Seller Strategies
Building Permits Rising
March 31st, 2012 categories: Buyer Strategies, Seller Strategies
Chantilly area home buyers looking at possible new home construction should know that national stats indicate rising building permits. And in my own travels locally, I do see more new construction activity.
It would appear that the new construction housing market is ready for growth this season.
According to the Census Bureau, the number of single-family building permits issued in February rose to 472,000 on a seasonally-adjusted, annual basis, marking the highest building permit tally since April 2010 — the last month of that year’s federal home buyer tax credit program.
Building permits indicate future new home construction.
In 2011, from the date of permit-issuance to the date of “ground-breaking”, an average of 27 calendar days passed. February’s data, therefore, is a signal that the market for newly-built homes should be strong this year. Recent homebuilder confidence survey data supports this as well.
As buyer foot traffic climbs, homebuilders expect to make more sales in the next 6 months than at any time since the housing market’s crashed. Builder confidence is at a 5-year high.
Of course, progress is not straight up. Last month single-family housing starts slipped.
As compared to January, February’s single-family housing starts fell by 50,000 units on a seasonally-adjusted, annualized basis. The 10% drop represents the largest one-month drop since February 2011. It’s a statistic that may suggest that this year’s results are simply seasonal.
But buyers should be aware that the good news has another side.
Rising permits and builder confidence may mean that Northern Virginia area homebuilders will be less willing to negotiate with today’s buyer on upgrades and/or home prices. However, as more new home supply is set to come online, excess housing stock could help keep home prices low.
All the more reason you need a real estate agent who is working on your behalf, as a Buyer Broker, when you are dealing with new construction. If you are searching for an integrity based real estate professional to help you with the home buying or selling process, we invite you to take a few moments and watch our Testimonial Video which features honest commentary on how we serve our clients. Let us know how we can help. And if you are moving into the Northern Virginia area, we would love to be of assistance.
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“Green” Meets the Arts: 50 Creative Reuse Ideas For Your Home
March 1st, 2012 categories: Buyer Strategies, Seller Strategies
There are Chantilly Home sellers and home buyers who are into “Creative Reuse”….the transformation of everyday items that would otherwise be thrown out. “Green” and the arts merge in this activity.
In every Northern Virginia home, there are potentially dozens of things that could be reused and re-purposed, including such diverse items as chipped coffee mugs, step ladders, and bubble wrap. After transformation, for example, these three items can become a simple storage container, a plant stand, and greenhouse insulation, respectively.
Real Simple made a list of “50 All-Time Favorite New Uses For Old Things“. It’s a list that may give you inspiration to do your own projects.
Some of the things are very practical. But they can also be great learning projects for kids.
Here are a few samples from the Real Simple list:
- Distinguish your glass from other party-goers’ glasses at a party with peel-on/peel-off window decals
- Protect counter tops from hot dishes with and old mousepad-turned-trivet
- Eliminate travel bulk. Carry non-prescription medicines in an old contact lens case.
- Use Play-Doh as a candle or sparkler holder
- Pour pancake batter into an old ketchup bottle for no-mess cooking
With Creative Reuse, you’re limited only by your imagination and, even then, Google can be a terrific project resource.
Check the Real Simple list for 50 great ideas.
And of course, is your creative project is something really big, like buying or selling a home, please know that we are here to make that work in your favor. Check out our Testimonial Video for candid responses on how we serve our clients with excellence. Let us know how we can help!
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When Should I Change My Home’s Air Filters?
February 23rd, 2012 categories: Buyer Strategies, Seller Strategies
How long has it been since you last changed your home’s air filters, Chantilly homeowners?
Home air filters trap and remove dust and particles from the air you breathe; leaving “clean air” to circulate your home.
Clean air in your home is important because it promotes better health.
One way to keep to keep your home’s air as clean as possible is to replace its used air filters at least once per quarter; or once monthly in homes with shedding pets or that otherwise “get dusty”.
Changing air filters is among the easier do-it-yourself chores for a Fairfax area homeowner; a task that takes less than one minute. The secondary benefit of doing it is that new filters help keep your HVAC unit in tip-top shape.
Here’s how to change your home’s air filter :
- Open the air filter compartment door/slider on your HVAC unit.
- Note the size of your current filter. It’s typically written on the frame.
- Note the direction in which the filter is pointing. There may be an arrow on its frame.
