If it's time to buy your first or your dream home - now is the time

Be Quiet Chicken Little! Real Estate is Just Fine

September 30 2014

The latest Existing-Home Sales Report from NAR revealed that sales decreased 1.8 percent in August. Many might start to panic, but let’s see what the report really shows.

Lawrence Yun, NAR chief economist explains “there was a marked decline in all cash sales from investors. On the positive side, first-time buyers have a better chance of purchasing a home now that bidding wars are receding and supply constraints have significantly eased in many parts of the country.”

There is Still A LOT of Good News:

• The median existing-home price for all housing types in August was $219,800, which is 4.8 percent above August 2013. This marks the 30th consecutive month of year-over-year price gains.
• 40% of homes sold in August were on the market for less than a month.
• Distressed home sales remain at single digits for the second straight month, at 8%, down from 12% last year this time.
• More buyers qualified for mortgages to purchase a home in August, as evidenced by the decline in the number of all cash buyers from 29% to 23%.

New Home Sales Surge:

Newly built single-family home sales surged 18% in August, the highest level in six years according to new data released by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

The Experts Agree:

“This robust level of new-home sales activity is a good sign that the housing recovery is moving towards higher ground,” said NAHB Chief Economist David Crowe. “Historically low mortgage rates, attractive home prices and firming job and economic growth should keep the housing market moving forward in 2014.”

Yun adds, "As long as solid job growth continues, wages should eventually pick up to steadily improve purchasing power and help fully release the pent-up demand for buying.”

Bottom Line

Now is still a great time to buy a home, whether as a first time homebuyer or you’re moving up to the home of your dreams, don’t let the headlines scare you from making the best decision for your family.

What you don't know about your credit score can hurt

Today we are excited to have Nabil Captan as our guest blogger. Nabil is a nationally recognized credit scoring expert, educator, author and producer. In today’s post, he explains how what you don’t know about your credit score could end up costing you. Enjoy! – The KCM Crew

Informed consumers considering a home purchase today want to do the right thing and plan ahead. Many do not seek immediate professional guidance from a Realtor or a mortgage loan officer. Instead, they hunt for hours online, looking at numerous websites for available homes for sale. They also consult websites to find the best interest rate and terms for future monthly mortgage payments. Many consumers feel betrayed, cheated and at times embarrassed to learn that the credit scores they counted on, to get that specific interest rate for their loan, are not used by mortgage lenders.

When shopping for a good mortgage interest rate, consumers also need to know their credit score, and utilize an online mortgage calculator to compute future monthly mortgage payments. A Google search for “credit score” will yield hundreds of results. The consumer accepts the provider’s terms and conditions to get a free credit score. Terrific! Unaware that in exchange they just received a meaningless credit score that lendersnever use. They also handed over their Non-Public Personal Information (NPPI) to that credit score provider for life.

Before we go any further, let’s look at available credit scoring products available to consumers today:

• FICO credit score from Fair Isaac Corporation/myfico.com, range 300 to 850
• Plus Score from Experian, range 320 to 830
• Trans Risk Score from TransUnion, range 300 to 850
• Equifax Credit Score from Equifax, range 300 to 850
• Vantage Score from all three bureaus, two ranges, 300 to 850 and 501-990

What is a FICO Score?

In 1958, Bill Fair and Earl Isaac, a mathematician and engineer, formed a company in San Rafael, California. They created tools to help risk managers make a better decision when taking financial risk. Today, 90 percent of all lenders use the FICO score, first created in 1989 by Fair Isaac, and it’s the only score Fannie Mae and Freddie Mac, the Federal Housing Agency and Veterans Affairs will accept in underwriting loans they guarantee.

What is a Consumer Score?

The three credit bureaus, in their understanding of the credit scoring model created by FICO, decided to create their own scoring models, and in 2004 – 2006 they unveiled the “consumer” scores: Plus Score, Trans Risk Score, Equifax Credit Score, and Vantage Score. However, these are not genuine FICO scores, and mortgage lenders don’t use them. Consider this comparison: Would you buy a watch that gives the approximate time of day?

The three credit bureaus work with major financial institutions, professional organizations, comparison sites, personal finance businesses, clubs such as Costco, AAA, Sam’s Club, and many data-mining brokers to bombard consumers in the race of the free credit score mania, all with the enticement of a “consumer” score that is not used by lenders, in hopes of obtaining subscriptions or fees from consumers. Fees that are totally unnecessary!

