Showing posts with label Washington Crossing Real Estate Agents. Show all posts
Showing posts with label Washington Crossing Real Estate Agents. Show all posts
Monday, April 3, 2017
Will NJ Retirees Continue to Move to PA?
Realtors who sell homes near the Delaware River in Bucks County are accustomed to New Jersey residents seeking to retire and buy homes in Pennsylvania. Historically, their tax burden would be less on this side of the river. This flight to PA may not continue.
In the fall of 2016, Governor Christy signed into law a bill that would significantly reduce the tax burden for New Jersey's retired residents. The state income tax exclusion on sources of retirement income such as pensions, annuities, 401(k) and IRA withdrawals will gradually be increased from $20,000 to $100,000 in 2020 for joint filers. The income tax reduction and the repeal of the NJ estate tax in 2018 make NJ a far more retiree friendly state than it has been in the past.
Property taxes are still higher in NJ than in PA, but that will become a less significant factor now that income and estate taxes have been reduced. While NJ has the highest property taxes in the country, PA has the twelfth highest. Financially, it may no longer make sense for many NJ retirees to move to PA.
Sunday, March 19, 2017
Great Time To List Your Home
Spring is typically a good time to list a home for sale, but this year is particularly favorable for Bucks County home sellers. There are currently fewer homes on the market than were listed at this time in previous years.
Take a look at this chart that shows the months of inventory over the past two years in Lower Makefield Township.
Buyers have fewer homes to choose from than in the recent past. This offers sellers an opportunity to sell their homes at a favorable price within a reasonable amount of time.
Take a look at this chart that shows the months of inventory over the past two years in Lower Makefield Township.
Buyers have fewer homes to choose from than in the recent past. This offers sellers an opportunity to sell their homes at a favorable price within a reasonable amount of time.
Radon--A Common Hazard Found in Bucks County
Take Action Against Radon
By John Voket
Homeowners should make sure they and their families are safe from the dangerous effects of radon. The EPA encourages everyone to have their homes tested - here's why.
The EPA defines radon as a gaseous, toxic radioactive element that comes from the natural decay of uranium in nearly all soils. It typically moves up through the ground to the air above and into your home through cracks and other holes in the foundation.
Your home can trap radon inside, where it can build up. New and old homes, well-sealed and drafty homes, and homes with or without basements can be affected.
You can’t see, smell or taste radon, but it could be present at a dangerous level in your home. Radon is the number one cause of lung cancer among non-smokers, according to EPA estimates, and overall, radon is the second leading cause of lung cancer.
The EPA recommends that you have your home tested, which is easy and inexpensive. Find a professional in your area or purchase your own test kit.You can find a radon test kit order form online along with a coupon. Some home improvement stores also sell radon test kits. Follow the directions on the package for where to place the device in your home and where to send it to receive your reading.
If you'd prefer to have a professional inspect your home, find out who your state radon contact is and the particular requirements for your state. Your state may also be able to provide you with a list of certified contractors.
If you're considering a new home, look for builders who use radon-resistant new construction. Fuad Reveiz of the National Association of Home Builders says building techniques to prevent radon from entering a home are practical, straightforward and an inexpensive way to offer families a benefit that could reduce their risk of lung cancer.
Visit www.epa.gov/radon for more details on radon and how to prevent it from risking your family's health.
Reprinted with permission from RISMedia. ©2017. All rights reserved.
Saturday, November 1, 2014
Upcoming Activities at Washington Crossing Park
There's a lot going on at the park this fall. Here are some of the activities scheduled:
18th Century Opera Concert on November 16 at 2:00 p.m.
Historic Lecture, "Spies in the Continental Capital" on November 23 at 1:00 p.m.
A Night of REBELry Fundraiser on December 7, 7:00-11:00 p.m.
Crossing Reenactment Dress Rehearsal on December 7, 11:00 a.m.-3:00 (Crossing at 1:00 p.m.)
For more information and to request tickets go to http://www.washingtoncrossingpark.org/events/
18th Century Opera Concert on November 16 at 2:00 p.m.
