Tuesday, June 09, 2009
Wednesday, May 13, 2009
iPhone Real Estate Search App Available!
Bring the power of First Weber Realtors real estate home search to your iPhone or iPod Touch!
Results include distance from your search location, price, beds and baths.
Review a property detail sheet and visit the same property on www.firstweber.com to view additional media. 
Quickly find homes throughout Wisconsin. Filter by distance and price range.
Results include distance from your search location, price, beds and baths.
Review a property detail sheet and visit the same property on www.firstweber.com to view additional media.
Get the iPhone application HERE free!If you don't have an iPhone, but would like a wireless application for another web-cable cell phone or laptop, you can get it here at BestMilwaukeeHomes.com!
2009 Tax Credit can be used for FHA downpayment!
Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development, on Tuesday said that the Federal Housing Administration is going to permit its lenders to allow home buyers to use the $8,000 tax credit as a down payment.Previously, most buyers wouldn't receive the funds until after they filed their tax return, and that deterred some people from using the credit. The NATIONAL ASSOCIATION OF REALTORS® has been calling for the change.
Read more
Read more
Fix Up Foreclosures, or else!
Nightline did a report on a California city that has passed an ordinance requiring banks to maintain their foreclosed properties, which helps keep home values up in the area. This is something that all cities should pass - including Milwaukee!
Look, they can pass laws requiring tv stations broadcasting in digital (really, who passed this law and why???) so let's do something REALLY important and help stop neighborhoods from wasting away!
See Nightline Video
Look, they can pass laws requiring tv stations broadcasting in digital (really, who passed this law and why???) so let's do something REALLY important and help stop neighborhoods from wasting away!
See Nightline Video
Monday, May 11, 2009
Are Banks Making Short Sales a Long Process?
A timely article from RisMedia. Look for my notes on Milwaukee County short sale and foreclosure numbers....
RISMEDIA, May 11, 2009-(MCT)-
Short sales are making up a larger percentage of distressed home listings in several of the more harder hit markets around the country, such as Las Vegas, for example. And local real estate agents there say banks continue to drag their feet on approval. Although short-sale listings, or homes offered for less than the mortgage owed, have climbed steadily since January, short-sale closings declined to 7 percent of all resales in March from about 10 percent in August, Frank Nason of Residential Resources said.
During that same time, foreclosures increased to 80 percent of all sales from 70 percent.
The median price of a short sale in the first quarter was $184,250, compared with $139,900 for a foreclosure, Nason reported. On a per-square-foot basis, short-sale prices were 18.4 percent higher than foreclosures.
Kristin's Note: There were approx. 24 short sales, in Milwaukee County, in the first quarter at a median sale price of $134,300 vs. 119 foreclosure sales at a median price of $39,900. *
“Why aren’t the banks and the Feds trying to expedite and enhance the number of successful short-sale transactions instead of losing more than one-fifth the value of the property?” Nason asked. “That’s not even taking into account the continued financial beating they take while the foreclosure process transpires.”
There were 246 short sales completed in Las Vegas in April, a 27.5 percent increase from the previous month, Rob Jenson of The Jenson Group reported. Short sales on the market increased 4.3 percent to 8,119 units.
Kristin's Note: There were approx. 13 single family short sales closed in Milwaukee County in April, an increase from 10 in March. There are currently about 247 single family properties listed as possible short sales on MLS, in Milwaukee County.
Distress sales, which include foreclosures and short sales, accounted for 86 percent of all sales in April and has been in the 80 percent to 90 percent range for the last seven months, Jenson said.
Kristin's Note: Distressed sales (those listed in MLS comments as foreclosure or short sale) only made up about 14% of single family propertiessolds in Milwaukee County in the first quarter.
