Six Reasons why you should Buy Now! And take my survey on the upper right of this blog!
Article from Realtor.org via Wall Street Journal:
The housing market is looking healthier. Here are six reasons why now is the time to jump into the market.
1. Uncle Sam is willing to help. First-time buyers (defined as anyone who hasn’t owned a home in the last three years) are entitled to a maximum $8,000 tax credit; interest rates are at record lows; and the Federal Reserve is doing its best to make mortgage loans available. (Sign up for a Webinar to learn more about the home buyer tax credit)
2. People have to live somewhere. About 800,000 new households are formed each year in this country, ensuring that the housing market will tighten, even if the economy doesn’t soar.
3. Borrowers leverage their investment. If you put $10,000 into the stock market and it earns 10 percent, you’ve earned $1,000. If you put $10,000 down on a home and its values increases 10 percent, you’ve made $10,000.
4. When prices come back up, you’ll have instant equity. In parts of the country where foreclosures have driven down prices, better times will mean the price of the home you buy will rise rapidly.
5. Mortgage costs stay the same. If you get a fixed-rate mortgage, the monthly payment stays the same – while everything else, including rent, goes upward.
6. You own it. There is something comforting in the notion that your home is your own. You can paint it any color you want, let the dog run in the back yard and hang a swing for the kids in the front.
Source: The Wall Street Journal, June Fletcher (03/27/2009)
For those interested in GOOD NEWS about Real Estate - the facts with a Positive Spin!
Tuesday, March 31, 2009
Friday, March 27, 2009
And it came to pass....
And it came to pass... have you heard that before? It's the start of many a story and parable... But notice what it SAYS... It came to pass... It didn't come to STAY... but to go THROUGH... to PASS.I'm reading Spiritual Economics by Eric Butterworth
and finding it so incredibly pertinent today... though it was written in 1993...
I believe it was written FOR this time we live in now. Although he passed away in 2003, this man was a visionary... he wrote this for NOW.
When I think about the challenges... or PROJECTS as Eric Butterworth calls them, in my life and in our world economic situation, I'm starting that "story" in my head with "And it came to pass"... and KNOW that this situation is TEMPORARY. We all know it WILL get better.... We all know there ARE opportunities (the SILVER LINING) in each challenge/project we have going on... I was also reading an article by Scott Hamilton (Olympic skater) and picked up a few tips:
1. Ask for SUPPORT. Friends, family, church...(don't forget ME)... Don't face things alone! We are social animals, we humans... we are not designed to face difficult things alone, so don't try to! REACH OUT.
2. Find your STRENGTH. We may not control the things happening, but we CAN control some things. You may not control the FIRST thought that pops into your head, but you CAN control the one AFTER that! Remember... REACT or RESPOND? Where are your strengths in this situation? Write down what they are!
3. DO SOMETHING about it and don't delay. Waiting to act doesn't help. Get to it. Make that call. Fax that form. Email that person. Write that paper. Mail that letter. And do it RIGHT NOW.
4. SMILE. Finding something to smile about... laugh about... is so important. Not just to those around you, but to YOU! Scott called it "sell your smile... even to yourself"... Watch a funny movie, tell your "story" in a silly way....
Last night, my friend Bill Worth told a story about a man he knew that when faced with a challenge would say... "In the light of the eternal, how could THIS possibly matter??" I thought it was a good way to look at things.... Remember: And it came to PASS....
Contact me if I can help you in any way...fastest is email: Donna.Stott@mac.com or on my cell phone... 808-294-1412... Have a GREAT weekend!
and finding it so incredibly pertinent today... though it was written in 1993...
I believe it was written FOR this time we live in now. Although he passed away in 2003, this man was a visionary... he wrote this for NOW.
When I think about the challenges... or PROJECTS as Eric Butterworth calls them, in my life and in our world economic situation, I'm starting that "story" in my head with "And it came to pass"... and KNOW that this situation is TEMPORARY. We all know it WILL get better.... We all know there ARE opportunities (the SILVER LINING) in each challenge/project we have going on... I was also reading an article by Scott Hamilton (Olympic skater) and picked up a few tips:
1. Ask for SUPPORT. Friends, family, church...(don't forget ME)... Don't face things alone! We are social animals, we humans... we are not designed to face difficult things alone, so don't try to! REACH OUT.