Historic Lecture, "Spies in the Continental Capital" on November 23 at 1:00 p.m.
A Night of REBELry Fundraiser on December 7, 7:00-11:00 p.m.
Crossing Reenactment Dress Rehearsal on December 7, 11:00 a.m.-3:00 (Crossing at 1:00 p.m.)
For more information and to request tickets go to http://www.washingtoncrossingpark.org/events/
Saturday, August 16, 2014
Open Houses: Are They A Good Idea?
Not all agents encourage sellers to have open houses. Open Houses allow the public to visit a home for sale at a scheduled time without an appointment.
Do I think it is a good idea? Well, that depends. If your home is in a luxury price range that very few buyers can afford, an open house will likely attract more voyeurs than buyers. They may just want to check out what a home in that price range looks like. Also, if your home is in a low traffic area and off the beaten track, it is unlikely to attract many visitors, in which case an open house may not be worth the effort or inconvenience.
For the more typical suburban home, in areas such as Washington Crossing, Newtown and Yardley, an open house can be beneficial.
Few homes are actually sold at open houses. I’ve done it, but it is rare. What I do find, however, is that buyers who are considering a house, and have seen it with an agent, will visit an open house to more thoroughly examine it. They may have questions that a listing agent can easily answer, but would have gone unanswered if they did not drop in. I have had many visitors to open houses wind up being the buyers of that house. Would they have bought it anyway? Perhaps, but maybe not.
I have also worked with buyers who live locally and want to move up to their dream house. They are loyal to me as their agent, but are very particular and become apologetic about the number of homes they ask me to show them. If they can view a property at an open house, they prefer to do so. If an open house is not scheduled for a home they wish to view, they will call me to show it to them. Would they make an appointment and eventually view the property, anyway? If it doesn’t sell quickly, they probably would view it eventually, but their ability to view it sooner, rather than later, might result in a higher sale price for the sellers.
One reason some agents give for discouraging open houses is that open houses allow people who have not been approved for mortgages to view the home. While this is true, there are not many people who so enjoy viewing homes that they do so as entertainment. Most open house visitors have some interest in homes in the area and price range they visit or they wouldn’t bother. Also, some buyers have demanding jobs and cannot look at homes during the work week. They like the low pressure opportunity to visit homes on a Sunday without an appointment. As far as security is concerned, small objects of value should be safely hidden during open houses and during any home showings.
An open house hosted by the listing agent is most desirable because the listing agent’s primary interest is to sell that house. A listing agent should know a lot about the house and be in the best position to present it positively. If at all possible, sellers should request that their listing agent host open houses themselves rather than having another agent do it. Agents, other than the listing agent, may volunteer to hold an open house for a listing agent in order to possibly sell that house. If the buyers are not interested in that house the non listing agent may have the additional opportunity to sell the buyers another property. A non listing agent does not have as great a motivation to sell your home as does a listing agent, and does not have as great a knowledge of your property. Therefore, the listing agent is your best representative at an open house.
Attractive homes in attractive neighborhoods will sell during a strong real estate market, and an agent will not have to use all the tools available to him or her to sell your house. Attractive photographs, a for sale sign and posting the property on the MLS (Multiple Listing Service.) may be all that is necessary.
If the market isn’t particularly strong, and there are a number of other homes a buyer can choose from, agents should offer sellers all the tools available to them and holding open houses is one of them. Unless sellers are uncomfortable with open houses, or will be significantly inconveniences by them, why not utilize this tool to sell your home? Homes generally sell faster and for more money if there is competition in the market. The more people who view a home, the more likely it will sell quickly and for top dollar.
Do I think it is a good idea? Well, that depends. If your home is in a luxury price range that very few buyers can afford, an open house will likely attract more voyeurs than buyers. They may just want to check out what a home in that price range looks like. Also, if your home is in a low traffic area and off the beaten track, it is unlikely to attract many visitors, in which case an open house may not be worth the effort or inconvenience.
For the more typical suburban home, in areas such as Washington Crossing, Newtown and Yardley, an open house can be beneficial.
