Real Estate Information

In this article from the Cheryl Scott-Daniels: Your Home and Lifestyle magazine, landscaping expert Scott Cohen offers practical tips on creating curb appeal for your home:

Creating Curb Appeal

Due to long days and warm weather, many people choose to take on home remodeling projects during the summer. As a member of the Top 5 in Real Estate Network®, I have years of experience and understand how taking on a remodeling project is beneficial to you, both now and then later down the road should you choose to sell.

The following are some suggested project and tips—both large and small—for homeowners looking to spruce their homes up this summer.

Patios and Decks

Decks and patios are among the most popular summer remodeling ideas. There are various factors to take into consideration when deciding on whether a patio or deck is the most appropriate project to undertake. Such factors include soil condition and consistency, site terrain, use, capacity and privacy, as well as the cost and maintenance you are willing to put up with.

Home Maintenance
Throughout the seasons, your home has taken good care of you and your family and now is the best time to give back.

With a checklist in hand, go through your property to evaluate areas that need mending or replacement. This list will prove very helpful when contacting a contractor or handyman for maintenance/repair services. Some common maintenance and repair include:

• Waterproofing the basement
• Re-caulking and replacing weather-striping
• Cleaning and sealing wooden decks
• Trimming bushes and trees
• Realigning downspouts and gutters
• Repairing the roof
• Cleaning the pool
• Mending the fence
• Maintenance of HVAC systems

Energy-Efficient Renovation
An energy-efficient summer remodel is a worthwhile endeavor as it will result in years of savings on your energy bills. Some of the common items you can buy and integrate into your energy-efficient renovation include:

• Insulation systems and materials
• Roofs that resist heat gain
• Biomass-burning stoves
• Energy-efficient windows
• HVAC systems with the highest efficiency tier
• Solar panels
• Fuel cells
• Geothermal heat pumps
• Wind energy systems

Taking on one (or more!) of these projects is a great way to give back to your home this summer…and, in some cases, save you a bit of money in the long run, too!

With historically low interest rates and the idea that prices may start to creep back up, more and more renters are weighing the option of buying versus renting. I can confidently tell you that now is a very opportune time to purchase your first home!

According to my colleagues in the Top 5 in Real Estate Network®, a national network of leading real estate agents, first-time home buyers across the country have taken advantage of today’s market conditions to go from renter to homeowner. That said, the ability to move into home ownership is very dependent upon the overall health of your finances. Buying a home not only takes having the necessary cash on hand for the deposit and closing costs, but also the financial resources to convince a bank to lend you 80% or more of the purchase price in the form of a long-term mortgage.

Here are some other important points to be aware of before embarking on a home purchase:

1. Know Your Credit Score. In today’s market especially, having good credit is very important. Take the time now to pull your own credit score so you know what you are up against. Contact me for direction on where to go and who to contact for your credit score.

2. Know What You Can Afford. The best place to start is with a pre-approval. Contact a mortgage broker to identify what you can afford and what price range you should target.

3. Check Your Cash Situation. Talk to a mortgage broker about the different loan options to identify the amount of cash on hand you will need to close. Whether you are aiming to put down 20% of the home’s price for a conventional loan, or 3% or more for a loan from Fannie Mae, Freddie Mac, FHA or the Department of Veteran’s Affairs, you will also need to cover fees and closing costs, which can run up to 5% of the mortgage amount.

4. Associated Costs. Remember that homeowners, unlike renters, must pay property taxes each year – and pay for any needed repairs or upgrades. Be sure to leave yourself a little financial wiggle room in order to meet these expected – and sometimes unexpected – expenses.

If you would like more information about preparing to buy a home, please call me. 

While much press coverage has been given to the recent first-time and move-up buyer tax credit, there are many time-sensitive factors that make the current climate an exceptional time to buy a home…even without the tax credit.
As a Member of the Top 5 in Real Estate Network®, I have seen many real estate markets come and go, and I know for a fact that the many outstanding opportunities that exist for home buyers today will not be around forever.

Besides mortgage interest rates that have been hovering at near-record lows, homes in many markets have become more affordable. Prices have moderated from the highs of the housing boom that occurred in most of the country, especially in major markets where they had increased significantly.