2. Find your STRENGTH. We may not control the things happening, but we CAN control some things. You may not control the FIRST thought that pops into your head, but you CAN control the one AFTER that! Remember... REACT or RESPOND? Where are your strengths in this situation? Write down what they are!
3. DO SOMETHING about it and don't delay. Waiting to act doesn't help. Get to it. Make that call. Fax that form. Email that person. Write that paper. Mail that letter. And do it RIGHT NOW.
4. SMILE. Finding something to smile about... laugh about... is so important. Not just to those around you, but to YOU! Scott called it "sell your smile... even to yourself"... Watch a funny movie, tell your "story" in a silly way....
Last night, my friend Bill Worth told a story about a man he knew that when faced with a challenge would say... "In the light of the eternal, how could THIS possibly matter??" I thought it was a good way to look at things.... Remember: And it came to PASS....
Contact me if I can help you in any way...fastest is email: Donna.Stott@mac.com or on my cell phone... 808-294-1412... Have a GREAT weekend!
Tuesday, March 24, 2009
Interest Rates Falling Again!
GOOD NEWS! Interest rates are falling again! Latest report I read said close to 4.75% in the coming weeks! Be SURE you are taking advantage of this... How important is it?
If you are a first time Buyer, and buy for $200,000 at 4.75% fixed rate for 30 yrs, that payment (P&I) is about $1039/mo... not that long ago, that rate would have been closer to 6.5%, which would have been $1257/mo... that's a savings on the SAME price of about $218/mo...
If you own a home now and are paying over 5.5%, you should consider looking at the savings of refinancing, or selling and buying a new home at a lower rate. Many people can now buy a bigger and/or better home for little or even no more money per month! That could be important if rates rise again later and that option is no longer available. Now may be the time! Action is key.
This could mean a lot if you bought some time ago.... Let's say you bought 4-7 years ago with a $400,000 loan and got a 7% interest rate (which sounded great compared to your first loan in 1985 at 14% interest on your home!) ~ Your current Principle and Interest is probably around $2645/mo (plus taxes and insurance). If you were to get a new loan for $400,000 today, at 4.75%, that monthly P&I would be $2,078. Almost $600/mo less.
See how important the interest rate is?? Let me know if you want me to calculate a rate for you... Donna.Stott@mac.com is my email!
If you are a first time Buyer, and buy for $200,000 at 4.75% fixed rate for 30 yrs, that payment (P&I) is about $1039/mo... not that long ago, that rate would have been closer to 6.5%, which would have been $1257/mo... that's a savings on the SAME price of about $218/mo...
If you own a home now and are paying over 5.5%, you should consider looking at the savings of refinancing, or selling and buying a new home at a lower rate. Many people can now buy a bigger and/or better home for little or even no more money per month! That could be important if rates rise again later and that option is no longer available. Now may be the time! Action is key.
This could mean a lot if you bought some time ago.... Let's say you bought 4-7 years ago with a $400,000 loan and got a 7% interest rate (which sounded great compared to your first loan in 1985 at 14% interest on your home!) ~ Your current Principle and Interest is probably around $2645/mo (plus taxes and insurance). If you were to get a new loan for $400,000 today, at 4.75%, that monthly P&I would be $2,078. Almost $600/mo less.
See how important the interest rate is?? Let me know if you want me to calculate a rate for you... Donna.Stott@mac.com is my email!
Saturday, March 21, 2009
It's a New Day
Happy Saturday... am looking forward to March marching on... and April coming on in! It's a beautiful life-changing day for our family. Hope you are enjoying these posts. I'm slowly learning the site and look forward to hearing more comments from you all about it! Check out the last post... is it something you should be thinking about??
Friday, March 20, 2009
For the Numbers People... Interest Rates! Wow!
Mortgage interest rates have fallen again to 38 year lows. BELOW 5% for many. What does this mean to you?
Example A : As a New Buyer... When is paying $200K better than paying $180K?
If you mortgaged $200K at 4.98% interest (quoted rate today), 30 yr loan.. the P&I payment is $1067/mo -- BUT... what if prices go lower?? Let's say the price fell to $180K but the interest rate went up 1.5%... (still low historically). That $180K mortgage at 6.5% would cost you $1131/mo!! $64 MORE than if you'd bought at $200K and 4.98%....