Few homes are actually sold at open houses. I’ve done it, but it is rare. What I do find, however, is that buyers who are considering a house, and have seen it with an agent, will visit an open house to more thoroughly examine it. They may have questions that a listing agent can easily answer, but would have gone unanswered if they did not drop in. I have had many visitors to open houses wind up being the buyers of that house. Would they have bought it anyway? Perhaps, but maybe not.
I have also worked with buyers who live locally and want to move up to their dream house. They are loyal to me as their agent, but are very particular and become apologetic about the number of homes they ask me to show them. If they can view a property at an open house, they prefer to do so. If an open house is not scheduled for a home they wish to view, they will call me to show it to them. Would they make an appointment and eventually view the property, anyway? If it doesn’t sell quickly, they probably would view it eventually, but their ability to view it sooner, rather than later, might result in a higher sale price for the sellers.
One reason some agents give for discouraging open houses is that open houses allow people who have not been approved for mortgages to view the home. While this is true, there are not many people who so enjoy viewing homes that they do so as entertainment. Most open house visitors have some interest in homes in the area and price range they visit or they wouldn’t bother. Also, some buyers have demanding jobs and cannot look at homes during the work week. They like the low pressure opportunity to visit homes on a Sunday without an appointment. As far as security is concerned, small objects of value should be safely hidden during open houses and during any home showings.
An open house hosted by the listing agent is most desirable because the listing agent’s primary interest is to sell that house. A listing agent should know a lot about the house and be in the best position to present it positively. If at all possible, sellers should request that their listing agent host open houses themselves rather than having another agent do it. Agents, other than the listing agent, may volunteer to hold an open house for a listing agent in order to possibly sell that house. If the buyers are not interested in that house the non listing agent may have the additional opportunity to sell the buyers another property. A non listing agent does not have as great a motivation to sell your home as does a listing agent, and does not have as great a knowledge of your property. Therefore, the listing agent is your best representative at an open house.
Attractive homes in attractive neighborhoods will sell during a strong real estate market, and an agent will not have to use all the tools available to him or her to sell your house. Attractive photographs, a for sale sign and posting the property on the MLS (Multiple Listing Service.) may be all that is necessary.
If the market isn’t particularly strong, and there are a number of other homes a buyer can choose from, agents should offer sellers all the tools available to them and holding open houses is one of them. Unless sellers are uncomfortable with open houses, or will be significantly inconveniences by them, why not utilize this tool to sell your home? Homes generally sell faster and for more money if there is competition in the market. The more people who view a home, the more likely it will sell quickly and for top dollar.
Monday, August 4, 2014
Tips for Home Sellers
The best advice I can give sellers is to price their home right, declutter and leave the house during showings.
Home Pricing
Many sellers either overvalue their homes or believe they need to inflate the listing price in order to allow room for negotiations.
The eventual sale price of a home will be based on what a buyer is willing to pay for it; and, buyers these days are very knowledgeable. From internet sources, buyers have access an abundance of information about the prices of comparable homes and those that have recently sold. They may also look at many homes before making an offer. It is unlikely that they will significantly overpay for a home. Even if they inadvertently agreed to do so, buyers who require a mortgage to pay for the house, may not be able to purchase the property if the lender's appraisal comes in lower than the sale price.
When discussing listing prices with sellers, I have sometimes been told that if a buyer wants to pay significantly less than the listing price for a home, the buyer should make an offer. This may seem logical, but our culture does not require us to actively bargain for many things and most Americans are uncomfortable making low offers for homes. They either think it's a waste of time, they don't want to insult the seller, or they think the seller will be difficult to deal with.
A realistically priced home attracts more buyers and more offers than an overpriced home.
If you are unsure of the proper price for your home after your realtor shows you information on comparable sales, ask your realtor if he or she will show you homes similar to yours that are currently on the market. That way you will get a better feel for home values and the competition.
There are some homes that are difficult to price. Older, historic homes or unique, high end, custom homes sometimes fall into this category. In these situations, it might be wise to have an appraiser value the home.