Nason said he usually encounters mass confusion and exhaustive delays at a bank’s loss-mitigation department. Most real estate agents generally avoid short sales because of the “brain damage” sustained from dealing with financial institutions, he said. “More often than not, the transaction falls apart because of the extremely long period of time it takes to get any meaningful response from these institutions,” Nason said. “Or they decide to change the agreed-upon terms at the last minute.” Read Article
*Kristin's Note: It's difficult to seperate short sales and foreclosures from regular listings in the Metro Milwaukee MLS. The only way is to search by keyword. If the listing agent didn't use "short sale" or "foreclosure" in the remarks, the property would not be included in these numbers. So, the amounts used are approxomite, but deemed to be pretty close to accurate.
RISMEDIA, May 11, 2009-(MCT)-
Short sales are making up a larger percentage of distressed home listings in several of the more harder hit markets around the country, such as Las Vegas, for example. And local real estate agents there say banks continue to drag their feet on approval. Although short-sale listings, or homes offered for less than the mortgage owed, have climbed steadily since January, short-sale closings declined to 7 percent of all resales in March from about 10 percent in August, Frank Nason of Residential Resources said.
During that same time, foreclosures increased to 80 percent of all sales from 70 percent.
The median price of a short sale in the first quarter was $184,250, compared with $139,900 for a foreclosure, Nason reported. On a per-square-foot basis, short-sale prices were 18.4 percent higher than foreclosures.
Kristin's Note: There were approx. 24 short sales, in Milwaukee County, in the first quarter at a median sale price of $134,300 vs. 119 foreclosure sales at a median price of $39,900. *
“Why aren’t the banks and the Feds trying to expedite and enhance the number of successful short-sale transactions instead of losing more than one-fifth the value of the property?” Nason asked. “That’s not even taking into account the continued financial beating they take while the foreclosure process transpires.”
There were 246 short sales completed in Las Vegas in April, a 27.5 percent increase from the previous month, Rob Jenson of The Jenson Group reported. Short sales on the market increased 4.3 percent to 8,119 units.
Kristin's Note: There were approx. 13 single family short sales closed in Milwaukee County in April, an increase from 10 in March. There are currently about 247 single family properties listed as possible short sales on MLS, in Milwaukee County.
Distress sales, which include foreclosures and short sales, accounted for 86 percent of all sales in April and has been in the 80 percent to 90 percent range for the last seven months, Jenson said.
Kristin's Note: Distressed sales (those listed in MLS comments as foreclosure or short sale) only made up about 14% of single family propertiessolds in Milwaukee County in the first quarter.
Nason said he usually encounters mass confusion and exhaustive delays at a bank’s loss-mitigation department. Most real estate agents generally avoid short sales because of the “brain damage” sustained from dealing with financial institutions, he said. “More often than not, the transaction falls apart because of the extremely long period of time it takes to get any meaningful response from these institutions,” Nason said. “Or they decide to change the agreed-upon terms at the last minute.” Read Article
*Kristin's Note: It's difficult to seperate short sales and foreclosures from regular listings in the Metro Milwaukee MLS. The only way is to search by keyword. If the listing agent didn't use "short sale" or "foreclosure" in the remarks, the property would not be included in these numbers. So, the amounts used are approxomite, but deemed to be pretty close to accurate.
Monday, May 04, 2009
State foreclosure filings fell 5% in April
By Paul Gores of the Journal Sentinel
New foreclosure filings in Wisconsin fell 5% in April from the previous month, and dropped about 10% in the southeastern part of the state.
But professionals who track foreclosures said Monday not to read too much into the decline. Although many of the subprime and riskier mortgages already are in the foreclosure process, filings will continue to pile up as the poor economy leads to more job losses for people with standard mortgages, they said.
"Now the foreclosures are happening because of economics - people losing their jobs," said Philip Crawford, founder of ForeclosureAlarm.com.
Russell Kashian, a University of Wisconsin-Whitewater economics professor who is monitoring foreclosures in the state, said the more important number to watch for April is the national jobless figure, which is set to be released by the U.S. Labor Department on Friday....READ MORE
New foreclosure filings in Wisconsin fell 5% in April from the previous month, and dropped about 10% in the southeastern part of the state.
