Mt. Horeb Area Real Estate Blog

First Time Homebuyers Tax Credit

Here's a link for all your questions on what this REVISED tax credit means to you!

http://www.wra.org/pdf/government/HomebuyerCredit_Q&A_030609.pdf

Madison Area and Recession News

Check out Madison featured in this CNBC report!

http://www.cnbc.com/id/15840232?video=1031371211

Did I say Clean? Because what I meant was REALLY clean.

I hate it too.  But you must do it.  Every inch.  Here are the spots most sellers miss:

• white grout

• door handles of white appliances

• around door knobs (no, that isn't the wood aging naturally--its grime!!!)

• water/ice dispensers

• cobwebs in ceiling corners

• dirty or paint stained trim

• Heating vents caked with dust/dirt

• Bathroom fan vents caked with dust

Buyers literally do not want to have to do anything when they move in, and they especially do not want to have to clean up after you.  A dirty house or a cluttered house looks and feels like a LOT of work. Don't be that house.  Beat out your competition because I guarantee you have it!

Mt. Horeb 2008 Real Estate Review

Many of us think a recap of 2008 maybe a little depressing, but we are going to take a look anyway. It's actually not that bad when you compare it to other areas in the State and the nation. 

The following data is taken from the South Central WI Multiple Listing Service and is deemed reliable but is not guaranteed.

92 homes sold in Mt. Horeb in  2008  (106 sold in 2007)

$224,038 was the average SOLD price ($244,382 in 2007)

The average sale price is 97% of the Average list price. (98% in 2007)

$301,000 was the  average list price of homes that went  UNsold ($346,411 in 2007)

There are currently 75 homes on the market in Mt. Horeb with an average list price of $350,626.  This is driven up by the 25 four bedroom homes with an average list price of $541,892.  If you look at the 46 three bedroom homes on the market, the average list price is only $260,671 which seems a lot more reasonable.

Remodeling Magazine Cost Vs. Value Report for 2008-2009

Remodeling Magazine has released the latest Cost V. Value Report, one of my favorite reports each year.  We are lucky that they feature Madison WI as one of the areas they look at.  I highly recommend looking that all the number and particularly the brief statement about "Using the Numbers" or what the numbers mean. 

For all homes, there is a point where a significant amount of money in will not see a return.  I live in one of those homes.  It's a small Victorian cottage type house.  Despite the fact that "siding replacement" was one of the area where return on investment rose, it wouldn't make sense for me to do that. Bottom line--it's still a small house and no matter how gorgeous I make it, there will be a limit to what a buyer will pay based on square footage.

For Madison Data on Cost V. Value, click HERE

For "Using the Numbers", click HERE

Have I mentioned low interest rates?

I'm not sure if y'all have caught it...but interest rates are low and getting lower.  I saw one of the lenders I work with this AM at 5.25%.  If you were above 6% when you financed your home, this is about $100 savings/month (on a $200,000 home).  That's good deal.

I know some of my clients are waiting to see if rates go lower--say into the 4s.  One lender in town thought that they might for new purchases but not for refinances.  The goal of lowering these rates is to stimulate the buyers.  A homeowner refinancing doesn't really help stimulate the housing market.  Therefore, if they do drop, that rate may not be available to everyone.

Kindergarten Registration is this Week for Mt. Horeb School District

 

If you have a child about this size, its time to register him/her for Kindergarten in the Mt. Horeb School District. 

It's not screening--that's April 17.  This is just a "pop in" process that takes very little of your time.

 

DETAILS:

Where:  Mt. Horeb Early Learning Center at 300 Spellman St.

When:  This week (Dec. 1-5) during the hours of 8-4 M-F.  They are offering the evening hours of 6-8 on December 4.

What to Bring:  Birth Certificate and proof of residency.

Why this is important:  This is how the administration determines number of teachers needed for next year's Kindergarten class.

You will also have the opportunity to sign up for a screening time when you register. 

For more information, please visit the Mt. Horeb ELC website.

Spring Brings Hope Eternal

(at least I think that's the quote)

This is the time of year when many buyers and sellers decide to "wait until spring".  However, the real estate store is open all year round.  Some of the transactions that worked out the best for all parties happened right around the holidays--even during heavy snow storms.

In my history, March and April are  the months with the most  transactions closed.  That means the buyers were out in the middle of Winter home shopping.  The best advice I can give someone who is looking to sell "in the spring" is to get your house on the market right after New Years.  Every year, I am surprised at how early the phone starts ringing off the hook.  And  every year its earlier.

Buyers...Sellers get more hopeful in the spring--Hopeful that your low offer will be beat by one of the many buyers that hit the home buying market in the spring.  Sellers have time to wait in the spring. With most sellers putting their homes on the market early in the year, that is also when there is the best inventory of homes.

And then there is the interest rate equation.  They are low right now--5.5% or there abouts most places.  If you were previously looking at 6% this can save you about $60/month on a house payment.  If you were at the 6.5 % we were at last week, then this is over $100 savings on a home payment/month.

No matter what the season, homes are always for sale. There are just as many benefits to NOT waiting as there are for waiting...

Is Mt. Horeb Recession Proof? Part II

There has been a lot of letters to the editor in the Mt. Horeb Mail disputing Mt. Horeb as recession proof.  I have to  agree.  We may not see the drastic changes that some places are seeing but we are still feeling it.  As one letter pointed out:  Look at the stagnant business park and the surrounding new development sitting largely vacant.

In real estate terms, we have seen a decrease is sale prices from 2007.  Perhaps these declines are not what other more urban areas are seeing, and we certainly are not seeing the number of foreclosures and short sales as those areas are experiencing, but the current numbers suggest a decline nonetheless.

The numbers (taken from Southcentral Wisconsin MLS):

2007 and 2008 average list prices are about the same:  $308K.

2007 Average SOLD price:  $244,845 in 106 homes sold.

2008 Average SOLD price (so far):  $224,844 in 87 homes sold.

5.5%!!!!

Interest rates DROPPED!! I saw 5.5% today on 30 yr fixed!  Awesome news!