Decluttering
A home should be spotlessly clean and decluttered to show well.
Some sellers are touchy when the subject of decluttering or staging is introduced. The clutter may include items they regularly use, or may include lovingly collected items. Unfortunately, these items may be distractions for buyers who need to be able to focus on the features of a home in order to evaluate it properly. Too much stuff prevents them from doing so. If they can't connect with the property and envision themselves living in it, they will generally continue shopping.
Staying in The House During Showings
I realize that in some situations it is difficult for the seller to leave the home during showings. Elderly people or parents with a napping infant cannot always jump in a car or take a walk around the neighborhood. However, if possible, sellers should vacate the property during showings.
Buyers need to be able to envision themselves in a home. If they see you there, it is an obstacle for them to do so. They may feel like they are intruding and may hesitate to open doors and cabinets to thoroughly examine the property.
Buyers should also be free to express their likes and dislikes to their agents and may not do so if you are there. Their agents can sometimes answer questions or overcome their objections. Your presence interferes with them doing so.
Conclusion
These suggestions are basic and there are many more tips of the trade a good realtor can suggest. A listing agent should work with you to assure that your home looks its' best in person and on the internet.
Home Pricing
Many sellers either overvalue their homes or believe they need to inflate the listing price in order to allow room for negotiations.
The eventual sale price of a home will be based on what a buyer is willing to pay for it; and, buyers these days are very knowledgeable. From internet sources, buyers have access an abundance of information about the prices of comparable homes and those that have recently sold. They may also look at many homes before making an offer. It is unlikely that they will significantly overpay for a home. Even if they inadvertently agreed to do so, buyers who require a mortgage to pay for the house, may not be able to purchase the property if the lender's appraisal comes in lower than the sale price.
When discussing listing prices with sellers, I have sometimes been told that if a buyer wants to pay significantly less than the listing price for a home, the buyer should make an offer. This may seem logical, but our culture does not require us to actively bargain for many things and most Americans are uncomfortable making low offers for homes. They either think it's a waste of time, they don't want to insult the seller, or they think the seller will be difficult to deal with.
A realistically priced home attracts more buyers and more offers than an overpriced home.
If you are unsure of the proper price for your home after your realtor shows you information on comparable sales, ask your realtor if he or she will show you homes similar to yours that are currently on the market. That way you will get a better feel for home values and the competition.
There are some homes that are difficult to price. Older, historic homes or unique, high end, custom homes sometimes fall into this category. In these situations, it might be wise to have an appraiser value the home.
Decluttering
A home should be spotlessly clean and decluttered to show well.
Some sellers are touchy when the subject of decluttering or staging is introduced. The clutter may include items they regularly use, or may include lovingly collected items. Unfortunately, these items may be distractions for buyers who need to be able to focus on the features of a home in order to evaluate it properly. Too much stuff prevents them from doing so. If they can't connect with the property and envision themselves living in it, they will generally continue shopping.
I realize that in some situations it is difficult for the seller to leave the home during showings. Elderly people or parents with a napping infant cannot always jump in a car or take a walk around the neighborhood. However, if possible, sellers should vacate the property during showings.
Buyers need to be able to envision themselves in a home. If they see you there, it is an obstacle for them to do so. They may feel like they are intruding and may hesitate to open doors and cabinets to thoroughly examine the property.
Buyers should also be free to express their likes and dislikes to their agents and may not do so if you are there. Their agents can sometimes answer questions or overcome their objections. Your presence interferes with them doing so.
Conclusion
These suggestions are basic and there are many more tips of the trade a good realtor can suggest. A listing agent should work with you to assure that your home looks its' best in person and on the internet.
Saturday, July 26, 2014
Deadlines Matter in Pennsylvaial Home Sale Transactions
The Standard Agreement of Sale for selling and purchasing a home in Pennsylvania is loaded with dates and timeframes to which either the buyer or seller must comply. Our contracts are written on a "time is of the essence" basis which means that deadlines are binding.
This factor comes as a surprise to many buyers who come from states in which attorneys are heavily involved in real estate transactions. Generally, contracts in those states have more flexibility with deadlines.