Know Your Score

Gaining access to one’s own credit report and credit score prior to loan approval with no strings attached could be helpful, and at all times beneficial. With little effort, inaccuracy of information can be instantly corrected at the credit bureau level, and with a few simple steps, credit scores could be enhanced. For example, paying down revolving account balances before a creditor’s statement-ending date (the creditor later updates account information with the credit bureaus), thus reducing revolving account balances at a particular point in time, will positively add more points to a score. It’s priceless.

More Information

Consumers have a legal right to access their annual credit report at no charge once a year from annualcreditreport.com, a site sponsored by the three major credit bureaus: Experian, Equifax and TransUnion.

These reports provide all the basic consumer data, but do not reveal a credit score. If you have a need for the FICO credit score that is actually used by mortgage lenders,myfico.com is the website to visit. For $19.95 per bureau, consumers can purchase a customized credit report with a genuine FICO score.

Additional websites to visit: the Federal Trade Commission (ftc.gov) and the Consumer Financial Protection Bureau (cfpb.gov) for true answers to questions about any financial concepts, financial products, dispute and complaint submissions, and much more

Local Home Prices this year v last

Here are the average prices of homes that SOLD in Cumberland and Dauphin Counties.

If you are interested in how this affects the home you are considering buying or selling just call text or email.

Last shot at Lower Swatara FD Biker Breakfast

Last chance of the year for biker buffet breakfast at Lower Swatara Fire Department

7:00 - 11:00
Sunday, 28 September

1350 Fulling Mill Road
Middletown, PA 17057

The uneven nature of the "housing crisis" by state

There is a lot of conflicting information about the state of housing in the U. S.. One reason is that the difference in what has occurred by state.

This map shows the date of the peak prices and how much home prices are off from that peak.

The differences are HUGE. Nevada peaked in 2006 and is still off over 37%. A whole group of states including Texas, Colorado, Vermont and Alaska are now (2014) at their peaks.

Certainly there are also variations within states as well and within local markets. Here in the Harrisburg area, the difference is clear between the shores of the Susquehanna.

As always, if you have questions bout what this means regarding the home you would like to buy or sell, just call text or email.

The Truth About Buying a Home: You DON'T Need 20% Down

In a recent survey, How America Views Homeownership, it was revealed that 68% of Americans feel that now is a good time to buy a home and 95%said they want to own a home if they don’t already.

Franklin Codel, head of Wells Fargo home mortgageproduction, explains:

“Although the home buying process has changed in many ways in recent years, our survey found Americans still view homeownership as an achievement to be proud of and many believe that now is a good time to buy a home.”

Confusion Creates Paralysis

However, the survey also reported that many are afraid to purchase a home because of uncertainty about “qualifying for a mortgage or navigating the home buying process”. Though 74% said they “know and understand” the financial process involved in buying a home, they also gave answers that suggest otherwise. For example:

• 30% of respondents believe that only individuals with high incomes can obtain a mortgage
• 64% of respondents believe they must have a “very good” credit score to buy a home
• 44% believe that a 20% down payment is required

In actuality many of these beliefs are unfounded. Let’s look at the question of down payment:

Freddie Mac, in a recent blog post addressing the issue, confirmed that there is misinformation regarding the amount necessary when determining the down payment for a home purchase:

“Did you know 40 percent of today's homebuyers using mortgage financing are making down payments that are less than 10 percent? And how about this: since 2010, the number of people putting down less than 10 percent for conventional loans has grown three fold.  So, not only are low down payment options real, they represent a significant portion of today's purchases.”

In a separate Executive Perspectives, Christina Boyle, Freddie Mac’s VP and Head of Single-Family Sales & Relationship Management explained further:

• A person “can get a conforming, conventional mortgage with a down payment of as little as 5 percent (sometimes with as little as 3 percent coming out of their own pockets)”.
• Qualified borrowers can further reduce the down payment coming out of their own pockets to 3 percent by lining up gifts from family, grants or loans from non-profits or public agencies.

Education is the Key

Boyle talked about the importance of educating potential buyers:

“Letting more consumers know how down payments are determined could bring more qualified borrowers off the sidelines. Depending on their credit history and other factors, many borrowers can expect to make a down payment of about 5 or 10 percent.”

