s history—and some reports suggest they’re readying for home ownership.
Stuart Nesbitt, a chip off the old block
Millennials’ entrance into home ownership has been delayed due to the recession, high unemployment, and high student loan debt. They’ve been living in their parents’ homes, as well as delaying marriage and having children, surveys show. But the pent-up demand from this generation is starting to surface, says Fred Ehle, vice president for PulteGroup.
Homebuilders, like PulteGroup and Better Homes and Gardens Real Estate, recently revealed surveys of what Millennials want in their future homes. In general, the surveys reveal that this generation isn’t wowed by luxury and prefers technology and flexible space.
Pulte Homes found in its research that more than half of Millennials who decided to buy a home last year from the homebuilder said their main reason was to invest and build equity.
As for what they’re looking for in a home, they appreciate an efficient use of space, an open layout for entertaining, ample storage space, and outdoor space that extends their living areas, according to the Pulte survey of 531 adult renters between the ages of 18 and 34.
"What may be different about this buyer is that they may have more stuff," says Fred Ehle, vice president for PulteGroup. "It's different kind of stuff: technological gadgets, gaming. They also do work from home."
The Better Homes and Gardens survey of 1,000 adults ages 18 to 35 found that Millennials don’t like traditional floor plans and prefer unique spaces. They like to do home improvements themselves and are “fix-it” types.
One in five said that “home office” is a better suited name for their dining room, according to the Better Homes and Gardens survey. What’s more, 43 percent said they want to transform their living room into a home theater.
The survey also showed they’d rather have extra space in their kitchen for a TV than a second oven. Nearly two-thirds of those surveyed say they wouldn’t purchase a home without up-to-date tech capabilities.
Source: “GenY is finally in a mood to buy (houses),” USA Today (March 28, 2013)
Help With Down-Payment For First-Time Buyers For A Residence In 22304 In Alexandria
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Do you want a little help to purchase a $1,250,000 5-bedroom home in 22046? Has the time come to buy a your first home? Good. Nesbitt Realty am a resource that can assist.
Does Nesbitt Realty Offer A Down-Payment Assistance For First-Time Home Buyers Of $28,428 On 8417 Brookewood Ct McLean VA 22102?
Attaining your first home is an exciting milestone, and it's likely the biggest purchase you'll ever make. So don’t jump into it without doing your homework. You can count on a personable ace like me to assist.
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Attaining your first home is an exciting milestone, and it's likely the biggest purchase you'll ever make. So don’t jump into it without doing your homework. It's Nesbitt Realty's job to help. Do you want a very large luxury place in 22207 in Arlington County?
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Has the time come to purchase a a home? Alright! Nesbitt Realty is available help. Are you planning to buy a sprawling mid-market interior row/townhouse like this striking interior row/townhouse at 9514 Draycott Ct?
A new study finds that 301,874 “zombie” homes—properties where home owners receive foreclosure notices and move out, leaving the home vacant and deteriorating—exist in the U.S.
The state with the highest number of “zombie” properties is Florida, with 90,556 vacant homes in foreclosure, according to data by RealtyTrac, in their first analysis of “zombie” properties. Illinois ranks second with 31,668 “zombie” properties and California ranks third with 28,821.
However, Kentucky leads overall in percentage of zombie properties; abandoned homes represent 54 percent of Kentucky’s total foreclosure inventory. Abandoned foreclosures also represent 50 percent or more of the properties in foreclosure in Washington, Indiana, Nevada, and Oregon, according to RealtyTrac.
In January, Reuters reported a problem with “zombie” titles—home owners who received a foreclosure notice and walked away from their home but did not realize their names remained on the deed and they were still financially liable for the property. In some cases, the banks never ultimately pursued the foreclosure, but the home owners were unaware of that since they already had moved out.
RealtyTrac counted any property that had been in foreclosure longer than the state average and that showed no significant recent activity on it as a “zombie” property in its report.
"I think the empty foreclosures is less of a long-term threat but it certainly is affecting individual communities and neighborhoods," says Daren Blomquist, RealtyTrac’s vice president.