Some areas in which care must be taken in order to comply are:
-The deadlines for response and acceptance of offers.
-The deadline for buyers to receive a mortgage commitment and provide proof of the commitment to the seller.
-The deadline for completing inspections of the property and requesting repairs or credits.
-The deadlines for sellers to respond to requests from the buyers for repairs or credits requested by buyers.
-The deadline for providing association documents to the buyers.
-The deadline for buyers to withdraw from the sale if the association documents are not to their liking.
-The deadlines for complying with local use and occupancy requirements.
If one of the parties fails to meet the deadline in the agreement of sale, that party loses their rights under that provision of the contract. If the buyer or seller is unable to complete an action within the timeframe in the agreement of sale, he or she request an extension of time from the other party. If agreeable that extension must be in writing and signed by both parties if it is to be binding.
Wednesday, June 18, 2014
Home Sales in Washington Crossing as of June, 2014
In Washington Crossing, homes on residential streets priced between $400 to $650 thousand are generally selling well. As home prices increase, however, the rate of home sales slows with a surplus of inventory in higher price ranges.
Here is What’s Been Selling in Washington Crossing?
Here is What’s Been Selling in Washington Crossing?
Monday, February 3, 2014
Are You Moving? Or, Just Have too Much Stuff?
As a realtor whose clientele inwww.yourgoodwill.org/shop/stores.phpcludes many mature adults, I find homeowners are frequently overwhelmed by the task of sorting through and disposing of excess clothing and home furnishings. It can be an especially difficult task for family members who must quickly clean out a deceased relative’s lifetime of belongings.
Many home sellers wonder where they can sell furniture and household items and are reluctant to sell items themselves through advertisements or garage sales. If this sounds like you, you might want to check out a couple of consignment shops that sell used furniture and home furnishings. They are choosy as to what they will accept, but if you have antiques, collectibles or currently fashionable furnishings, they might be worth calling. Here are two resources:
Classic Furniture Consignments, Marlton, NJ (856) 797-1707 www.maxexchange.com/cfc.htm
Decorators Consignment Gallery, Hopewell, NJ (609) 466-4400 www.decoratorsconsignment.com
Furniture and accessories can also be sold through auctions. Stephenson’s in Southampton and Brown Bros. in Buckingham are two well known auction houses in our area.
There are a number of local charities that accept furniture and clothing donations and some will pick up the donations. Among those charities are:
Trenton Rescue Mission (609) 815-3980 www.Rescuemissionoftrenton.org
Salvation Army, Trenton (609) 599-9801 www.Salvationarmytrentonnj.com
Salvation Army, Fairless Hills, PA (215) 946-1271
Impact, Hatboro, PA (215) 957-6131 x3105 www.impactthrift.org
Goodwill Store, Langhorne, PA (267) 364-6038 www.yourgoodwill.org/shop/stores.php
When all else fails, excess items can be given away through www.craigslist.com.
If all this sounds too overwhelming, or you want to make sure you are not giving away items that may be valuable, you might consult a pro. A professional can size up your belongings to identify valuables, and some will even assist you in sorting, packing, discarding and selling the contents of your home. Complete downsizing assistance is time consuming and can be expensive, but if you can’t do it yourself, it may be worth the expense. If you are interested in such a service, feel free to call me, I can recommend an appropriate service provider.
Many home sellers wonder where they can sell furniture and household items and are reluctant to sell items themselves through advertisements or garage sales. If this sounds like you, you might want to check out a couple of consignment shops that sell used furniture and home furnishings. They are choosy as to what they will accept, but if you have antiques, collectibles or currently fashionable furnishings, they might be worth calling. Here are two resources:
Classic Furniture Consignments, Marlton, NJ (856) 797-1707 www.maxexchange.com/cfc.htm
Decorators Consignment Gallery, Hopewell, NJ (609) 466-4400 www.decoratorsconsignment.com
Furniture and accessories can also be sold through auctions. Stephenson’s in Southampton and Brown Bros. in Buckingham are two well known auction houses in our area.