Codel agreed:

“It is important for prospective homebuyers to feel empowered to ask lenders and real estate agents questions about available options, such as down payment assistance or FHA loan programs or VA loans for veterans.”

Bottom Line

If you are saving for either your first home or that perfect move-up dream house, make sure you know all your options. You may be pleasantly surprised.

Freshen up your home's interior for fall

Freshening Up for Fall

With the season beginning to change, you may want to refresh the interior of your house. Refreshing may mean some light cleaning, a fresh coat of paint, new air fresheners, etc. However, you may want to consider some places within your house that you probablly have been neglecting to clean.

5 Places You May Be Forgetting to Clean

1.) Air conditioner/heating intake ventshOut of sight, out of mind is how many people treat their vents. Your intake vents may not be visible or are purposely hidden, which allows you to “unknowingly” forget to clean them. It is important to keep your vents clean in order to reduce potential damage inside your heater/air conditioner system. Cleaning off the vents will allow for better air flow and reduce the amount of dust/dust bunnies floating around your home. To clean the vents, you can simply wipe them down, thoroughly clean them by unscrewing the vents or you can have a professional come in and clean them (if necessary).

2.) Curtains

Your curtains are another place that hair and dust are able to easily accumulate. If you have medium to heavy weight curtains, you can use the upholstery brush on your vacuum to give them a quick once over.
 
 
3.) Under Your Area Rugs

Dirt, dust, allergens and pet hair all seem to gravitate underneath the rugs. You don’t want this grit and grime rubbing into your nice hardwood floors with all the foot traffic; therefore you will want to vacuum or sweep when needed.

4.) Upholstered Furniture

Eating snacks and other foods that easily fall in between cushions can cause quite an accumulation of crumbs overtime. Be mindful to vacuum underneath your furniture’s cushions, and you may even find some loose change…….don’t spend it all in place.

5.) Above your cabinets

The tops of your cabinets have most likely not been cleaned for a long time. Dust and cobwebs accumulate quickly up there, so every now and again you should dust and vacuum along that top area.

How Long will it take to sell your home

Here are the figures for how long homes are on the market before they sell 2014 compared to 2013.

Remember these are days on market only of homes that SOLD.

If you are interested in how this applies to your situation please call text or email.

Sunday is the last Lawn Fire & EMS breakfast buffet of the year

Lawn biker breakfast buffet has consistently been the biker breakfast with the best food.

Sunday from 7 'til 11 will be the last one of 2014.

So come to 5596 Elizabethtown Rd., Lawn, PA and enjoy the food meet friends old and new and enjoy the array of bikes that fill the parking lot(s)

What not to look for when Selling your home

Click the pic below to learn more

It's time to start getting your home ready for the weather to come

Preparing Your Home for Fall

The days are becoming shorter and the weather is becoming cooler; fall is right around the corner.  Now is the perfect time to get a jump start on accomplishing a few house chores before the cold weather strikes and it is too late. A lot of things are overlooked by homeowners when making the change from summer to winter. So, here is a guide onPreparing Your Home for Fall to help you remember all of the important tasks to get done to guarantee a safe and warm home for the upcoming cold weather.

Clean Out Your Gutters

Source: http://www.pondarosahomes.com

It is best to put this first on your list of things to accomplish. You will want to clean out your gutters during the last few days of summer or the first few days of fall. However the most ideal time for gutter cleaning is after the last heavy rain or thunderstorm. The rain will have washed away any debris that accumulated on your roof down into the gutters. You will want to start at the opposite end of the downspout and then work your way down the gutter. Once you reach the downspout, take a hose or a bucket of water to flush out the spout. If your downspout appears to be clogged, you will want to eliminate it with a plumber’s snake. Clogged gutters are prone to rust and corrosion, can lead to damaged exterior surfaces and to water in the basement.  Stay ahead of the weather, have your gutters cleaned then covered with mesh guards to keep debris from returning.

Put Away Your Gardening Tools

Source:  http://sjcmastergardeners.wordpress.com/

Once you are finished with your gardening projects, you should properly clean your tools and store them away for winter. Thoroughly clean off all your spades, clippers, shovels, etc. and consider coating them with a thin layer of mineral oil to prevent having to replace them due to rusting over the winter months. After cleaning and coating your tools, make sure you put them in a safe spot like a garage or shed so they won’t be affected by the cold weather.