- Purchase a new filter at a hardware store. Make sure the sizes matches the size from Step 2.
- Remove the old filter.
- Replace old filter with the newly purchased one from Step 4. Make sure the arrow is pointing in the same direction as the original filter’s arrow.
- Using a marker, note the date of filter change on the side of the filter.
- Close the air filter compartment door/slider.
And that’s it.
When you find a filter type and style that you like, consider buying them in bulk — it can be helpful to have extra air filters laying around the home for when you need them — especially during season changes when you may want to replace filters more frequently.
In addition, when purchasing air filters, don’t opt for the cheapest available. Often, the least expensive filters allow large particles to recirculate through the HVAC unit, and back in to your home. Choose a mid-level or top-line product instead.
Your home and your health will thank you.
And when you are preparing your home for the possibility of selling here in the Northern Virginia area (or moving from elsewhere), please know that I am here to help! You can contact me directly with any questions.
If you are searching for a Chantilly area real estate agent, trying to make sure you make a great choice from the start, I invite you to visit of real estate Testimonial Video. It is an honest presentation of what makes us different.
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Nice Rise in Homebuilder Confidence
February 18th, 2012 categories: Buyer Strategies, Seller Strategies
Chantilly home buyers and home sellers will welcome a little good housing news.
There has been some lately. The nation’s home builders are predicting a strong 2012 for new home sales. It may mean somewhat higher home prices as the spring buying season approaches.
For the sixth straight month, the National Association of Homebuilders reports that homebuilder confidence is rising. The Housing Market Index went up four points to 29 in February, the index’s highest reading since May 2007.
The Housing Market Index is now up 8 points in 8 weeks. The last time that happened was June 2003, a month during which the U.S. economy was regaining its footing, much like this month. It’s noteworthy that June 2003 marked the start of a 4-year bull run in the stock market that took equities up 54%.
The NAHB’s Housing Market Index itself is actually a composite reading. It’s the end-result of three separate surveys sent to home builders monthly.
They ask fundamental questions:
- How are market conditions for the sale of new homes today?
- How are market conditions for the sale of new homes in 6 months?
- How is prospective buyer foot traffic?
In February, builders reported marked improvement across all three areas. Builders report that current home sales climbed 5 points; that sales expectations for the next 6 months climbed 5 points; and that buyer foot traffic climbed 1 point.
Most notable of all of the statistics, though, is that the nation’s home builders report that there are now twice as many buyers setting foot inside model units as compared to just 6 months ago.
This data is supported by the monthly New Home Sales report which shows rising sales and a shrinking new home inventory.
Because of this, Chantilly and Northern Virginia area new home buyers may seet fewer concessions from builders at the time of contract including fewer price breaks on a home and fewer free upgrades. Builders are more upbeat about future prospects, and therefore, may be less willing to be as flexible.
This spring may mark the best time of year to buy a new home. 60 days forward, it may not be quite a good. You can never know for sure, but these are some insights that may be helpful. And if you are a home buyer or home seller, either living in the Northern Virginia area or moving to it, we are here to provide help and information. If you are looking for someone to possibly work with, we invite you to check out our authentic Testimonial Video which is mostly in the voice of people we have helped to realize their real estate goals. Please let us know if you have any questions about Chantilly and Northern Virginia real estate.
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Top 10 Sunniest Cities In the United States
February 17th, 2012 categories: Buyer Strategies, Community Life, Seller Strategies
As compared to gloomy days, do “sunny days” put you in a good mood? If you’re like many people in the Northern Virginia area , the answer is “yes”.
In a study of more than 1,200 people, researchers found that daily weather factors such as temperature, precipitation and length of day can alter a person’s emotional state. Of all the weather factors, however, “sunshine” can have the most profound effect.
The most likely reason is because sunshine affects people in a physiological manner.
When the human brain detects sunlight, our bodies produce serotonin, a chemical which promotes happiness and well-being. By contrast, when the brain detect darkness, our bodies produce melatonin, a chemical which promotes sleep cycles.
Sunlight — quite literally — leads to happiness.
Understanding the effect of sunlight on human mood, therefore, we must consider the nation’s “sunniest cities” as more than just a novelty list. It may be a link to personal well-being, too.