There are a number of local charities that accept furniture and clothing donations and some will pick up the donations. Among those charities are:
Trenton Rescue Mission (609) 815-3980 www.Rescuemissionoftrenton.org
Salvation Army, Trenton (609) 599-9801 www.Salvationarmytrentonnj.com
Salvation Army, Fairless Hills, PA (215) 946-1271
Impact, Hatboro, PA (215) 957-6131 x3105 www.impactthrift.org
Goodwill Store, Langhorne, PA (267) 364-6038 www.yourgoodwill.org/shop/stores.php
When all else fails, excess items can be given away through www.craigslist.com.
If all this sounds too overwhelming, or you want to make sure you are not giving away items that may be valuable, you might consult a pro. A professional can size up your belongings to identify valuables, and some will even assist you in sorting, packing, discarding and selling the contents of your home. Complete downsizing assistance is time consuming and can be expensive, but if you can’t do it yourself, it may be worth the expense. If you are interested in such a service, feel free to call me, I can recommend an appropriate service provider.
Monday, April 22, 2013
Market Conditions Update Through March, 2013
The housing market has picked up and realtors are busy. The number of homes sold in Bucks County has increased compared those sold in the prior year, and fewer homes are available for sale.
Most sellers expect prices to have increased, but the statistics do not yet show that to be the case. As demand increases, prices are likely to follow, but sellers who are hoping for significant price increases are likely to be disappointed.
Price increases over the next few years in Bucks County are not expected to increase at the double digit rates they did between 2000 and 2006.
The chart below shows an increase in home sales, but a decrease in prices compared to a year ago. Homes generally go under contract two to three months before they are considered sold. Therefore, statistics for homes that went under contract during the Spring, 2013 market will not be available for a couple of months.
Most sellers expect prices to have increased, but the statistics do not yet show that to be the case. As demand increases, prices are likely to follow, but sellers who are hoping for significant price increases are likely to be disappointed.
Price increases over the next few years in Bucks County are not expected to increase at the double digit rates they did between 2000 and 2006.
The chart below shows an increase in home sales, but a decrease in prices compared to a year ago. Homes generally go under contract two to three months before they are considered sold. Therefore, statistics for homes that went under contract during the Spring, 2013 market will not be available for a couple of months.
Sunday, February 17, 2013
Bucks County Home Values 2001 through 2013
Homes are now selling faster than they were a year ago and prices have stabilized.
The average sale price of single family homes in Bucks County in 2012 was $324,000. This represents no change in prices compared to 2011 and is comparable to sale prices in 2004.
Newer homes commanded relatively higher prices than older homes. Buyers tend to pay more for homes with certain amenities. Homes with open floor plans, hard wood floors,and newer kitchens and baths command higher prices than others. Buyers also value curb appeal and will pay more for homes with newer exterior features such as siding, windows and roofs.
The average sale price of single family homes in Bucks County in 2012 was $324,000. This represents no change in prices compared to 2011 and is comparable to sale prices in 2004.
Newer homes commanded relatively higher prices than older homes. Buyers tend to pay more for homes with certain amenities. Homes with open floor plans, hard wood floors,and newer kitchens and baths command higher prices than others. Buyers also value curb appeal and will pay more for homes with newer exterior features such as siding, windows and roofs.
Tuesday, February 12, 2013
Home Improvements That Pay Off
The 2013 Remodeling Cost vs.Value Report has been released.
The report suggests that keeping your home's exterior looking good is the best way to maintain the value of your home.
In the Philadelphia metropolitan area, the home improvements that resulted in the greatest increase in home value are deck additions, new entry doors, garage doors and siding.
Most buyers express a strong preference for updated kitchens and baths, but the the return on investment is actually greater on improvements that maximize a homes curb appeal.
The report suggests that keeping your home's exterior looking good is the best way to maintain the value of your home.
In the Philadelphia metropolitan area, the home improvements that resulted in the greatest increase in home value are deck additions, new entry doors, garage doors and siding.