Check the Weather Stripping

Source: http://beyondinteriorsdesign.com/

Gaps around door frames and windows can account for roughly 10% of your heating bill, according to the U.S. Department of Energy. Don’t lose money by not checking for air leaks in your home. Weather-stripping is a cost-effective way to take control of your home’s heating and cooling costs. It is important to check this material periodically because it can deteriorate over time. If the weather stripping in your home appears to be questionable in certain areas, there are a few options for checking.
– Close the door or window on a piece of paper. If the paper slides easily or automatically falls, your weather stripping needs to be replaced.
– Or light a candle and trace the frame of the door or window. If the flame flickers at any spot along the frame, then there is an air leak.
You should also check for missing or damaged caulk areas around windows, door frames, and any other entry points (pipelines, electrical wiring). If there are any areas where air is leaking seal the gaps with caulk.

Driveways, Walkways and Steps

Source:  http://www.signature-concrete-stain.com/

When any of these concrete areas are damaged it becomes a hazard year round, but the real danger arises when the weather turns icy. Fixing this type of problem in the fall is important in preventing a minor problem now from becoming an expensive headache down the road. Look for cracks, uneven sections, loose railings, crumbling of asphalt and loose-filled pathways. The majority of the cracks you will encounter will be within the ability to do-it-yourself.

Inspect your Fireplace

Source:  http://disney.wikia.com/wiki/Bert

No matter how often you use your fireplace, it is important to check it annually for damages and hazards.

- Flue: Check your flue (chimney) for creosote. Creosote is a flammable by-product of burning wood. If accumulation occurs, the result poses great danger to your home.

Therefore you should consider having your chimney inspected annually. For most people, the best option is to have the entire chimney system inspected by a chimney sweep. Once you know what to look for, you can perform an inspection yourself by shining a flashlight up the flue. Look for deposits approaching 1/8inch in thickness. If you suspect any deposits, then it is highly advised to have the deposits cleaned by an experienced chimney sweep.

- Look for flue blockages: Birds love to nest at the top of an unprotected flue. A chimney cap can prevent this from happening. If you don’t have a cap, look up the flu to ensure that there are no obstructions.

- Exercise the damper: The damper is the metal plate that opens and closes the flu just above the firebox. Move it to the open and closed positions to ensure that it is working properly.

Check Your Smoke Alarm Batteries

A lot of local fire departments will run campaigns urging you to change your fire alarm batteries during Daylight Savings time changes. Take this into account. Always be sure to check that any alarms you have that run on batteries, or ones that are connected to your home’s electrical system to ensure that they’re working.

Change Your Heat Filters

Source:  http://www.timesrecordnews.com/

If your home has a forced air centralized heating system, you need to replace your air filters. Whether they have been running continuously all year, or if your heater has been turned off all summer, you need to change them regardless. They will either be dirty from running all year, or they will be stale and possibly growing mold or mildew due to inactivity. Luckily, filters are cheap and easy to replace. When you’ve decided on a time to replace your filters, set aside a day to turn on your heating system for a few hours so it can blow out all the dust that built up over the summer months. A good time to do this would be when you’re going to be away from the home for awhile so you don’t have to endure a heated house, and the smell of burnt dust, when it’s still warm outside. Once you’ve had the heating system on for a few hours or more, turn it off and let your home air out.

Preparing your home for the fall can sometimes be a tedious job, but you’ll be thankful once the winter weather arrives. Whether you just moved into your new home or are planning on selling in the near future, stay one step ahead by preventing minor problems from escalating, while also saving money.

2014 Local Ride For Kids - results, video, pictures

Sunday was the Ride for Kids.

$113,105 raised to continue the fight against pediatric brain tumors.  Here are the stars of the show, the survivors, with the check.

Attendance was down but this video shows the Ride took a while to clear the parking lot as we left

Yes some of the Stars got to ride

Remember that every sale I make whether you are buying or selling helps support the Ride. 

If you're not ready to buy or sell and would still like to donate, just call, text or email.

The Ride for Kids is this Weekend

All year I work to raise money for the Ride for Kids. It's a great ride so I invite any riders who would like to join us in this great cause. Mount up enjoy the better weather on an escorted ride (no pesky stop signs or red lights) through the Maryland countryside on this Sunday.

Thanks to all who have given.

September 14, 2014
Turf Valley Resort
2700 Turf Valley Road
Ellicott City, Maryland 21042

Every day, 13 children in the United States get the news that they have one of the deadliest forms of childhood cancer.