From the National Climactic Data Center, these are the Top 10 Sunniest Cities in the United States :
- Yuma, AZ : Sunny on 90% of all days
- Redding, CA : Sunny on 88% of all days
- Las Vegas, NV : Sunny on 85% of all days
- Phoenix, AZ : Sunny on 85% of all days
- Tucson, AZ : Sunny on 85% of all days
- El Paso, TX : Sunny on 84% of all days
- Fresno, CA : Sunny on 79% of all days
- Reno, NV : Sunny on 79% of all days
- Flagstaff, AZ : Sunny on 78% of all days
- Sacramento, CA : Sunny on 78% of all days
The complete Sunshine Rankings as listed by Metropolitan Area is available on the NCDC website.
If you are considering a move to one of these “sunniest cities” please know that I am here to help you with your move. Our websites have lots of tools, and you can contact me directly with any questions. We are always here for you!
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Rising home values this year?
January 13th, 2012 categories: Buyer Strategies, Seller Strategies
Will your Chantilly or Northern Virginia home go up in value this year? Who knows, but there has been some good news recently, along with the reality of foreclosures.
Housing has been rough since at least 2007, with home values down nearly 20% nationwide. Don’t forget though that our Northern Virginia housing situation has been far better than most areas of the country.
Obviously, low mortgage rates are good for Chantilly area home buyers. Low rates plus low prices has led home affordability to an all-time high. As you’ll hear in this 4-minute interview with NBC’s The Today Show, carrying a mortgage now costs about 25% less per month as compared to just 3 years ago.
A few other noteworthy points:
- There are more buyers out looking for homes today, which leads to more sales
- The housing market is expected to get gradually better, month-by-month, in 2012.
- There are still lots of foreclosures, but at least they are working their way through the system.
With low housing inventory, Northern Virginia buyers may find their best “deals” today — before the Spring Buying Season begins in February.
Of course, remember that each area has its own dynamics. Cities and neighborhoods have differences, and I am here to help you with the particulars of our area.
My team and I are always here for you. Let me know how I can help you!
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How Much Equity In Home Improvement Projects?
November 29th, 2011 categories: Buyer Strategies, Seller Strategies
Consumers are doing lots of home improvement projects with about $110 billion in total volume this quarter.
Overall, these projects are not creating a lot of added home equity value. You may still have great reasons to do a project, but it does not hurt to look at these stats before doing so.
Remodeling Magazine reports in their Cost vs Value Report 2011-2012, that for each home improvement dollar spent in 2012, homeowners can expect to recoup just 58 cents in home equity.
This is way down from 2005, when the cost-to-value ratio was 87 percent.
It pays to consider which projects will help your home equity.
Remodeling Magazine’s “Mid-Range Project” list :
- Steel Entry Door Replacement : Cost, $1,238; Recoup, 73.0%
- Attic Bedroom : Cost, $50,184; Recoup, 72.5%
- Minor Kitchen Remodel : Cost, $19,588; Recoup, 72.1%
- Garage Door Replacement : Cost, $1,512; Recoup, 71.9%
- Wood Deck Addition : Cost, $10,350; Recoup 70.1%
Projects which have a relatively low cost-to-value ratio include the following. Consider them if they have a high personal value, but not necessarily for their home equity value:
- Home Office Remodel : Cost, $27,963; Recoup, 42.9%
- Sunroom Addition : Cost, $34,133; Recoup, 45.9%
- Backup Power Generator : Cost, $14,760; Recoup, 47.5%
- Bathroom Addition : Cost, $140,096512; Recoup, 51.0%
- Fiberglass Entry Door Replacement : Cost, $3,536; Recoup 56.3%
Projects that include the replacement of doors, siding and windows occupy the list’s first 6 slots in the cost-to-value ratio.
As always, if you live in the Northern Virginia area or are planning a move to this area, we are here to help you learn what is available in both the new and resale home market. Let us know how we can help!
You can see the complete Cost vs Value report online.
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HARP Guidelines: An Update On Eligibility Requirements
November 19th, 2011 categories: Buyer Strategies, Mortgage & Finance, Seller Strategies
Further info on the HARP program guidelines.
You may benefit from checking out this program.
Tuesday, Fannie Mae and Freddie Mac communicated new lender instructions for the government’s revamped HARP program. This may trigger loads of refinancing activity, so The Kathy O’Neal Team wanted to share this information.