According to the National Association of Home Builders (NAHB), new construction homes are an especially wise investment for home buyers. New homes are generally built to be much more energy efficient than homes constructed a generation ago, making them more affordable to operate. Plus, new homes often incorporate open floor plans, flexible spaces, improved safety features and low-maintenance materials—making them well-suited for today’s modern families.

So, if you’re thinking about buying a home, please don’t count on interest rates or prices staying at current levels—I’ve seen them change unpredictably and quickly! Mortgage rates are sensitive to market conditions, and even a slight increase can push monthly payments beyond a family’s budget. As the country recovers from the recession and people stabilize their financial situations, NAHB economists expect that home prices will begin to increase by 2011.

For further advice on buying a home or market conditions, feel free to email me anytime. And be sure to pass this information on to friends and family who might also be considering a real estate purchase.

SUMMER IS HERE!

With summer officially upon us, many homeowners will be confronted with rising electric bills as fans and air conditioners kick into high gear in an effort to keep cool. Demand for electricity can also increase if you have house guests or children home for the summer.

As a member of the Top 5 in Real Estate Network®, I have access to lots of great ideas for planning ahead to control energy costs this summer. The following tips are from the experts at Public Service Electric and Gas Company (PSE&G):

• Use ceiling fans in the counter-clockwise direction to create a wind-chill effect, making you feel cooler. Also, whole-house fans that bring in cooler night-time air can pre-cool a house and reduce energy use in the daytime if heat is kept out by closing windows and shades.
• Install a programmable thermostat. If health conditions permit, raise the setting from 73 to 78 degrees. You can save 3-5% on your air conditioning costs for each degree you raise the thermostat.
• Close doors leading to uncooled parts of your home. If you have central air conditioning, close off vents to unused rooms and be sure to keep filters clean.
• Plant shade trees close to the house on the South and West sides.
• Seal holes and cracks around doors and windows. Eliminate air leaks between window air conditioners and windows with foam insulation or weather-stripping.
• Turn off power sources. TVs, computers and other electronic devices draw power when they are in standby mode or turned off but still plugged in. Plug electronics into power strips and turn off the power switch when the items are not in use.
• Switch to compact fluorescent light bulbs (CFLs), which use 75% less electricity and burn more coolly than incandescent bulbs. Keep in mind that CFLs are especially handy in hard-to-reach fixtures and won't need to be replaced for about five years.
• Use timers and motion detectors on indoor and outdoor lighting.
• Delay heat-producing tasks such as laundry until later in the day. Wash full loads, using cold water whenever possible.
• Run the dishwasher at night, using the shortest cycle that will get the dishes clean. If manufacturers' directions permit, turn the dishwasher off before the dry cycle or use the air dry feature if your machine has one.
• Take short showers as they use less hot water than a bath.
• Replace old appliances with new energy efficient Energy Star appliances.
• Unplug the extra refrigerator in your garage or basement and use it only when necessary. Refrigerators that are only 10 years old can use twice as much electricity as new Energy Star labeled models.

As you know, buying or selling a house is one of the biggest financial decisions most people will ever make. Getting the best bargain in the purchase or making the most profit on the sale give buyers and sellers so much to think about that many may never stop to consider keeping that old house – or buying another – as an income-generating property. But the rewards, in savings, profits and problem-solving, can be high.

One option for buyers who otherwise might consider home prices beyond their reach is the property that pays for itself: a house you live in part of and rent the rest of. This offers not only an obvious balance of cost and income, but perhaps lesser-known benefits in taxes and mortgage. The rental units can be depreciated over time; considered to offset the rental income, this can lower your taxes on that income. At the same time, the rent's addition to your finances helps you qualify for a larger mortgage. Of course you'll want to decide if the demands of being a live-in landlord are for you (and find out if rent-control laws in your area might limit the return on your investment).

If being an offsite landlord is more appealing, you could always keep your current home as a rental after you move into the new one. Your long-tern familiarity with the home's features and condition could lend a certain confidence both to yourself and your potential tenants. As with any investment property, you'll first want to calculate whether the rental income will cover the current expenses. Of course being a long-distance landlord has its headaches too, so you have to enjoy the challenge and be ready to meet the needs.