Most buyers express a strong preference for updated kitchens and baths, but the the return on investment is actually greater on improvements that maximize a homes curb appeal.
Tuesday, January 29, 2013
Selling a Home in Bucks County
At a recent office meeting, we discussed the current state of our local real estate market.
Articles in our local newspapers cover the national market and are reporting significant price increases in many parts of the country. During the real estate bust, areas such as California, Florida and Arizona had price decreases of 50%. Those areas are now recovering and home prices in these areas have increased significantly when compared to their recent lows.
Bucks County did not experience the extreme speculation in housing that occurred in some areas of the country. On average, home prices in Bucks County decreased by about 15-18%. Older homes and luxury homes decreased more significantly.
Homes in Bucks County are now selling faster than they have in the past few years and, buyers, who were spoiled by an unusually high number of homes on the market, are now complaining that there aren't enough homes to choose from.
In many cases, sellers are concluding that they can ask considerably higher prices for their properties than their realtors are suggesting. This is not the case.
I've heard projections from knowledgeable sources that local prices in the next few years are likely to appreciate from 1-3%. Sellers who cite national statistics are often misguided. We did not have the severe market appreciation or decline experienced by many areas of the country; so, we can't expect prices to increase as significantly as in other areas.
Buyers are acutely aware of the recent bubble and bust in the housing market and that prices are not guaranteed to increase. A wealth of information is available on the Internet and buyers are reviewing it. Buyers are comparing properties and have a good understanding of real estate values. They are cautious and unlikely to overpay for a property.
Occasionally, a relatively high price will be agreed upon by a buyer and seller. If a mortgage is involved, the property will have to be appraised. Because of past problems resulting from loose lending practices, lenders are being cautious and appraisers are being conservative. An above market sale price is likely to become an issue when the appraised value is determined to be less than the agreed upon price.
The keys to selling a property in our current market are:
Articles in our local newspapers cover the national market and are reporting significant price increases in many parts of the country. During the real estate bust, areas such as California, Florida and Arizona had price decreases of 50%. Those areas are now recovering and home prices in these areas have increased significantly when compared to their recent lows.
Bucks County did not experience the extreme speculation in housing that occurred in some areas of the country. On average, home prices in Bucks County decreased by about 15-18%. Older homes and luxury homes decreased more significantly.
Homes in Bucks County are now selling faster than they have in the past few years and, buyers, who were spoiled by an unusually high number of homes on the market, are now complaining that there aren't enough homes to choose from.
In many cases, sellers are concluding that they can ask considerably higher prices for their properties than their realtors are suggesting. This is not the case.
I've heard projections from knowledgeable sources that local prices in the next few years are likely to appreciate from 1-3%. Sellers who cite national statistics are often misguided. We did not have the severe market appreciation or decline experienced by many areas of the country; so, we can't expect prices to increase as significantly as in other areas.
Buyers are acutely aware of the recent bubble and bust in the housing market and that prices are not guaranteed to increase. A wealth of information is available on the Internet and buyers are reviewing it. Buyers are comparing properties and have a good understanding of real estate values. They are cautious and unlikely to overpay for a property.
Occasionally, a relatively high price will be agreed upon by a buyer and seller. If a mortgage is involved, the property will have to be appraised. Because of past problems resulting from loose lending practices, lenders are being cautious and appraisers are being conservative. An above market sale price is likely to become an issue when the appraised value is determined to be less than the agreed upon price.
The keys to selling a property in our current market are:
- Pricing
- Condition
- Marketing
Thursday, January 24, 2013
Bucks County Home Sales Statistics 2012
The pace of home sales has definitely increased in Bucks County. Buyers have been spoiled over the last few years and are now complaining that there aren't enough homes on the market to choose from.
Sellers should welcome the increase in home sales. Their homes should sell faster than they would have sold two or three years ago, but they should not assume that prices will significantly increase in the near future.
On average, home prices increased .1% during the 2012 calendar year. Newer homes appreciated more than older homes. Home sale prices, now approximate 2004 levels, and are expected to increase modestly over the next couple of years.