But professionals who track foreclosures said Monday not to read too much into the decline. Although many of the subprime and riskier mortgages already are in the foreclosure process, filings will continue to pile up as the poor economy leads to more job losses for people with standard mortgages, they said.
"Now the foreclosures are happening because of economics - people losing their jobs," said Philip Crawford, founder of ForeclosureAlarm.com.
Russell Kashian, a University of Wisconsin-Whitewater economics professor who is monitoring foreclosures in the state, said the more important number to watch for April is the national jobless figure, which is set to be released by the U.S. Labor Department on Friday....READ MORE
Saturday, April 11, 2009
Home Pre-Inspections
Home Inspections Not Just For Buyers
One of the toughest discussions I have with seller clients is over pre-inspections. They often just don't see the point of doing something that the buyer traditionally pays for anyhow.
I recently had this discussion with a client and was unable to convince him that it would be to his benefit. His argument was, "None of the people I talked to had a pre-inspection...I don't see the point of spending $400." My statement back was, "Sure, they didn't have one. Not all agents know to recommend them. But did you also ask them how they felt while waiting for the inspection contingency to pass or if they ended up re-negotiating the price or paying too much for repairs the buyer wanted?"
Sure enough, we had two big surprises on their inspection and now the buyer is nervous and the seller is possibly facing big repair bills. All stuff that would have been good to know before even going into negotiations.
Here are the benefits of sellers having a pre-inspection:
1) Get It Fixed On Your Terms
Knowing about problems ahead of time allows the seller to either price the house accordingly for needed repairs or to fix them ahead of time. If the buyer discovers the repairs during negotiations, THEY now have the power to negotiate how it gets fixed. Typically, buyer and seller both get bids (try doing that on short notice) and the average of the bids gets credited to the buyer off of the purchase price. Or the seller must rush to get it fixed before closing.
Knowing these problems ahead of time, the seller has time to research and get reasonable bids, save money and by having it fixed ahead of time, it becomes a NON-ISSUE to the buyer.
2) Removes Anxiety & Stress
Ask any recent seller about the home inspection period and they'll tell you that it is a nerve-racking experience waiting to hear what the inspector finds. If you've already had the inspection for yourself, you know that there will be no surprises. Quite a few times, I've provided a good home pre-inspection to the buyer and they didn't even bother with their own inspection!
3) Confidence in Negotiations
Often sellers want to keep a "buffer" in their price, "Just in case something comes up in the inspection." They worry that if they accept a lower offer, the buyer will still try to get even more money out of them after the inspection. This limits their negotiations and could risk losing a buyer over a couple thousand dollars.
Knowing exactly what to expect from the inspection gives more freedom to negotiate the offer. The buyer may think they'll get more off the inspection, but the seller already knows that isn't going to happen!
It also removes the buyer's inclination to randomly make a lower offer, assuming that there will be issues with the home inspection. Confidence in the condition of the property, because they have a copy of a recent inspection, can bring in higher offers.
4) Legal Protection
The best thing for a seller to do is to disclose EVERYTHING about their property, to avoid litigation for non-disclosure, down the line. If you provide a copy of the inspection to the buyer and disclose those defects on the Sellers real Estate Condition Report, a buyer certainly would have no case for non-disclosure - a seller wouldn't be expected to have more knowledge of home construction than a professional home inspector.
The $300 - 400 it costs for a pre-inspection could save you THOUSANDS of dollars in higher offers and buyer renegotiation. It's definitely worth the investment!
One of the toughest discussions I have with seller clients is over pre-inspections. They often just don't see the point of doing something that the buyer traditionally pays for anyhow.