Owning an income-generating property is not for everyone, but – from younger buyers offsetting their purchase costs, to seniors easing the expenses of their retirement years – it can be for all kinds of people. I would be happy to talk to you about whether or not a rental property would be double trouble or two times the success.

On the Greater Fairfield County Multiple Listing System, the number of Single family homes sold versus the same time period in 2009 are higher and the median selling price is higher as well. 

There are currently 8,155 active single family homes on the Greater Fairfield County Consolidated Multiple Listing System. So far this year, there have been 2,006 single family closed sales.  This represents a unit sales increase of 31% vs. the first four months of 2009. The median selling price was $375,000, which is an over-all increase of 8% vs. those that sold during the first four months of 2009.

There are currently 799 active single family homes on the market over $2MM and 390 of those are over $3MM. In the first four months of 2010 there were 66 closed sales over $2MM versus only 33 closed sales over $2MM during the same time frame last year. That is a 100% increase in sales in that price range.

There are 1,433 single family homes with fully executed contracts waiting to close.  The median list price of those homes is $435,000. There are 666 properties with accepted offers.  The median list price of those with accepted offers is $459,900. This means that the list price of the most recent properties to get accepted offers is continuing to increase.  If this price continues to track up, it would appear as though the median selling price is stabilizing and there is more activity in the higher price ranges.

Email me for Market Statistics Specific to your town and Property.

Single family homes in Fairfield County during the first 3 months of 2010 showed both unit sales improvements and an increase in the median selling price over the same time period in 2009.

There are currently 7,997 active single family homes on the Greater Fairfield County Consolidated Multiple Listing System. So far this year, there have been 1,396 single family closed sales.  This represents a unit sales increase of 28% vs. the first three months of 2009. The median selling price of single family homes on the Consolidated Multiple Listing System this year was $373,500 which is an over-all increase of 12% vs. those that sold during the first three months of 2009.

There are currently 739 active single family homes on the market over $2MM and 377 of those are over $3MM. In the first three months of 2010 there were 47 closed sales over $2MM versus only 34 closed sales over $2MM during the same time frame last year. That is a 38% increase in sales in that price range.

There are 1,187 single family homes with fully executed contracts waiting to close.  The median list price of those homes is $399,000. There are 806 properties with accepted offers.  The median list price of those with accepted offers is $424,000. This means that the list price of the most recent properties to get accepted offers is continuing to increase.  If this price continues to track up, it would appear as though the median selling price is stabilizing and will be either flat or slightly higher during the second quarter of 2010 vs. the median selling price during 2009.

Contact me for market statistics specific to your town and neighborhood as they may vary greatly from town to town and even neighborhood to neighborhood.

We have seen positive market activity over the past few months. In Fairfield County Single family homes, we experienced an increase in both median sales price and unit sales in January and February 2010 vs. 2009.  This is a continued indication of stabilization of the Single Family home market in Fairfield County.

There are currently 7,183 active single family homes on the Greater Fairfield county Consolidated Multiple Listing System. So far this year, there have been 809 single family closed sales.  This represents a unit sales increase of 30% vs. the first two months of 2009. The median selling price in 2010 was $370,000 which represents a 10% increase vs. the first two months of 2009.

The number of units sold over $2MM nearly doubled and the number of sales over $3MM tripled! There are currently 670 homes on the market over $2MM and 345 over $3MM. As you can see, the inventory is still substantial.

There are 1,011 single family homes with fully executed contracts waiting to close.  The median list price of those homes is $369,000.  There are 641 properties with accepted offers.  The median list price of those with accepted offers is $409,000, higher than the list price of those homes with fully executed contracts. These are important numbers, which I report each month, because they help us to project the trend in the current sales price during the upcoming months. In this case it looks as though the median sales price is stabilizing and will be either flat or slightly higher during the first few months of 2010 vs. the median sales price during 2009.

Contact me for the market statistics specific to your town and neighborhood as they may vary greatly from town to town and even neighborhood to neighborhood.

The Connecticut Association of REALTORS®, Inc. held its 26th Annual REALTORS® at the Capitol event on March 24, 2010.

I joined over 600 REALTORS® at the Capitol and met with State Senators and Representatives to let them know our views on the issues that affect home ownership.