Archive for October, 2009

I just answered a question on Trulia Voices – a potential home buyer is wondering if she should meet the seller’s counter.  The property was listed for $350,000, they offered $310,000, got a counter for $335,000, responded with $317,000 and the seller has come back with $325,000.  I answered as follows: 

“How far is $325,000 from the comps? Part of your decision needs to include consideration of how much YOU like the property and how long you plan to live there. I think many buyers have lost sight of the fact that their purchase is that of a HOME primarily and an investment secondarily. This change in the market is not forever, we’ve had down markets before and real estate tends to come back every time. Historically appreciating between 5 and 6% per year. If the purchase price isn’t too far off from the comps, then I’d say that the difference between $317k and $325k is not significant enough for you to walk away from the what could be the home of your dreams! (now – if I was counseling the seller, I’d use the same tactic – to lose a deal over less than $10k in today’s market is plain nuts!). You can also put a clause in the contract that gives you an option to renegotiate or to walk away if the property doesn’t appraise for its purhcase price.”

In today’s market we are seeing all sorts of tough negotiations.  Even in an area with a low market absoprtion rate – where the numbers indicate a seller’s market – the buyers still have the upper hand and the seller really needs to rely on the negotiating skills of their agent to get them the best deal possible.  That seller also needs to understand that although the market may be improving, the property needs to appraise.  Bank appraisals are based on most recent closed sales – it still might be hard to get a higher appraisal, until there is more data to support the stronger numbers.

There have been lots of questions posed recently on Trulia Voices regarding list price vs sale price vs offer price.  I think that buyers need to recognize that offers aren’t necessarily relevant to list prices.  List prices are based on all sorts of things: what the seller “needs” to make their move, to cover their mortgage, to recoup their improvements, or whatever they think the value of their home is.  All of those things are very important to the potential seller, but have little if anything to do with the actual value of the property.  A listing agent’s fiduciary responsibililty is to provide a seller with all the information needed to set a realistic list price – that doesn’t always mean that the property is listed realistically.  Offers should be made based on the value of the property, not relative to the list price.

This goes both ways – sellers who are listed unrealistically need to understand what the market will bear. Feedback from buyers and agents will start to paint the picture, and, if they are lucky enough to get an offer the appraisal will provide the final check and balance.  Buyers who are looking for a deal also have to understand that if a property is priced fairly (and there are absolutely listings out there that are priced well), it may fetch asking price – or above in some cases – and if it is a home that they really want, then their offer has to be strong.

Contact me directly for more information on how my negotiating skills can work for you! Visit my Basking Ridge website to search homes for sale in Basking Ridge and surrounding areas.

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There’s nothing worse than having a major appliance break, especially since most people depend heavily on their dish washer and laundry machines. Then, there is the inevitable choice that must be made: whether to repair it or just get a new one.

Of course, the primary factor to consider when making a decision is the cost of the repair versus the cost of replacing the appliance, factoring in such things as tax, installation, and removal and disposal of the broken unit. According to Angie’s List, a national consumer ratings company, these things should also be considered:

• Age/History – Older appliances may require ongoing service, which could cost more over time than simply buying something new. On the other hand, if you have not had trouble with the appliance in the past, it might be worth fixing it.
• Energy Efficiency – New appliances could save you considerably when it comes to energy costs. Determine if the energy savings will offset the cost of a new appliance. In addition, tax credits may be available on energy-efficient units.
• Features/Performance – As technology advances, appliances have more and more features and can do more things. Putting cost aside, purchasing a new appliance might be the right choice simply because it improves your quality of life.

If the decision is to purchase a new appliance, remember that quality products tend to last longer, and that proper care will help prevent problems and reduce the need for repairs.

Contact me if you are considering a move into or out of Basking Ridge, NJ; I am happy to help you determine the value of your Basking Ridge home, or you can search what’s for sale in Basking Ridge (and many other areas as well!)

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10/24/2009 – 10/30/2009

The following 3 properties went under contract this past week in Basking Ridge (another quiet week here in town):

237 Alexandria Way, Spring Ridge condo, $262,900
76 Huntington Road, Single Family home in The Hills, $725,000
96 W Oak Street, Single Family home, $439,000

There are an additional 6 properties that are working through attorney review which means they have accepted offers and lawyers are working through the contract details.  One thing that I have noticed recently is that properites are staying in attorney review longer; I have seen listings go from attorney review to under contract and then close in a matter of days after sitting in attorney review for a long time.  22 Colonial Drive and 19 Morrison Street are STILL in attorney review!!  And, 96 W Oak Street went under contract AND closed this week.