So, buying at $200K can cost you LESS than buying at $180K due to the interest rate! If you are thinking of buying this year. NOW may be THE MOMENT. Prices are low, interest rates make the payment even LOWER.
Example B: Moving up to a bigger, better home. Why NOW?
Let's say you bought 8 years ago and your home value went way up and has come back down again... you're thinking... I'll wait until it goes back up to buy the next home. That COULD be a mistake....
Let's say you have $125K equity left in your $250K home... And the house you want to buy is down from $450K to $395K.
Your interest rate on the home you bought is still at 8% and your payments are about $1167/mo... If you buy the new home at $395K and put your $125K down your payments are $1440/mo. For $273/mo you can have the bigger better house NOW!
If you waited for your home to rise 15% to $287,500... sounds good, right? But that home you could have bought for $395K now is up 15% too... or up to $454,250. You gained $37,500 on the wait on the sell end, but lsot $59,250 on the buy end! Not good math. BUT, if you did it NOW, then YOU would be the one GAINING that $59K in equity when the market rises on the bigger better house!
Does that make sense? Let me know if I can help or answer any questions: donna.stott@mac.com
Example A : As a New Buyer... When is paying $200K better than paying $180K?
If you mortgaged $200K at 4.98% interest (quoted rate today), 30 yr loan.. the P&I payment is $1067/mo -- BUT... what if prices go lower?? Let's say the price fell to $180K but the interest rate went up 1.5%... (still low historically). That $180K mortgage at 6.5% would cost you $1131/mo!! $64 MORE than if you'd bought at $200K and 4.98%....
So, buying at $200K can cost you LESS than buying at $180K due to the interest rate! If you are thinking of buying this year. NOW may be THE MOMENT. Prices are low, interest rates make the payment even LOWER.
Example B: Moving up to a bigger, better home. Why NOW?
Let's say you bought 8 years ago and your home value went way up and has come back down again... you're thinking... I'll wait until it goes back up to buy the next home. That COULD be a mistake....
Let's say you have $125K equity left in your $250K home... And the house you want to buy is down from $450K to $395K.
Your interest rate on the home you bought is still at 8% and your payments are about $1167/mo... If you buy the new home at $395K and put your $125K down your payments are $1440/mo. For $273/mo you can have the bigger better house NOW!
If you waited for your home to rise 15% to $287,500... sounds good, right? But that home you could have bought for $395K now is up 15% too... or up to $454,250. You gained $37,500 on the wait on the sell end, but lsot $59,250 on the buy end! Not good math. BUT, if you did it NOW, then YOU would be the one GAINING that $59K in equity when the market rises on the bigger better house!
Does that make sense? Let me know if I can help or answer any questions: donna.stott@mac.com
Thursday, March 19, 2009
Today's Silver Lining
There is a big difference between "reacting" and "responding" to a situation. The difference is in our minds. Our brain and ability to think. In real estate, responding is more important than ever.
Think about this: Every day the news is full of negative information. You can "react"... which is the automatic thing to do... or you could choose to THINK.. and then calmly, with focus, with intent - "respond".
How are you responding this week? Take a breath. Think. And if you want someone to bounce the possible responses off of, contact me.
Have a fantastic day!
Donna and the Burke and Stott Team
Your Real Estate Market Experts
Think about this: Every day the news is full of negative information. You can "react"... which is the automatic thing to do... or you could choose to THINK.. and then calmly, with focus, with intent - "respond".
How are you responding this week? Take a breath. Think. And if you want someone to bounce the possible responses off of, contact me.
Have a fantastic day!
Donna and the Burke and Stott Team
Your Real Estate Market Experts
Tuesday, March 17, 2009
The Silver Lining
In every situation there is a Silver Lining. Our individual job is to go through a 3 step process... to find it... focus on it... and (if it's right for you) follow it. If you didn't read my first post yet, take a look at the 4 winners in this real estate cycle below. YOU or someone you know (maybe many someones) can be taking this cycle and turning it into a WIN.
If you've identified which of the 4 you are, then you've "found it"... the next step is to "focus on it" meaning - start asking questions.... Ask us! Asking doesn't take to to the 3rd step of "following it" but it does give you more information, which is what you need to make the decision about whether or not to move to the 3rd step.
So... time to contact us! Let us do a free, no obligation consultation for you. Email me at Donna.Stott@mac.com or give me a call at 1-808-294-1412. No matter where you are across the country, I can help. Let's work together to make YOU a WINNER is this real estate cycle... and find YOUR "Silver Lining".... Have a terrific day!