Source: “More than 300,000 homes are foreclosed ‘zombies,’ study says,” Reuters (March 28, 2013)
Inlet Cove is alongside Route 1 This neighborhood of townhouses is near grocers and eateries Inlet Cove is close to Fort Belvoir, Alexandria, and Potomac Mills shops, in the city of Woodbridge Interior to these properties are multilevel Inlet Cove is serene
Pending home sales increased again in March, affirming that a surge of home sales is unfolding for the spring home buying season, according to the National Association of REALTORS®. The Pending Home Sales Index, a forward-looking indicator based on contracts signed in March, rose 5.3 percent to 102.9 from 97.7 in February, and is 21.1…
Some of the best housing deals are on high-end homes, many over $1 million. Some of them need TLC or they aren’t in the most-coveted locations. But there are plenty of desirable properties and lots of sellers who are getting impatient. Buyers with cash have the best opportunities. Buyers who need a mortgage should move…
The National Association of Realtors recently did a study about the characteristics of home buyers. Some of the findings might surprise you. Thirteen percent of buyers purchased a home with one or more parents and grandparents together with adult children. There were several reasons given for purchasing a multi-generational home. Cost savings; Children over the…
The Arlington National Cemetery is recognized around the country and around the world, but nearby is a similar treasure from our nation's heritage: the Alexandria National Cemetery.
The Alexandria National Cemetery is located in the City of Alexandria VA
Arlington National Cemetery was featured in Gardens of Stone and numerous other feature films. This has no doubt added to Arlington's mystique and celebrity. Arlington Cemetery was carved from the farm of Robert E. Lee, a native of Alexandria. This is one of many connections between Arlington and Alexandria National Cemeteries.
The five acres of Alexandria National Cemetery are tiny compared to Arlington's 612 acres. Newcomers and those who don't know the history of the area may be surprised to learn that while Alexandria was a colonial era settlement, Arlington is a relatively new creation. (Check out Alexandria's best real estate deal ever!)
Alexandria National Cemetery predates the cemetery in Arlington and is in some ways the reason for Arlington's existence. Alexandria National Cemetery was established during the Civil War in 1862 as one of the original 14 national cemeteries.
The first four acres of Alexandria National Cemetery were purchased by the US government from what was to be Spring Garden Farm. By 1870, the United States purchased additional land to bring the cemetery up to its current size.
The first burials made in Alexandria National Cemetery were soldiers who died during training for the Civil War. Additionally, some casualties were sick or diseased soldiers from one of the numerous hospitals around Alexandria. The death and destruction wrought by the Civil War exceeded all expectations. It was evident that Alexandria National Cemetery would be woefully short of the needs imposed by the War. By 1864, Alexandria National Cemetery was nearly filled to capacity. In large part, the shortage of space in Alexandria led to the planning, development and construction of Arlington National Cemetery.
After the Civil War, improvements were made to the design of Alexandria National Cemetery and by 1871 the cemetery had added a fountain, a cobblestone avenue and graveled walkways. A wrought-iron rostrum, a small pond and a greenhouse were added as well. The primary building on grounds is a brownstone structure---the superintendent’s lodge. The lodge dating to 1870 is the oldest surviving building on the grounds. The lodge is constructed in a style and with materials popular from the era and perhaps best recognized in the the Smithsonian Institution's "Castle," and the U.S. Capitol floor and rotunda door frames.
Many of the graves at Alexandria National Cemetery date to the Civil War era
Like other national cemeteries, the Alexandria National Cemetery featured a "comfort station" built in 1887. This building is one of only a few such structures to survive to the present day. In 1927, the station significantly altered by adding a dining room and converting the facility into a kitchen/store room and tool-shed/toilet. The entire cemetery is surrounded by a wall of Seneca sandstone with River Blue Stone coping. (This is the same material used to build the superintendent's lodge.) Visitors gain entry by passing through a 12-foot wide ornamental cast-iron gate at the Wilkes Street entrance.
In the 1930's the flagpole was added and in 1995 the cemetery was added to the National Register of Historic places. There is no grave locator or kiosk on the grounds and the cemetery only has room for cremated remains and certain relatives of persons already buried at Alexandria National Cemetery.
Among other notable persons buried at the Alexandria National Cemetery are several "Buffalo Soldiers"---a nickname for several Cavalry Regiments of the US Army. Several African-American regiments of Buffalo Soldiers were formed during the Civil War to fight alongside the Union Army. Among these were the famed 54th Massachusetts Volunteer Infantry and many United States Colored Troops Regiments. After the Civil War, the Buffalo Soldiers were established by Congress as the first peacetime all-black regiments in the regular U.S. Army. It is fitting that these soldiers are buried near Alexandria's African American Heritage Park.
Together with the African American Heritage Park the Alexandria National Cemetery makes up the eastern boundary of the Carlyle District.
snow at Belle View condos
I met a potential client who told me that she had been looking for two years for a condo. She called me because she wanted to see a particular property in Belle View. After establishing that she didn't have an agent, I showed her Belle View I practically had to drag here to see a property I thought she would like based upon her input. That property was Montebello, and she absolutely loved it and was amazed because she wouldn't have had a clue that Montebello existed if it wasn't for me.