Please contact me if you would like more information about any of these Basking Ridge homes or visit my Basking Ridge real estate site for more information on what has sold by month over the past year.

New to the Basking Ridge market are the following 8 properties:

187 Potomac Drive, Spring Ridge condo, $250,000
3 Commonwealth Drive, Spring Ridge condo, $254,900
76 Liberty Corner Road, Single Family Home, $395,000 (relist)
49 Spencer Road, Single Family Home, $459,000 (relist)
36 Dorchester Drive, Townhouse in The Hamiltons, $482,625
20 Battalion Drive, Townhouse in The Hamiltons, $508,000
3 Fairbanks Lane, Townhouse in The Barons, $550,000
13 Witherspoon Lane, Amherst Mews townhouse, $850,000 (relist)

As of this morning there a total of 186 listings showing active in Basking Ridge in the MLS. With 35 going under contract in the last 30 days, Basking Ridge market absorption is 5.3 months; clearly a stable market. 

Please contact me if you would like to discuss my strategy for negotiating contracts in today’s real estate market.

Visit my Basking Ridge website to search homes for sale in Basking Ridge and surrounding areas.

If you are thinking of moving, I can provide a free market analysis of your home’s value  in today’s market.

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Last night I posted with a question mark – because I just wasn’t sure if the news about the tax credit was official.  Around 4:00 this afternoon, we received information from the NJ Association of Realtors (NCJAR) that clarified the buzz we’ve been hearing.  That message follows: 

“Within the past 72 hours, some misinformation regarding the extension and expansion of the first-time home buyer tax credit has been disseminated through various media outlets. As of today, no formal bill regarding an amended tax credit program has been passed. On Wednesday, October 28, 2009, Senate leaders reached a tentative agreement to extend and expand the federal first-time home buyers’ tax credit originally set to expire November 30. While the method for passage remains uncertain, the deal would extend the $8,000 credit for first-time buyers until April 30, by which point they must have sales agreements in hand. These buyers would have until June 30, however, to go to settlement. The agreement would also provide a $6,500 credit for current homeowners who purchase a new residence in this time frame. To qualify, the homeowners must have lived in their primary residence for five continuous years. Qualifying income limits would also be raised to $125,000 for single taxpayers and $250,000 for joint taxpayers, from the current $75,000 and $150,000. The Senate has not yet agreed whether the extension will be put up for a vote as its own bill or in conjunction with other legislation. Once it passes the Senate, the measure must be voted on by the House and signed into law by President Obama.”

Rest assured that I will keep you current on any information regarding the home buyer tax credit.  Check back frequently, or subscribe to my blog so the information comes right to you!  If you are considering a move, visit my webiste to search homes for sale in Basking Ridge.

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I post this with a question mark becuase I’m not 100% sure – but MSNBC is reporting tonight that the first time home buyer tax credit is being extended as well as expanded.  Key points include: Current $8,000 for first time home buyers will be available through June, 2010 (must be under contract before the end of April), reduced credit of $6,500 for repeat home buyers who have been in their current home for the last five years. There are income limits for both credits – the current credit starts to phase out at an income level of $75,000.

This could be a really good thing!  If you are considering a purchase, now just might be the right time to do it!  Prices are still down and interest rates are still near historic lows.  Our mortgage rep has indicated that rates will most likely go up after the first of the year.  Especially in March when the government stops buying the mortgage backed securities.

Visit my website to search homes for sale in Basking Ridge and the surrounding areas.

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10/17/2009 – 10/23/2009

The following 3 properties went under contract this past week in Basking Ridge (a quiet week here in town):

367 Potomac Drive, Spring Ridge condo listed for $252,500
129 Village Dr., Lord Stirling Village Townhouse, listed for $383,000
15 Brentwood Court, Single Family Home, listed for $1,249,000

There are an additional 5 properties that are working through attorney review which means they have accepted offers and lawyers are working through the contract details.  One thing that I have noticed recently is that properites are staying in attorney review longer; I have seen listings go from attorney review to under contract and then close in a matter of days after sitting in attorney review for a long time.  22 Colonial Drive and 19 Morrison Street are good examples; they have been in attorney review for WEEKS! 

There are 187 properties currently for sale in Basking Ridge.

Please contact me if you would like more information about any of these Basking Ridge homes or visit my Basking Ridge real estate website for more information on what has sold each month over the past year.