It is an excellent time to be a buyer. With home mortgage rates low, qualified buyers can afford to purchase homes that would have been out of their price range five years ago.
Sellers should welcome the increase in home sales. Their homes should sell faster than they would have sold two or three years ago, but they should not assume that prices will significantly increase in the near future.
On average, home prices increased .1% during the 2012 calendar year. Newer homes appreciated more than older homes. Home sale prices, now approximate 2004 levels, and are expected to increase modestly over the next couple of years.
It is an excellent time to be a buyer. With home mortgage rates low, qualified buyers can afford to purchase homes that would have been out of their price range five years ago.
Tuesday, September 25, 2012
Learn More About Bucks County
People from out of the area frequently ask me about the characteristics of Bucks County and what there is to do here. The topic is so broad that my response can only hit the highlights. Here is a great website that provides considerable detail on that subject:
http://buckscountyalive.com/events/ShowEvents.cfm?webname=bcalive
http://buckscountyalive.com/events/ShowEvents.cfm?webname=bcalive
If you currently live in the area, it's a great website to learn about local services and special events in the area. For families with children, the current scarecrow competition at Peddlers Village is a nice activity.
For art lovers, the annual juried art show at Phillips Mill showcases some of the best art currently being produced by local artists.
Thursday, August 2, 2012
Selling an Inherited House
The first task was to find a realtor. My relatives and I interviewed three realtors from different brokerage firms. I shouldn't have been surprised when I found that the way realtors operate in Massachusetts differs from how we operate in Bucks County. The reason I shouldn't have been surprised is that buyers relocating from other states to our area are frequently puzzled by the differences in how we do business. Where ever you go, you have to adjust to local practices.
All of the realtors we interviewed were good realtors and were qualified to sell the house. Choosing between them was difficult. A major concern for us was that we do not live close by and it will be difficult for us to maintain the condition of the property. Also, there were a few issue items we needed to address before putting the house on the market. Therefore, we were looking for an agent who would "go the extra mile".
There are some agents that will take a listing and never mention to the seller that repairs might be necessary and that rooms need painting and decluttering. That was not the type of agent we were looking for. We were willing to do these things ourselves, but we couldn't stay in MA for an extended period of time. There were some followup issues with plumbers and landscapers that the agent we chose would have to deal with.
We chose not to interview a high profile agent with many, many listings who hosts an ongoing radio real estate discussion. She appears to deal in volume and we thought she would not be able to provide the attention we were seeking.
Talk is cheap and promises are frequently broken; so, we asked for references and called them. The references provided details of their experiences with the agents, and we became comfortable with our final decision on which agent to work with.
Agents are not responsible for the security of a property, but the agent we chose lives nearby and was willing to check regularly that doors were locked, and nothing seemed amiss. That made us more comfortable leaving the property unattended. So far, she has exceeded our expectations.
It was important to me that out chosen agent hire a professional photographer to take home photos. In our area, most agents do. That was not the norm in the area of our inherited house. One agent said she does not like to put many photos on the internet because potential buyers feel they have already seen the house and it is difficult to get them to view it in person. That seemed crazy to me. With 90% of buyers searching for properties on the internet, numerous high quality photos generally increase the number of showings. We did not select that agent.
The three agents we talked to estimated the market value of the property. Their estimates varied by 5%.
Sellers should never choose an agent primarily because they provide a high estimate of the value of the property. Estimating the value of a home is not an exact science. Agents sometimes overestimate the value, or deliberately provide an estimate as high as can be reasonably justified so as not to disappoint the sellers. The list price and the marketing abilities of the agent should be separate concerns. We wound up listing the property for a lower price than our agent suggested. We averaged the three estimates of market value and listed it at the average amount.
Being absentee owners, we are expecting more from our listing agent than she would have to do if we were living locally. Therefore, we offered to pay her a higher commission than she had requested. Our thinking was that we have a difficult house to sell and we are expecting a lot from the agent. She should be compensated for the extra effort.
Showings start tomorrow. I'm crossing my fingers that the house will sell quickly.
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