It's All About Attitude

With all the media attention the housing market has been receiving it's no wonder
buyers are thinking that this is a rotten time to buy a house.
The truth is that drama sells advertising and newspapers and it gets attention all over.
I for one am sick to death of all the negative attention. Let's be realistic.
Some of what you are hearing and reading is true. However, the truth of the matter is that there are some really great buys in the market today. Interest rates are
hanging lower than they have been for a long time and Sellers are willing to
negotiate their asking prices. No matter what happens people will still have a need to buy or sell. The difference now is that you Buyers have the upper hand.
Don't be swayed by some reporter who says the market is terrible - check it out for yourself. It takes a while to search out the market, to get pre-approved and to
feel comfortable that the offer you may choose to make on any given house is a fair and equitable offer for you and your situation. You only learn to do this by
getting out there. When the right house comes up you'll KNOW because you did your homework. If you have a negative attitude you may never get into a house of your own.
Questions? Just write or call us anytime.

Market Realism

Economic downturns provide ample opportunities to make money.
Remember - Most Sellers are also Buyers. If you sell at a discounted
price and you have purchased from the mid 1990's through 2005 your
home possibly appreciated up to as much as 80%. So now you have to take a
discounted price of 10 to 20%, you still made a nice profit.
When you go to purchase another home you have the advantage of a buyers market,
which means that there are many homes and few buyers. Your purchase price
will be discounted at the same 10 to 20%, possibly more with a highly motivated
seller. The interest rates are as low as 5.50% this week also.

However, if you decided to do a home equity loan to purchase a vehicle,
pay off credti cards or do remodeling, then you may have a situation
where you would need to bring cash to closing. If you don't need to sell
and you find yourself in this situation I'd suggest you wait until the market
changes. However, it may be a good time to refinance if you are in an adjustable
rate or interest only mortgage plan. Interest rates are favorable so check it out.
We have some favorite lenders that we recommend because we know they will not
take advantage of your situation. Call us for their names and telephone numbers.

We are anticipating that we will work even harder this year, but remember
there are always people who must sell and must buy. The real estate market is
not dead!!!!

January Updates

If you've kept up with the news lately the only thing you seem to hear is that the real estate market is really depressed (bad). I would agree that some of the things you read or hear are true but most are exaggerated to sell newspapers and to capture a listeners attention. It should be no surprise that the market would level off at some point, The surprise is that no one (no one) predicted that there would be a downturn that affected so many people. The economists are not always right either.
This is my prediction - Now the economists are saying that 2008 will be another
poor year, with foreclosures up, inventory high and new construction in the tank.
Well, I already see rumblings that this could be a better year. First of all, Buyers are more aware that there are bargains out there. They also realize that the interest rates have come down (5.85%) if you have a good credit rating.
Sellers who need to sell will always be with us. Either they are forced to sell or they simply choose to sell in this market. Retirement, Downsizing, Relocation etc. are all reasons someone may choose to sell. These people will not go away and are now more aware of the new pricing needed to sell their home. Simply put if we have a willing buyer and a willing seller we will put the transaction together. So, don't hesitate to check this market out at the very least.

Thanksgiving

We hope you all had a wonderful Thanksgiving. We sure did. It seems the older I get the more thankful I am to have such a wonderful family and friends. Almost 15 years ago while I was in high school (yikes) we were fortunate enough to host an exchange student from Heuhuetenango, Guatemala, not realizing at the time how precious this friendship would become. It was a leap of faith, I had met Grethel in one of my classes and heard that she needed a new host family for the next couple months. I went home and just happened to mention this to mom and she was in. What an awesome coincidence. Over the years we have kept in touch some years more than others. Grethel and I were 16 and 18 at the time and in high school, now with 2 children of our own we once again have re-connected. We were fortunate enough to get together this Thanksgiving as her entire family has come to visit. It is truly amazing that we can go so long and pick up right where we left off. They are absolutely amazing people and we are so blessed to have them in ours lives. We hope that your family is just as fortunate as we are to have such special people in your lives.

Sincerely,
- Kari

Some Statistics

Slow Market?

Since January 1st, 2007
323 Homes were SOLD in School District 200
23 Homes are Pending ( To Be Closed)

Single Family = 201
Townhomes = 122

Price Range Homes Sold In Hastings in 2007 (School District 200)

$0-200,000 Range = 56 Single Family
$0-200,000 Range = 100 Town homes

$201,000-250,000 = 63 Single Family
$201,000-250,000 = 12 Town homes

$251,000-300,000 = 33 Single Family
$251,000-300,000 = 7 Town homes

$301,000-350,000 = 10 Single Family
$301,000 + = 3 Town homes

$351,000-400,000 = 13 Single Family
$401,000+ = 27 Single Family

We have a total of 23 properties Pending ( Sold but Not Closed)

The Past 5 years SOLD properties in School District 200 (Hastings)
2006 = 359 Homes for the year ending 12/31/2006
2005 = 479 Homes for the year ending 12/31/2005
2004 = 471 Homes for the year ending 12/31/2004
2003 = 404 Homes for the year ending 12/31/2003
2002 = 354 Homes for the year ending 12/31/2002

It appears that the market has dropped off to where it was just 3 or 4 years ago. Is that so bad?

3 and 4 years ago Buyers were standing in line to purchase a home
Today Sellers are standing in line to sell a home.
Buyers have pulled away from the market in fear that they may be paying too much for a
home and may have a difficult time selling in the event that they would need to do so.

Not to worry, the market WILL swing your direction in the near future.
INTEREST RATES HAVE REMAINED AROUND 6% - 0 DOWN LOANS
ARE STILL AVAILABLE. SELLERS CAN PAY CLOSING COSTS FOR BUYERS.

We know that in the previous 10 years homes had appreciated far too quickly.
The market is just leveling out and 5 years form now when we do the
statistics for the past 50 years you’ll see the average being exactly as they had been
for the previous 40 years.

For now, there are bargains in the marketplace. Foreclosures are abundant and some
Sellers need to sell and have priced their homes accordingly. Take advantage of the present
situation (it will be short lived) and get yourself out into the market to check things out.

November

The weather sure is saying Winter - I'm not ready

Just in case you haven't heard the school levy did not pass.

In the housing sector we are experiencing a bit of a slow down.
Although, Buyers are beginning to take a look at the many foreclosures out there and
are beginning to realize that there are bargains in this market place.
Interest rates are low (6% - 6.125%) It is my experience that when the weather turns colder,
less buyers are looking and interest rates decline. Go figure! It's all about supply and demand.
Too much inventory, hungry loan originators and willing sellers.
If you think you are going to buy in the near future it is time to get qualified by a
lender and check out the market.Be ready! That's my motto. The time to buy for you just may be sooner than you think.
Have a great day!

Halloween & the Interest Rates

Well we survived yet another cold and windy Halloween. We sure are feeling sorry for the teachers today with all the kids on a sugar low. That's not the only low that went on this week.
The fact that interest rates went down yesterday is a great sign for all buyers who have adjustable rate mortgages that are soon to be readjusted. Hopefully the mortgage rates will soon follow and be reduced a bit. So far this has not happened, Interest rates are hovering around 6.25%. FHA is looking at doing a zero down loan also. That should happen pretty soon, we'll keep you informed.

Hope you all had a great Halloween!
Take Care
-Mary and Kari