Recently I had a client who was buying a home.  They came ready with a pre-approval letter and the willingness to buy a home seemingly within their price range.  Once we found a home - we went through the offer; negotiated and formalized the contract.

When I asked to make sure everything was all set with the lender (because the lender wasn't returning MY calls); I was told - yes; but I think we want to switch into an FHA loan.  OK?

NO - actually it's NOT OK.  We have a contract for conventional financing and we need to ask the seller for addendum if we want to change the terms of the contract. My clients say; well we can get the loan, no problem, but the FHA is a much better deal for us.

Well the seller comes back and says "NO".  The seller accepted the offer because while it wasn't full price; they felt good about the conventional loan.

Now the buyer decides to level with the agent and explain things.  UH OH.  "Houston, we've had a problem".

The buyer DID have an issue with financing, but didn't level with me in the beginning.  

If you have hired a Buyer's Agent - they are working for YOU.  They are protecting YOUR interests and fighting for YOU.  But if we don't have all the information; then we can't do much to protect you.  Always be honest and forthright with your agent.  We know the contracts; the contingencies and the protections you have better than most.

Happy Home Buying...

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC

Dear Lazy Listing Agent,

I have a client in town for 2 days.  We do not have time to waste looking at crappy homes.  Since you only had time to take 4 pictures of this 4 bedroom, 3 level home; we have decided to not waste our time looking at your listing.  I know you said it looks "amazing" - but we need to see some pictures before driving all over town.

Please tell your seller we wish them the best of luck and if they decide to hire an agent who can take more than 4 pictures of the house - I am sure it will sell. Unless of course it really is a crappy house inside.  But I guess we will never know.

If your client does decide to hire a agent who will actually spend a buck and hire a photographer and do some nice flyers.  Have them call me.  

Thank you.

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC

I have said it before and I will say it again.  The Housing market in Metro Washington DC - is good.

Just this week; an out of town buyer was shocked when I told her that the 10 of the 14 homes she asked to see last week - were Under Contract.  "Isn't it a Buyer's Market?"; she asked.  "Not Really.  Not in DC."

The truth is - the GOOD Homes are GOOD and they are selling.  In many areas; within days or a couple of weeks.  The BAD Homes - are still bad; and sit and sit.

A recent article; states that the Government Budget is helping the Washington area housing market.  The Article basically states that demand for housing is growing quicker in Washington, than any other Major US city.

It sure helps when the Federal Government is the biggest employer in the DC Metro area; that coupled with the contractors and government support companies.  Jobs and job growth is a sure fire way to help the Housing Market rebound.

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC

Every year, many older adults sell their home and move into Retirement communities.  These communities offer many facilities, including meal service, activities and some medical assistance.

However, recent news has been breaking about many of these communities running out of money and going bankrupt.  Erickson Retirement Communities; which runs several communities in the DC area; filed for bankruptcy a few weeks ago.

Another community, Ingleside, in NorthWest Washington; had to introduce large fees to cover the cost of increased expenses.  

When picking out your Retirement Home; do your homework.  Don't just look at the fancy facility, the groomed lawns and the list of activities. Look into their finances.  Make sure you know what will happen to your large deposit and your monthly fee should the facility hit a ruff patch.  Look at how their assets have increased or decreased with the recent downturn in the economy.

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC 20016

While still not law; it sounds that most of congress agree to some form of extending the first-time home buyer tax credit.  There is even talk about extending a reduced credit to folks whom have owned a home before.

While details are sketchy - and unclear - it sounds like the general agreement and concept are there - it's just waiting for congress to do their normal crappy negotiating on what to tack on and take off the bill.

Since most loans are taking over 30 days to close - it is difficult for buyer whom are not yet in a contract to purchase a home - to expect to close in time for the November 30th deadline.  This is expected by many to hurt home sales nationally.

To read the AP News Article - CLICK HERE

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC 20016

A new picture of my with my new Real Estate Team member - Riley.  She is part beagle; part something else; and all puppy.  None-the-less; she keeps me busy when I am not listing homes and showing buyers around.  She also loves to keep everyone in the office happy.

Whenever someone walks by my office door; they have to come in for "puppy-kisses".

Saying goodbye to my old picture; with my old compainion Casey - is not easy.  She is still missed and will never be forgotton.

I pondered the thought for sometime about if I would continue to market myself with the picture of a pet.  Sadly; pets come and go; as life changes.  Then I figured - lots of things come and go.  Like hair, wrinkles and love handles.  Our image changes as the times change.

And so... welcome Riley.

The word on the street and in many Real Estate offices is - Business is better than it was last year.