New to the Basking Ridge market are the following 10 properties:

223 Alexandria Way, Spring Ridge condo, $241,000
139 Jamestown Road, Spring Ridge condo, $249,500
124 Smithfield Court, Spring Ridge condo, $289,900
24 Hillside Terrace, single family home, $389,000
107 N Finley Ave, single family home, $419,000
226 Patriot Hill Drive, Patriot Ridge townhouse, $596,900
77 Whitenack Road, relist, single family home, $650,000
57 Huntington Road, single family in the Hills, $769,000
299 Douglas Road, relist single family home, $1,850,000
18 Rockridge Court, New construction, $1,899,000  

As of this morning there a total of 187 listings showing active in Basking Ridge in the MLS. With 35 going under contract in the last 30 days, Basking Ridge market absorption is 5.4 months; clearly a stable market. 

Please contact me if you would like to discuss my strategy for negotiating contracts in today’s real estate market.

Visit my Basking Ridge website to search homes for sale in Basking Ridge and surrounding areas.

If you are thinking of selling your home, I can provide a free market analysis of its value  in today’s market.

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I recently attended a Weichert sales meeting at which a local real estate attorney was a guest speaker.  He was there to help us help our clients navigate through short sales.  He is one of the only attorneys that I know of who has a dedicated staff member to communicate with the banks and keep on top of each transaction as it works its way through the myriad of steps at each bank. 

If you are in a position where you think foreclosure is the only way out – please contact me first – I can put you in touch with the right resources to help you make that decision.  A short sale may be right for you instead.  If that is the case, it is imperative to get the house on the market as soon as possible since the first thing on the following list is an exectued contract of sale!

To move forward with an attorney’s support for a short sale, you will need to have the following documents:

1. Copy of fully executed contract.  Don’t worry if the negotiated sale price is lower than the amount of your mortgage.
2. Hardship Letter.  This is writted by you, detailing the hardship you are facing in keeping up with your mortgage payments
3. Copy of the last two years tax returns
4. Copy of the last three months pay stubs
5. Copy of the lat two months of bank statements
6. Written authorization for your attorney to contact the bank and negotiate the short sale
7. HUD-1 Statement (the attorney will prepare this)
8. Copy of the last two months mortgage statements (for the first and second loan if applicable)
9. Copy of the listing agreement
10. Complete list of all debts including monthly expenses
11. Copy of your 401k and retirement plan(s) statements
12. Market analysis prepared by your realtor
13. Commission bills provided by your realtor for both the buyer and seller agent
14. Back title: includes your deed, the survey and your title insurance policy

The sooner you have all of this information compiled and sent to your attorney, the better. If you want to contact the bank before hiring an attorney you can do that too – the department you want to contact is Loss Mitigation.  I strongly recommend using an attorney with EXPERIENCE in this process – there are lots of phone calls required, things move very slowly and then all of a sudden very quickly.  It is often difficult to stay on top of where things are in the process.  Except for the initial fee, I believe the balance of of the attorney fees as well as the real estate commission will be calculated into the total debt that will be resolved by the short sale.

Information on this post was provided by Rafael J. Betancourt of Triarsi, Betancourt, Walsh & Wukovits, LLC a law firm in Cranford, NJ.

If you are considering a short sale, click here for an estimate of your home’s value in today’s market.  This information, along with your mortgage history will help you determine the best course of action.

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As one of the most highly regarded communities in New Jersey, Basking Ridge provides many opportunities for everyone.  I enjoy living here and I am honored to be able to confidently market the homes in this community!  The following 10 reasons for living here come from the top of my head, but I doubt that anyone would find fault with the ones I have chosen!