A few days later, she wanted me to tag along to another property that she had found at my property search site. That prompted me to "set the record straight" with some frank talk.
Obviously, I would love the opportunity to be of service to her. I appreciate and value each client and always need one more client. But there are limits to what I can and will do and this is for the protection of both the client and myself.
Living room at Montebello
When I take on a client it is because I know I can add value to my client's end of the transaction. I add value by finding right property at the right price. As I have demonstrated to her and others, I know the condos of Northern Virginia very well. Additionally, I can be a pretty tough negotiator when the time calls.
Thus, if a client allows me to represent him or her, I think it's important that I go with the client whenever the client views properties (with the possible exception of open houses). So, to answer her first question, of course I want to go with a client when a client has interest in a property. But, when I see someone who has been looking for two years, three years, and has probably burned through a couple of agents who threw their hands up in frustration, I think it is important establish a few facts.
There are two primary reasons why a buyer takes a long time to select a property:
The buyer either has unrealistic expectations; or
The buyer does not have clearly defined goals.
When expectations are unrealistic the best thing that I can do as an agent is to apprise the buyer of reality and wish them well in their search. This is not because I'm a tough guy, but rather because it would ruin me a professional to chase the impossible. To use a metaphor, maybe bigfoot exists. I've heard that people saw
him. But if I made my living as a game hunter, I'm not going to spend my time (the only thing I really have) trying to catch bigfoot. I'll wish you well if you are looking for bigfoot, but I'll stick to game that I pull from the forest every single day.
In this case, the buyer had a reasonable assessment of reality but she didn't really know what she was looking for. In other words, she didn't have clearly defined goals.
The client's method for finding a condo was simple: she randomly searched the Internet and other media to identify prospects. She then visited the potential location and then moved on to something else. That method will use up a lot of time and energy. I'm not saying the random selection method NEVER works, but in this case the client had already spent two years and hadn't found the right property.
Obviously, a buyer needs to see some properties to get an idea of what is available. But what doesn't make sense is to randomly shop units to find what you want. Northern Virginia (Arlington, Alexandria, Fairfax County) is a huge metropolitan market. There are so many condominiums in Northern Virginia that a person won't be able to see them all. (Unless like me, the only thing you do is look at condos all day.)
I told this client gently but firmly, what I thought made the most sense. I told her the truth. That is, instead of the client leading me around and letting me open doors so she could find a condo, I would play the part of the expert.
As an expert, I would asked pointed questions and listen carefully to her replies. In this way, we can define exactly what it is that the buyer is looking for. Then, after we have established the goals, then it makes sense to begin touring the selections that I recommend.
With each condominium we visit, I'll learn more about her needs and we'll get closer to the property that this client will eventually buy.
Define goals.
Refine goals.
Buy.
Simple, effective and good for the client and the agent.
Starting Monday, borrowers will be charged higher mortgage insurance premiums on new Federal Housing Administration loans. The annual fee on the majority of FHA loans will rise by 0.1 percent on April 1.
This marks the third time the FHA has increased its mortgage insurance premiums in two years. And since 2008, the fee has nearly tripled.
Some borrowers are rushing to beat the April 1 deadline.
The FHA premium hikes are part of an effort by the agency to increase its insurance fund. In early June, the FHA will require borrowers who take out new FHA loans to pay for mortgage insurance for the entire life of the loan.
Source: “FHA Loans Get Pricer April 1,” Bankrate.com (March 26, 2013) and “Mortgage insurers prep for FHA premium increases,” HousingWire (March 28, 2013)
Creative Commons License photo credit: CrimsonMage
The Potomac River is located on the east coast of the United States, and runs through Maryland, Virginia, West Virginia, and Washington, D.C. before it empties into the Chesapeake Bay. It is over 380 miles long and wider than 11 miles at its widest point.
As it passes through Washington DC, the nation's capital, the Potomac passes the Washington Monument and the memorials of Jefferson, and Lincoln. Many consider the Potomac to be one of the most beautiful and bountiful rivers on the East Coast. The river is also widely regard its historic, scenic and recreational significance. Among the many who loved the Potomac was George Washington, who worked as a surveyor at many points along the banks of the river. George Washington's mansion
at Mount Vernon is on the Potomac.
Mount Vernon, George Washington's estate on the Potomac
The Potomac's source is a small spring at the Fairfax Stone in West Virginia. From there, the river gathers many tributaries, winding through the mountains and valleys of Appalachia. One of its most
dramatic turns occurs at Harper's Ferry where the Shenandoah meets the
Potomac.
