What Sellers Need to Ask Their Agent

When it comes time to sell your Boston Northwest home, finding the right real estate agent should be at the top of any Seller's list of priorities. While many people know that interviewing several agents before picking one is a smart idea, they may not know what kinds of questions to ask when interviewing those agents to find the "right" agent for them. Simply relying on how you "connect" with the agent or basing this important decision solely on their personality will not necessarily end successfully. You need someone who can get you the results you want. Your agent needs to do a job for you, not just be your friend.

Listing presentations can look similar amongst average agents. One listing looks the same as another, which looks the same as another. This gives the seller very little information to judge an agent's expertise by. In turn, the seller tends to base their decision on the answer to two questions: 1) Which agent is going to sell my home for the most money? and 2) Which agent is going to charge me the least amount of money for their efforts?

The problem with these questions is that, just because an agent tells you they can sell your house for more money doesn't mean they can. If you price your Boston Northwest home too high, you run the risk of leaving it on the market much longer than you want. After a while, you will need to lower your price in order to get a buyer. And, in today's market, many buyers are looking for a "deal". Next, if you hire an agent simply because they charge the least amount of money, you may get an inexperienced agent who doesn't have the budget necessary to showcase your home to its fullest potential and to the widest array of potential buyers. By hiring a more experienced agent who may cost a little more, you actually save yourself money in the long run.

Everyone wants to save money where they can, especially in today's real estate market. But focusing on these two questions alone will not necessarily give you the best result. That's why asking an agent the following four questions when interviewing them will give you a better idea of how strong your agent's skills are and if they are the right one for the job.

1. What percentage of your listings expire and how does this percentage compare to an average agent in the Boston Northwest area?

When you sign a contract with an agent, part of the agreement is that the listing will sell within a certain time frame. If it doesn't sell within that time frame, it becomes "expired". If one agent sells 90% of their listings before they expire while another agent you're interviewing only manages to sell 30%, don't you think that is information you need to know?

2. What is the average Days on Market for your listings?

Let's say that the average for homes to be on the market in your area is 180 days. If an agent is selling their listings within 90-120 days and another agent is taking approximately 220 days to sell their listings, which agent do you want representing your home?

3. What is the average list price to sales price ratio on your listings?

The price a home is listed for is not always the price the home sells for. Some agents start with a higher listing price knowing that it won't sell for that much because they know that, over the next few months, they can bring the price down since you have a contract with them. However, you want to sell your home as quickly as possible, not drag the process out. If an agent you are interviewing has a big difference between the list price and sales price, this could be a big red flag. A great agent will list your home for the price they know it will sell for from Day 1 because they understand how important it is to price a home correctly from the beginning.

4. Do you sell your own listings?

While many agents believe their strengths in marketing homes to other agents and their clients is important, it is equally important to see how they sell their own property to the consumer to determine their effectiveness.

When interviewing real estate agents to sell your Boston Northwest home, you should definitely ask them how much they believe they can sell your home for and what it will cost you to do so. But consider asking them about their expired listings, average days on market, list price to sale price ratio and whether they sell their own listings as well. Judging an agent by their answers to these questions can determine the difference between an effective agent and a disgruntled seller.

Marianne Blackstone Tabner, Your Connection to Boston Northwest, Cape and Islands

Check Your Home for Air Leaks

With the cold Northeast weather descending upon us, I thought it was a good time to talk about how to check your home for air leaks. While most people know that drafts around windows and doors are bad, there are other places you should check that just might surprise you. Here are some of the places you might want to check for air leaks in your home:

• Vents - Heating and plumbing vents are big places where cold air can get in, including the clothes dryer vent to the outside and the exhaust fan from your stove/oven.


• Attic Hatch/Door - We check all doors and windows but forget about the door to the attic.


• Basement - One common place for air to steal its way in and out of your house is where the cement blocks of the exterior walls meet the wood frame of the house.


• Recessed Lights - The box the lights sit in (soffit) typically is not sealed from the outside and doesn't usually fit tight against the wall. Check for gaps and cracks.


• Roofing Nails - Over time, roofing nails become corroded, causing slight holes around the nail. While this doesn't sound like much, think about the fact that there are hundreds of nails used just to nail the shingles on your roof. This means there are hundreds of opportunities for air leaks.

By checking your home for air leaks and sealing them up, you are sure to save money on your heating bills this winter. As always, if you're looking for a home in the Boston Northwest, Cape and Islands area, contact me today!

Marianne Blackstone Tabner, Your Connection to Boston Northwest, Cape and Islands

Christmas by the Numbers

Here are some interesting little tidbits you might enjoy. Christmas by the numbers:

• The U.S. Postal Service will deliver over 16 billion cards, letters and packages between December 1st and Christmas Day.


• Pre-cut Christmas trees account for 78% of all trees purchased in the United States. The rest are sold to people who cut their own trees.


• About 44% of all Americans feel they spend too much on Christmas gifts.


• The average Christmas trip is 275 miles for those traveling to be with loved ones on the holiday.


• Retail stores take in about 15% of their total year's sales in December. For jewelry stores, that percentage rises to 24%.

*Source: U.S. Census Bureau

I hope everyone has a very Merry Christmas and a Happy New Year. Stay safe and enjoy your loved ones. Happy holidays!