1. In early November, Ridge High will be honored as one of only 314 public schools in the nation to earn recognition as a 2009 Blue Ribbon School!  It is one of only 40 public high schools in the nation to receive the award, and the only comprehensive high school in New Jersey.  Click here to read the announcement sent home by the district.
2. Being located on the Gladstone Line branch of the Morris-Essex Line makes Basking Ridge an easy NYC Commute – buses and trains (even a mid-town direct) are readily available and the ride is just about an hour.
3. The Bernards Township Parks and Recreation Department maintains our beatiful parks and the Pleasant Valley Pool.  They run an amazing array of programs for residents of all ages.  From “ant hockey” and “mad science” for the little kids to a professionally staffed soccer league, travel basketball, travel soccer, softball, adult programs such as pick up basketball and yoga, art classes for seniors, and monthly trips for active adults. The rec rundown is delivered right to my inbox every other week – it can be delivered to yours too, click here to sign up!
4. Easy access to Route 287, Route 78 and from there, Routes 80, 10 and 22, the Garden State Parkway, the NY Throughway and the NJ Turnpike – always an easy commute, pretty much to where ever you need to go! In about an hour you can be on the beach, in the mountains, or on a lake.
5. It’s our 250th anniversary!  Big events are planned for 2010 – the 250th anniversary of Basking Ridge!  A special committee has been appointed to plan for this special occasion. If you have an interest in participating in the planning of this exciting event please contact me and I will share what I know.
6. We are home to the state of the art Somerset Hills YMCA – with two locations to choose from!
7. There is housing for everyone – from one bedroom condos to 6 bedroom single family homes and our home values have remained strong.  Visit my website for information on what has sold in Basking Ridge over the last year or to search for homes and townhouses currently available in Basking Ridge.
8. Basking Ridge is an environmentally responsible town – we have gone green and are very conservation aware.  I covered this in several blog posts over the summer: Basking Ridge Goes Green and Basking Ridge is Pesticide Free. 
9. Standard & Poor’s Rating Services assigned its ‘AAA’ long-term rating, and stable outlook on Bernards Township’s 2009 bonds and at the same time affirmed the ‘AAA’ rating on the Township’s existing debt obligations. Standard & Poor’s cited the Township’s very low direct debt burden, favorable demographics, strong home values, consistently strong financial performance, and good financial management practices.
10. The Bernards Township Library is part of a consortium of nine area libraries sharing holdings of over 800,000 books, 50,000 media items, 2,200 magazines & newspapers, and much more.  The online abilities are impressive and they host a variety of wonderful in-house activities.  Free summer programs for kids of all ages, resume workshops, computer training, knitting, story time, drama workshops.  Once again, there is something for everyone!

If you are thinking of buying or selling a home in Basking Ridge, NJ, please contact me.  I know I can help!  Visit my website to make a request for a free market analysis – to help you pinpoint the value of your Basking Ridge home.  Click here to sign up for daily notification of new listings or closed sales in Basking Ridge or any other surrounding area.

If you have another reason to add to the list, please post a comment! 

Downtown Basking Ridge, NJ - no traffic lights!

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Acres of Open Space and Parkland in Basking Ridge

In researching for an upcoming post (Top Ten Reasons to Live in Basking Ridge) I came across the following information. I had no idea that you can dedicate a living memorial in one of our township parks!  Each fall, trees are planted to honor the memory of a deceased relative, friend, or member of your organization, to celebrate a birth or anniversary, or to recognize a volunteer or employee.  A memorial tree plaque is located at Town Hall with the names of the individuals for whom trees have been planted.  And you can even be present at the planting!  Download application forms here. 

If you are considering a buying or selling a house in Basking Ridge, contact me for more information about our town.

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10/10/2009 – 10/16/2009

The following 10 properties went under contract this past week in Basking Ridge:

72 Sycamore Court, The Cedars townhouse, listed for $369,900
49 Peachtree Road, single family home, listed for $449,900
31 Cannon Court, The Hamiltons townhouse, listed for $464,900
41 Harrison Brook Drive, single family home, listed for $524,900
12 Carswell Court, Maple Run townnhouse, listed for $539,000
33 Compton Court, single family home, listed for $569,900
105 Childs Road, single family home, listed for $599,000
71 Riverside Drive, single family home, listed for $799,000
26 Haas Road, single family home, listed for $1,150,000

There are an additional 6 properties that are working through attorney review which means they have accepted offers and lawyers are working through the contract details.  There are only 187 properties currently for sale in Basking Ridge, this is really low – but I expect that given the season.

Please contact me if you would like more information about any of these Basking Ridge homes or visit my Basking Ridge real estate website for more information on what has sold each month over the past year.

New to the Basking Ridge market are the following properties:

77 Alexandria Way, Spring Ridge Condo, $229,900
234 Irving Place, Society Hill Condo, $252,000
80 Village Drive, Lord Stirling Village townhouse, $375,000
116 Constitution Way, Townhouse in The Hamiltons, $489,000
16 Canter Drive, Single Family Home, $599,900
9 Hudson Drive, Patriot Hill Townhouse, $669,000
32 Princeton Court, Patriot Mews Townhouse, $695,000
24 Princeton Court, Patriot Mews Townhouse, $725,000
1 Barton Way, Amherst Mews Townhouse, $829,900
8 Culberson Road, Single Family Home, $1,099,000
30 Clairveaux Court, Single Family Home, $1,399,000
249 Mount Prospect Road, Single Family Home, $1,590,000

As of this morning there a total of 187 listings showing active in Basking Ridge in the MLS. With 35 going under contract in the last 30 days, Basking Ridge market absorption is 5.4 months; clearly a relatively stable market. 

Please contact me if you would like to discuss my strategy for negotiating contracts in today’s real estate market.

Visit my Basking Ridge website to search homes for sale in Basking Ridge and surrounding areas.

If you are thinking of selling your home, please click here for a free market analysis of it’s value in today’s market.

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