I recently had this discussion with a client and was unable to convince him that it would be to his benefit. His argument was, "None of the people I talked to had a pre-inspection...I don't see the point of spending $400." My statement back was, "Sure, they didn't have one. Not all agents know to recommend them. But did you also ask them how they felt while waiting for the inspection contingency to pass or if they ended up re-negotiating the price or paying too much for repairs the buyer wanted?"Sure enough, we had two big surprises on their inspection and now the buyer is nervous and the seller is possibly facing big repair bills. All stuff that would have been good to know before even going into negotiations.
Here are the benefits of sellers having a pre-inspection:
1) Get It Fixed On Your Terms
Knowing about problems ahead of time allows the seller to either price the house accordingly for needed repairs or to fix them ahead of time. If the buyer discovers the repairs during negotiations, THEY now have the power to negotiate how it gets fixed. Typically, buyer and seller both get bids (try doing that on short notice) and the average of the bids gets credited to the buyer off of the purchase price. Or the seller must rush to get it fixed before closing.
Knowing these problems ahead of time, the seller has time to research and get reasonable bids, save money and by having it fixed ahead of time, it becomes a NON-ISSUE to the buyer.
2) Removes Anxiety & Stress
Ask any recent seller about the home inspection period and they'll tell you that it is a nerve-racking experience waiting to hear what the inspector finds. If you've already had the inspection for yourself, you know that there will be no surprises. Quite a few times, I've provided a good home pre-inspection to the buyer and they didn't even bother with their own inspection!
3) Confidence in Negotiations
Often sellers want to keep a "buffer" in their price, "Just in case something comes up in the inspection." They worry that if they accept a lower offer, the buyer will still try to get even more money out of them after the inspection. This limits their negotiations and could risk losing a buyer over a couple thousand dollars.
Knowing exactly what to expect from the inspection gives more freedom to negotiate the offer. The buyer may think they'll get more off the inspection, but the seller already knows that isn't going to happen!
It also removes the buyer's inclination to randomly make a lower offer, assuming that there will be issues with the home inspection. Confidence in the condition of the property, because they have a copy of a recent inspection, can bring in higher offers.
4) Legal Protection
The best thing for a seller to do is to disclose EVERYTHING about their property, to avoid litigation for non-disclosure, down the line. If you provide a copy of the inspection to the buyer and disclose those defects on the Sellers real Estate Condition Report, a buyer certainly would have no case for non-disclosure - a seller wouldn't be expected to have more knowledge of home construction than a professional home inspector.
The $300 - 400 it costs for a pre-inspection could save you THOUSANDS of dollars in higher offers and buyer renegotiation. It's definitely worth the investment!
Thursday, April 09, 2009
Sign of the times?
Recent Sale Shows That Buyers Are Out There Last week I listed 822 E. Pioneer Rd in Grafton. The seller had purchased the home through me 8 years ago and had done a LOT of renovations. His wife had put a modern touch into the decor and it showed like a new home.
Still, it is a bit off the beaten path, so some families wouldn't like the location. And it is on the small side - with a mound system and private well - all things which could affect buyer interest. But it is on 1.24 acres and is move in ready.
We did a little staging/decluttering and updated some paint colors - most importantly the brown exterior to light khaki - and priced it "right," ie. a little less than the competition, so it wouldn't sit on the market too long. (The seller is transferring to Colorado.) I took over two dozen beautiful photos and video, created a floor plan and uploaded it to the web.
We did a little staging/decluttering and updated some paint colors - most importantly the brown exterior to light khaki - and priced it "right," ie. a little less than the competition, so it wouldn't sit on the market too long. (The seller is transferring to Colorado.) I took over two dozen beautiful photos and video, created a floor plan and uploaded it to the web.
Within a day I knew we had priced it right (and agents said their buyers were also drawn by the gorgeous photos I took) because 15 showings were scheduled through the weekend! By the end of day two, we had 3 offers on the table. By the next day, another had arrived. I hadn't seen a flurry of offers like this (on a non-foreclosure) in a couple of years! (Although, my well-staged listing on 78th got competing offers within a week or so, too.)