You may already know that HARP stands for Home Affordable Refinance Program. The new changes are intended to give “underwater homeowners” an opportunity to refinance at today’s low mortgage rates.
Since the program’s launch two years ago, it has helped fewer than 900,000 homeowners.
The new and improved version may reach many more. We’ll see.
There are 4 primary criteria to apply for HARP:
- The existing mortgage must be guaranteed by Fannie Mae or by Freddie Mac
- The existing mortgage must have been securitized by Fannie Mae or Freddie Mac prior to June 1, 2009
- The mortgage payment history must be perfect going back 6 months
- The mortgage payment history may not include more than one 30-day late payment going back 12 months
For HARP applicants, loan-level pricing adjustments are waived in full for loans with terms of 20 years or fewer; and maxed at 0.75 for loans with terms in excess of 20 years.
This should significantly lower mortgages rates for HARP applicants — especially those with credit scores below 740.
An additional benefit: HARP applicants are exempted from the standard waiting period following a bankruptcy or foreclosure, which is 4 years and 7 years, respectively.
These two benefits should greatly widen the net of potential HARP participants.
But there are a few provisions which exclude some potential applicants:
- The “unlimited LTV” feature only applies to fixed rate loans or 30 years or fewer. ARMs are capped at 105% loan-to-value.
- Applicants must be “requalified” if the proposed mortgage payment exceeds the current payment by 20%.
- Applicants must benefit from either a lower payment, or a “more stable” product to qualify
Remember also that HARP is a one time deal. It can’t be used twice.
Fannie Mae and Freddie Mac will have minor variations, so work with your loan officer on these eligibility standards.
And if you need help getting a good lender I can provide a few referrals, as well as help you in any aspect of your home buying or selling goals. Email or call us anytime! I also invite you to view our Testimonial Video.
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New HARP Program Guidelines
October 30th, 2011 categories: Buyer Strategies, Mortgage & Finance, Seller Strategies
Recently the Federal Home Finance Agency announced significant changes to its Home Affordable Refinance Program Monday. The HARP (Home Affordable Refinance Program) was initiated to help “underwater homeowners” get their home refinanced.
There are over a million homeowners nationwide – and many home owners here in Chantilly and the Northern Virginia area - who might be helped by these changes. Given the historically low interest rates, it is wise to know about this program.
There are four basic qualifying criteria:
- Your current home loan must be guaranteed by Fannie Mae or Freddie Mac
- Your home must be a 1- to 4-unit property
- You must have a perfect mortgage payment history going back 6 months
- You may not have had more than one 30-day late payment on your mortgage going back 12 months
One of really big features of the updated program is that the government is waiving loan-to-value requirements on HARP loans. Homeowners’ participation is no longer restricted by their home’s appraised value. Actually, the new HARP doesn’t even require an appraisal, in most situations.
Under the new HARP program guidelines, an underwater mortgages can be refinanced without LTV limit or penalty.
According to the government’s official press release, lenders are expected to be offering the program as of December 1, 2011.
If you want to check it out, start by seeing if your loan is backed by Freddie or Fannie. Here is where you can go for that:
- Fannie Mae loan lookup : http://www.fanniemae.com/loanlookup/
- Freddie Mac loan lookup : https://ww3.freddiemac.com/corporate/
You can also call your lender directly.
If being underwater is not an issue, but you are looking for a few reputable lending sources, of course, let me know and I will be glad to provide you with a few referrals.
If you are home buying or home selling in the Northern Virginia area, please know I am always here for you!
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Time to Refinance My Home?
October 18th, 2011 categories: Buyer Strategies, Mortgage & Finance, Seller Strategies
Many Chantilly and Northern Virginia home owners, like those elsewhere, have wondered about refinancing their home, given the amazingly low prevailing interest rates.
If this has been on your mind, take a few moments to view this Today Show video. Even though this was aired in September, I think you will most of the info current.
One of the key questions of course, is whether the costs of doing a refi outweigh the benefits.
Key points include :
- Lower rates mean higher costs. At least check out the slightly higher-rate option from your bank.
- Falling home values may make it harder to refinance in the future. Your window of opportunity may be now.
- If you have had a 30-year loan for many years, consider a 15-year mortgage to avoid “resetting” your term.
You will find lots of quality information in this short video.
If you need a quick reading on the current market value of your Northern Virginia home, or if you want a refeerral to a few quality loan officers, please let me know. We are always here for you!
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