These kids are our Stars, and you can help them by participating in a Ride for Kids event as a motorcyclist, fundraiser or volunteer. Donations benefit the Pediatric Brian Tumor Foundation’s medical research and family support programs.

Riders on all makes and models are welcome to attend. The suggested minimum donation to ride is $40 per motorcycle. We encourage you to fundraise before the event to make a real difference to the kids.

Online registration is open until noon Eastern on the Friday before the ride. Onsite registration opens at 7:30 a.m. and closes at 9 a.m.

The escorted ride starts at 9:30 a.m. sharp, rain or shine! The ride will loop back to the start point.

The more money you raise, the more incentive choices you have. Get a collectible T-shirt for as little as $100 per person, plus a Ride for Kids hat at the $300 level. Depending on how much more you collect, you’ll qualify for prizes at different levels.
Learn more>>

At the event, we draw for a new Honda motorcycle and other great prizes (must be present to win). All participants receive free beverages, a light breakfast and lunch. You’ll also get to meet your local Stars! Call 800-253-6530 or email us.

The Impact of housing inventory on the market

Here are our local inventory levels:

When you are ready to consider how this applies to your unique situation, contact me by phone, text or email

Why bother with a real estate pro

Why Bother getting a professional on your side?

Click for the answer

http://goo.gl/kKmWkP

Historic Costs of Renting v Buying

Fall Maintenance

It may be hot now but it's a good time to get ready for Fall maintenance once the weather cools

                     

                          
                       

                       


                       

Fall Maintenance Checklist

                       

You’ll be ready for winter’s worst and head off expensive repairs when you complete this checklist of 10 essential fall maintenance tasks. Read

                       

                       
                       
                       
                       

                       

Visit houselogic.com for more articles like this.

                             

Copyright 2014 NATIONAL ASSOCIATION OF REALTORS®

                       
                     

That Home Inventory We've been putting off

Tips to Effectively Cataloging Your Many Possessions

Realty Times Staff 08/15/2014Do you ever look around your house and think “Man, I’ve got a lot of stuff”? From the obvious things like televisions, computers and appliances to the things tucked away in cupboards and closets like pots and pans and personal paperwork, chances are good you own hundreds, if not thousands of things. While we’ve been advised over and over to back up our important personal data on our computers and tablets so we don’t lose dozens of baby pictures or our entire collection of music on iTunes, PC Mag notes it’s also extremely important to create an inventory of our possessions. If the worst happens and your home catches fire, a burglar breaks in or there’s a natural disaster, having a complete list of your belongings will make the entire insurance process go a lot smoother. For example, the Quote Wizard website features a helpful article about actual cash value versus replacement cost for your things; in order to effectively determine this, you have to have a handle on what you own in the first place. In addition, some people like to have a running inventory of their stuff just to know what they have and where they can find it. The following tips can help people started on the road to cataloguing their possessions: Think about getting help from an app In order to catalog your items, you’ll need to decide the best way to do it. Although you might imagine yourself wandering through your home or apartment equipped with a pen and notepad writing down things like “big screen TV” and “blue couch from Ikea,” this system will probably be much more time-consuming and tedious than you realize. Fortunately, there are a variety of handy apps that can help you keep track of your many possessions. For example, MyStuff 2, will help to keep tabs of your electronics, appliances, jewelry and more, and it features a handy barcode scanning tool. The app is available for iOS and has no limits on the number of items you can enter. Another great app is called Visual Inventory, which allows you to take photos of your many items and then tag them appropriately. This app is available for free for iOS users, an a similar one called Visual Home Inventory is free for Android. Capture your possessions on film As Rocky Mountain Insurance Information Association notes, another effective way to document all of your belongings is by taking pictures or videos. You can either walk from room to room videotaping your items and narrating what they are, including important registration codes and other data, or you can take and then print out numerous photos of your things, and write down what they are and other important data on the back of each snapshot. Take it slowly, and room by room To avoid feeling overwhelmed by the inventory process, remind yourself that it is not a task that needs to be finished in a day or even a week. Set aside some time each day for cataloguing your stuff, and take it room by room or even closet by closet. Once you have finished your list, keep in mind that it will need to be updated as you get new things or discard other stuff, so make sure you can access it as needed. Today's Local Market Conditions Report