I began to wonder if we hadn't UNDER-priced it! I even went back to the MLS and checked recent sales to see if there was anything I had missed and to make sure it would appraise for the price it actually sold for. Nope, the comps said $210k - $220k and we priced it at the $210k to be competitive. (It also doesn't hurt when the seller has equity available to price it right.)
Then I remembered that it's pretty hard to underprice a house - the market will always bring it to where it should sell. Sometimes a house will sell for more if you price it a little lower, but if you had started at THAT price, it wouldn't have recieved so many offers and may actually have sold for LESS. (I know, that's confusing!) And of the 15 showings, not all wrote offers and two even gave feedback that the house was priced above market value. The buyers - a young, engaged couple - had been looking for the perfect house and lot for months and this was it for them. So, it was simply priced RIGHT - especially since it's a first-time buyer house and those buyers are out in droves right now!
So, it was a matter of the sun, moon and stars all aligning themselves perfectly - with a little staging, photgraphy skill, updating, decorating, pricing and luck to help! But it shows that doing the right things when selling your home make all the difference in the world and buyers ARE out there willing to pay- so listen to what your real estate consultant advises - and remember: it's almost impossible to underprice a house!
Then I remembered that it's pretty hard to underprice a house - the market will always bring it to where it should sell. Sometimes a house will sell for more if you price it a little lower, but if you had started at THAT price, it wouldn't have recieved so many offers and may actually have sold for LESS. (I know, that's confusing!) And of the 15 showings, not all wrote offers and two even gave feedback that the house was priced above market value. The buyers - a young, engaged couple - had been looking for the perfect house and lot for months and this was it for them. So, it was simply priced RIGHT - especially since it's a first-time buyer house and those buyers are out in droves right now!
So, it was a matter of the sun, moon and stars all aligning themselves perfectly - with a little staging, photgraphy skill, updating, decorating, pricing and luck to help! But it shows that doing the right things when selling your home make all the difference in the world and buyers ARE out there willing to pay- so listen to what your real estate consultant advises - and remember: it's almost impossible to underprice a house!
Friday, April 03, 2009
Good News for Milwaukee Housing Market
A Rador Logic report published today, showed Milwaukee’s housing market resiliency in sales prices.
According to the report, "Year-over-year price dynamics improved in Milwaukee, St. Louis and Sacramento. In Milwaukee, where the housing market has performed relatively well throughout the housing crisis, home prices increased 1% from January 2008 to January 2009.”
Housing transactions in hardest hit parts of the country, such as Arizona and California, are starting to increase by double digits, which could also lead to stabilization in other parts of the country in the near future, according to the report.
The report also stated that, “On a year-over-year basis, the decline in home sales slowed in January, indicating significant demand for homes at “motivated” prices. Total home sales across all 25 metropolitan statistical areas (MSAs) tracked by Radar Logic declined 6% from January 2008 to January 2009, versus 36% from January 2007 to January 2008. Eight of the 25 MSAs displayed an increase in transaction counts compared to January 2008, and 12 more MSAs saw transaction counts decrease less in the year ending January 2009 than in the prior year.”
According to the report, "Year-over-year price dynamics improved in Milwaukee, St. Louis and Sacramento. In Milwaukee, where the housing market has performed relatively well throughout the housing crisis, home prices increased 1% from January 2008 to January 2009.”
Housing transactions in hardest hit parts of the country, such as Arizona and California, are starting to increase by double digits, which could also lead to stabilization in other parts of the country in the near future, according to the report.
The report also stated that, “On a year-over-year basis, the decline in home sales slowed in January, indicating significant demand for homes at “motivated” prices. Total home sales across all 25 metropolitan statistical areas (MSAs) tracked by Radar Logic declined 6% from January 2008 to January 2009, versus 36% from January 2007 to January 2008. Eight of the 25 MSAs displayed an increase in transaction counts compared to January 2008, and 12 more MSAs saw transaction counts decrease less in the year ending January 2009 than in the prior year.”
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