At Great Falls, the Potomac tumbles down from the Appalachian Highlands to the sandy soils of the Atlantic Coastal Plain. Visitors from the colonial era to the modern era relish the views here. Today visitors at Great Falls
will not only marvel at the cataracts, but also the engineering efforts of those who sought to fulfill George Washington's dream of connecting the Chesapeake Bay to the Ohio River. The C & O Canal was only operational for a few short years, but remnants of the system are still functional at Great Falls Park.
Finally, the river flows almost 400 miles widening to over 11 miles as it reaches the Chesapeake Bay on the long, low, and barren peninsula named Point Lookout, Maryland. Before the US Civil War, Point Lookout was home to a few hotels and boarding houses, but during the war it was converted into one of the largest and worst of the Union
prisoner-of-war camps.
Fishers, anglers, boaters, sailors and kayakers all enjoy the Potomac.
The Potomac River has a watershed of 14,670 square miles including tributaries in Maryland (the Monocacy, Savage, and St. Mary's Rivers); in Virginia (the Shenandoah and Occoquan Rivers); in West Virginia (the South Branch and Cacapon Rivers); in Pennsylvania (Conococheague and Antietam Creeks); and in Washington DC (the Anacostia River). The Potomac cradles forests, battlefields, farmlands, mountains, parks, and cities. It is known to many as our Nation's River.
If you're searching for a home or condo in Northern Virginia with a view of the Potomac, contact Will Nesbitt with Condo Alexandria.
Of course as a homeowner you'll be responsible for maintenance and repairs on the house. As a condo owner, many of these responsibilities are handled by the condo association. Either way, you're the type of person who has taken charge of his or her life. You can paint your wall any color you want. You don't need your landlord's permission to get a pet.
Fred
As a homeowner you're more likely to be a part of the neighborhood watch and the garden club. According to some studies, home owners are more likely to vote, and more likely to participate in local government activities. As a condominium owner you have become one of America's landed gentry. According to the Rossi and Weber National Survey of Families, home owners possess significantly higher levels of self-confidence than renters.
Tax advantages are one of the biggest financial benefits of home ownership. The typical home owner that pays a $1,000 house payment will realize tax savings of about $120 each month. (As a general rule, most homeowners can deduct most or all of their interest payments on their home loan, property taxes and loan points, but check with your tax advisor about your situation.) What this means is that next year your rent won't go up, but your liability will go down. Generally if you can afford the cash flow, it's cheaper to buy than to rent. Because you're a homeowner, you know what this means.
This increase confidence and wealth will have an impact on your family life as well. According to Boehm & Schlottmann, University of Tennessee, "Children of home owners are 59% more likely to become homeowners. Their children are also 25% more likely to graduate from high school and 116% more likely to graduate from college."
As an owner, you'll stop paying rent and you'll start building ownership equity. A survey of consumer finance by the Federal Reserve Board found that the median net worth of most modest-income owners is almost $60,000 compared to less than $10,000 for renters in the same income group.
In many cases, your home will provide you with more privacy than rental living. For some, this means a quieter living environment, for others it's the ability to have a grow garden, have a backyard barbecue or a build a garage. You'll have the freedom to make whatever changes or improvements you like. Now that you control your living environment, you can make adjustments as your family changes or just as your personal taste dictates.
For more information or to set up an appointment call Julie at (703)765-0300.
Across the country, first-time home buyers have been putting in offers on homes, but many of them keep losing out.
First-time home buyers contact Nesbitt Realty!
One working mother says she’s put in 30 offers on homes in the $100,000 range in the Atlanta area, bidding $2,500 to $3,000 above the asking price, but each time she’s been outbid. “We have to be on top of the game and be able to drop everything and check out a house or it will be gone,” says another couple in Alexandria, Va.
Tight housing inventories are playing a role. For example, in Boston home listings are down 57 percent and in Atlanta area home listings have dropped nearly 40 percent in the past year.
Also, “investors have been pushing home prices higher faster than expected,” Diana Olick reports for NBC. “But the higher prices get, the more investors may get out, because they won’t be able to find such great bargains any more. That in turn will let regular buyers back in, even if they do have to pay a little more to own.”
Julie Nesbitt
Julie Nesbitt knows the back trails and by-ways of Northern Virginia real estate.
Established in 1974 with a mission to reduce homelessness, increase community support and promote self sufficiency, the Good Shepherd Housing and Family Services is operated by a multi-denominational board of directors and staff managing over 70 housing units. Good Shepherd Housing and Family Services is located in the Mount Zephyr Business Center at 8305 Richmond…