Well here it is; by the numbers:

This September 2009 in Washington DC as compared to last Septermber:

The total real estate in dollars was up 18.56%  Wow that is an improvment!

The average sold price was down 12.15%   

Number of properties sold was up 34.96%  with an average listing period of 94 days - up 14.63% from last year.

So it shows that MORE homes are selling; but for an average list price lower than last year.  Now what this DOES NOT mean is that home prices have dropped 12%.  What it means is that more homes in the lower price points are selling vs those in the higher brackets.

There are also just over 3200 Active Listings in Washington DC; which is about a 5.5 month supply of homes.  Hopefully October will continue this trend of increased sales and lower inventory.

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC 20016

Here is the breakdown as of October 13th, 2009

Even though there were many homes which came off the market (expired listings); few came back on the market this week.

Still the general trend is lower and lower inventory; while the number of homes under contract; rose dramatically over the past few days.

The next few weeks are key; as many buyers take advantage of the 1st Time Home Buyer Tax Credit before the looming deadline of November 30th.

Here are the number of homes on the market including the number of homes that were taken Off (EXPIRED) the market last week. 


 

Washington DC

Single Family:      Actives: 1668 (Up 26 from last week)        Expired: 14        Under Contract: 783 (Up 47)

Condos:               Actives: 1258 (Up 21 from last week)        Expired: 13        Under Contract: 530 (Up 41)  

 

Arlington County

Single Family:      Actives: 403 (Down 32 from last week)        Expired: 0         Under Contract: 222 (Up 41)

Condos:               Actives: 494 (Up 15 from last week)            Expired: 2          Under Contract: 189 (Up 17)

 

Prince Georges County

Single Family:      Actives: 4567 (Down 36 from last week)       Expired: 40       Under Contract: 2551 (Up 78)

Condos:               Actives: 767 (Down 13 from last week)         Expired: 8         Under Contract: 203 (Up 15)

 

Montgomery County

Single Family:     Actives: 2824 (Up 1 from last week)              Expired: 17        Under Contract: 1996 (Up 71)

Condos:              Actives: 1136 (Down 7 from last week)         Expired: 11        Under Contract: 514 (Up 40)

 

It is important to see the number of homes taken "Off" the market.  While many of these homes will return to the marketplace a week or two; seeing a listing "expire" means that the seller and agent thought or expected the home to be sold by now.

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC 20016

Many times during a home purchase; the seller is asked to make some repairs as part of a Home Inspection.  Often; there is some negotiating back and forth as to what the seller MUST fix, as per the contract; and what the buyer WANTS to be fixed.

AT some point - all parties agree to the items to be completed before settlement.

Then the day before settlement - or even the the morning before; the buyers and their agent walk through the property and make sure the repairs are complete.  So what happens if they are NOT complete?

Well there are usually two easy remedies.  One - The seller simply credits the buyers with a dollar amount they determine if fair to complete the work.  Two - The Closing attorney takes money for repairs and places into an escrow account until the repairs are complete then pays the bill once the work is complete.

However; changes in the lending world are making these options very difficult.

Lenders HATE the idea of escrowing funds.  They want the transaction CLOSED with no lingering terms or conditions.  Afterall; many lenders will sell these mortgages to someone else; and lingering terms like an escrow account - can hold things up.

So then; we can just ask for a credit right?  Not so fast!  The new disclosure regulations require that the APR that the lender told the buyer in the good faith estimate be no more or less than 1/8 of a percent from the actual APR at settlement.

So whats an 1/8 of a percent on a 200k loan?  $250    OUCH.  Thats not much.

SO if the APR IS off by more than 1/8 of a percent.... the lender must issue a new disclosure and then there is a 3-day waiting period.  Yes - thats right - you are going to have to wait at least 3 days until you can close; depending on how fast the lender and issue the revised good faith estimate.

So how do you get around this potential pitfall?  Easy:

- Make sure all parties are clear on what needs to be fixed and how.

- Provide receipts at least a week (or more) before closing; so any questions or concerns can be resolved.

- Maybe schedule a pre-walk-through 5 or 6 days before settlement.  Of course this may not be possible.  Often sellers are in the midst of packing and moving.  The LAST thing they want is the new buyer coming into the home.

Time will tell how these changes will affect how we do business.  The best idea - FIX IT right the 1st time and document how it was fixed and by whom!

Contact James Downing of the Downing Real Estate Group, if you are selling, buying or have questions!

Office: 202-362-5800   Cell: 703.244.3971

Licensed in Washington DC, Virginia & Maryland.

Coldwell Banker Residential Brokerage - Chevy Chase
5028 Wisconsin Ave NW  Suite 100 * Washington DC 20016