Priced to Sell and Show Well

The direction of pricing in our current market is no longer “priced right and looking food.”  Rather homes that are “priced to sell and show well” are compelling buyers to take action.

What I have seen a lot of in this ‘recessionary’ market is that buyers have become even more demanding than they ever were before.  They almost have an attitude of entitlement – like it is their turn to be the winners in negotiations.  They take it for granted that they are going to get a good buy and wait and they have no compunction about making low offers and standing firm.

The problem is that with all the choices and the many houses on the market these buyers are often successful with their posture, and if they are not it is not uncommon for them to wait on the sidelines for a better deal on the next one.  Sellers- do you want to wait for a better market or sell now in the market you have?  All homes for sale get “priced” in the marketplace, and the ones we see selling are priced at very compelling values.  Otherwise, there are many houses on the market that are waiting for something to change.  And the problem is that we have learned that change in this market has mostly been moving lower, not higher.

Value seems to be the primary focus of current buyers and can you blame them?  With the present fear in the financial market- everyone is acting more conservative with their investments. Property condition has become secondary to property value.  Perhaps this market has allowed buyers to seek more potential in their home’s condition rather than the appreciating value of the home.

December 31, 2009 · Filed Under Coaching for Buyers, Coaching for Sellers, First Time Home Buyers, How to Choose..., Market/Pricing Assessment, Pricing Your Home, Real Estate

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Back Inside the Bubble!

by Becky Jackson

First time home buyers are the action area these days, and I have had great fun working with a few of them.  This weekend I found myself writing an offer for a “FTHB” client and our offer was the 5th to be written!   It’s a cute bungalow in Southeast Portland, so naturally, it’s a popular property.  Fortunately, this client is well qualified, has a generous down-payment and a great job.  Her offer should be competitive with the best.

But it may not end with 5 offers.  The seller, a lending institution, has made it a policy to list the house for 10 days, collecting offers, before deciding on a buyer.  So we will be on pins and needles through another weekend before the client has her answer!

In this buyer niche it’s like 2005 all over again!

October 5, 2009 · Filed Under First Time Home Buyers, Real Estate Stories

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Update on First Time Home Buyer $8000 Tax Credit

2009 is the time to be a new home buyer!  The government is making a strong effort to boost the housing market and the presence of first time home buyers with this update on the tax credit.  Last year- the credit was worth $7500 and you had to pay it back each year in $500 increments- basically an interest free loan from the government for 15 years.

But as of January 1st, 2009- the credit was increased to $8000 and you no longer have to pay it back!  What a deal!  And just this week- the government will now give you the $8000 at closing to put towards your downpayment.  Therefore you could get away with little or no cash needed to purchase a home.

Here is an example of what it would look like to buy a $200,000 loan.  FHA requires a 3.5% downpayment right now so that’s $7000 on a $200,000 house.  Your closing costs might be around $6000 so the cash needed to close the loan would be around $5000.  And the tax benefit that you will receive by being a home owner is significant- you get to write off your interest, mortgage insurance and the property taxes that accompany your home payment.  You will likely come out ahead compared to renting.

Prices are low.  Interest rates are WAY low- 2009 is the time to buy your first home.  Our team is experienced and has help many new home buyers be successful in this market, so give us a call and we can detail your numerous options.

Call Sarah at 503-416-4178 or email at snorton@realtytrust.com

May 10, 2009 · Filed Under Coaching for Buyers, First Time Home Buyers

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Buy NOW First Time Home Buyers!

Although the headlines would lead you to believe that credit is no longer available for first time home buyers, the Jackson Group has helped a number of first time home buyers this past summer -  working though the challenges to reach a happy closing with each client.

There are misconceptions about the market these days, the first being that first-time home buyers no longer qualify for a loan. Au contraire!  This summer, we helped 4 first-time home buyers purchase their first home. Each buyer had a down payment and the sellers helped out with the closing costs. In the end, the buyers are enjoying pride of home ownership,  lower prices, low interest rates and a quality home in a desirable area. They are also going to benefit from a $7500 tax credit for 2008 for first time home buyers only. What a deal!

Our buyer clients found deals that were NOT foreclosures. Distressed properties are not always the best place to look for a deal.  Many individual sellers have the capacity to accept an offer lower than their asking price. The truth is, most sellers active in this market are aware of the new dynamic in prices and are willing to accept less for their home than they would have last year.

Our advice to buyers in this market is to get your finances in order- talk to a mortgage broker (and class us if you want a good referral) and learn what you can afford today.  See if the picture today makes a difference, and if so, buy now! Prices are low and interest rates are lower and there are many good homes on the market in Portland to choose for your own.

October 9, 2008 · Filed Under First Time Home Buyers

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