If you've identified which of the 4 you are, then you've "found it"... the next step is to "focus on it" meaning - start asking questions.... Ask us! Asking doesn't take to to the 3rd step of "following it" but it does give you more information, which is what you need to make the decision about whether or not to move to the 3rd step.
So... time to contact us! Let us do a free, no obligation consultation for you. Email me at Donna.Stott@mac.com or give me a call at 1-808-294-1412. No matter where you are across the country, I can help. Let's work together to make YOU a WINNER is this real estate cycle... and find YOUR "Silver Lining".... Have a terrific day!
Saturday, March 14, 2009
The Silver Lining
There will be 4 types of WINNERS in this real estate cycle.
Warren Buffet quote: "Now is the time to invest and get rich." -Warren Buffet, October 1974
Quote from the Good News Economist: The Stock Market Chart for 1974 looks surprisingly similar to the 2008 stock market chart. From October 1973, through the end of 1974, the markets collapsed.
Let's look at the 4 types of winners in this Real Estate Cycle... ALL require ACTION. ~ Which One fits you?
1. First time buyers, or those that have not owned in 3 yrs. The $8,000 tax credit is just ONE part of why you should buy this year. A big part, but not the only reason. Ask for my list of all the reasons why you should buy this year. Email me at Donna.Stott@mac.com
2. Move Up Seller/Buyer. If you own a home now, you could win BIG TIME in using this market to allow you into a bigger or better home with NO or LITTLE additional cost to you. And when the market does turn back up, you win on the % at a higher price point. Want me to explain in more detail? Just ask for my flyer on that subject. Email me at Donna.Stott@mac.com
3. Those in trouble with their real estate... that act QUICKLY. Yes, most of you CAN get out of trouble with the right advice and a professional that knows what to do to get you out before it gets worse or impossible. We can also advise how long until you can get back in the market. Don't let it get worse. ACT NOW. Ask for our page on this if you need it or think you're GOING to need it.... Private and confidential. Email me at Donna.Stott@mac.com
4. Investors. Think Buffet... The deals for investors with cash or a good down payment (20-25%) are incredible. Wonderful positive cash flows are out here. Historically each peak in the market exceeds the previous peak. Look at that gap now... Wow. There are millionaires waiting to be made by those that act now when many people are living in Fear. These are the winners of the last downturns. You can be one of those winners. Let's discuss if you qualify to be on our email list for properties that you could win BIG on in the long term! Email me at Donna.Stott@mac.com
Warren Buffet quote: "Now is the time to invest and get rich." -Warren Buffet, October 1974
Quote from the Good News Economist: The Stock Market Chart for 1974 looks surprisingly similar to the 2008 stock market chart. From October 1973, through the end of 1974, the markets collapsed.
Let's look at the 4 types of winners in this Real Estate Cycle... ALL require ACTION. ~ Which One fits you?
1. First time buyers, or those that have not owned in 3 yrs. The $8,000 tax credit is just ONE part of why you should buy this year. A big part, but not the only reason. Ask for my list of all the reasons why you should buy this year. Email me at Donna.Stott@mac.com
2. Move Up Seller/Buyer. If you own a home now, you could win BIG TIME in using this market to allow you into a bigger or better home with NO or LITTLE additional cost to you. And when the market does turn back up, you win on the % at a higher price point. Want me to explain in more detail? Just ask for my flyer on that subject. Email me at Donna.Stott@mac.com
3. Those in trouble with their real estate... that act QUICKLY. Yes, most of you CAN get out of trouble with the right advice and a professional that knows what to do to get you out before it gets worse or impossible. We can also advise how long until you can get back in the market. Don't let it get worse. ACT NOW. Ask for our page on this if you need it or think you're GOING to need it.... Private and confidential. Email me at Donna.Stott@mac.com
4. Investors. Think Buffet... The deals for investors with cash or a good down payment (20-25%) are incredible. Wonderful positive cash flows are out here. Historically each peak in the market exceeds the previous peak. Look at that gap now... Wow. There are millionaires waiting to be made by those that act now when many people are living in Fear. These are the winners of the last downturns. You can be one of those winners. Let's discuss if you qualify to be on our email list for properties that you could win BIG on in the long term! Email me at Donna.Stott@mac.com
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