Marianne Backstone-Tabner, your connection to Boston Northwest, Cape Cod and the Islands

Are you interested in purchasing a Boston Northwest home but are hesitating because you're waiting for the "right time to buy"? Stop waiting and start searching. Here are the top 10 reasons to buy a home now:

1. Historically Low Interest Rates - Interest rates remain at historic lows. If you have good credit, you could be paying as low as 4.46% for a 30 year fixed-rate mortgage and 3.81% for a 15 year fixed-rate mortgage (as of December 5, 2010). Those rates are too low to pass up.



2. Mortgage Interest Tax Deduction - While the higher ups in the government are currently debating whether this should be stopped to help offset some of the national deficit, the mortgage interest tax deduction is still available for homeowners. So, take advantage of it while it is still available.



3. Community Stability - Research has shown that communities with higher homeownership rates tend to be safer, have higher community involvement and even see higher graduation rates.



4. More Affordable Than Ever - Now that the prices have come down in the last couple of years, owning a home has become affordable again, making it a better financial decision than simply renting.



5. Pay Yourself Instead of a Landlord - By paying a mortgage instead of a rental fee, you are investing in yourself.



6. Property Appreciation - While prices skyrocketed and then plummeted over the past few years, homeowners who have been in their homes for a longer period of time have still experienced an increase in their home value. Typically, homeowners experience a 4 to 6% increase in home value over the lifetime of their ownership.



7. Equity - By owning your home, you can tap into its equity to make major improvements.



8. Cultivating a Garden - With more people looking to grow their own fruits and vegetables, gardening is making a comeback. If you own your land, you have a piece of property you can cultivate your own garden on.



9. Setting Down Roots - Owning a home is your first step to setting down roots for you and your family.



10. Monthly Expenses - Once you pay off your home, your monthly expenses will be significantly less while, if you rent, your expenses stay the same.

Even during the holiday season, don't delay on purchasing your dream Boston Northwest home. The above top 10 reasons to buy a home now speak for themselves. Contact me now to help you find the perfect Cape Cod area home for you.

Marianne Backstone-Tabner, your connection to Boston Northwest, Cape Cod and the Islands

Real Estate Update

Market Update

Housing activity continues to remain above year-ago levels despite some setbacks resulting from the now-expired tax credit. Improved stability in home prices with similar levels of distressed properties seen last year offers a hopeful sign the market is holding its ground. However, the economy still has a considerable way to go to achieve its full recovery.

Consumers are saving more and being picky about how they spend their money. While a higher savings rate means less spending in the near term, this is a positive sign that households are taking control of their finances to build some cushion that can be used to pay down debt and/or support future spending.


Existing home sales marked the twelfth consecutive month of year-over-year increase in June. On a monthly basis, sales activity eased 5.1% from May. The moderation in home sales reflects “understandable swings as buyers responded to the tax credits,” according to Lawrence Yun, NAR chief economist. He anticipates such impact to show up in the next two months.



June’s median home price increased for the fourth consecutive month. Distressed homes, accounting for 32% of sales last month, continued holding home prices at highly affordable levels for the time being. While distressed sales hovered around the same level as a year ago, the gain in home prices is pointing to a sustained stability in the making.

Interest Rates

Mortgage rates set a new record low in July as consumer confidence softened and unemployment remained elevated. This presents a great opportunity for buyers and investors. Coupled with lowered home prices and a robust rental market, investors are finding their way to cash-flow opportunities. As recovery gains deeper roots, rates will need to rise to keep inflation in check.



Rates as of August 6.

This Month's Video

Topics For Home Owners, Buyers & Sellers



Consumers Beware: New Credit Card Tricks

On May 22, 2009, President Obama signed into law the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act of 2009, marking a turning point for American consumers and ending the days of unfair rate hikes and hidden fees. While the new law offers significant safeguards, consumers still need to be vigilant against new practices designed to outflank the new rules.

Stay as informed as possible, read your statement , report any irregularities immediately, and watch for these tricks.

*

Shortened Billing Cycle: The CARD Act requires companies to allow a window of at least 21 days from when a statement is mailed and when payment is due. Cardholders are reporting being shortchanged on billing cycle time and then being assessed late-payment fees.
Advice: Watch out for shortened payment dates.
*

Sunday Due Dates: The CARD Act stipulates if a creditor does not receive or accept payments on weekends or holidays, then the date is extended and late-payment fees shouldn’t be triggered. However, some banks say they’re open for business even when there’s no mail delivery.
Advice: Don’t assume you are safe.
*

Low-Limit Cards: The CARD Act says a card’s total annual fees can’t exceed 25% of a borrower’s credit line. However, some issuers may be evading the fee restrictions by charging an up-front processing fee that doesn’t fall under the 25% cap.
Advice: Watch out for processing and other fees.
*

False Inactive Fees: Issuers will no longer be able to charge inactivity fees or extra charges for people who don’t spend a certain amount each year, effective August 22. However, some issuers are charging an annual fee that’s waived if cardholders reach a certain spending threshold.
Advice: Watch out for conditional annual fees.
*

Rebate Offers: Some credit cards offer refunds on finance charges when customers pay on time. However, rebate offers aren’t governed by the CARD Act, and such offers can be revoked suddenly and for any reason, leaving cardholders stuck with higher charges.
Advice: Rebates may translate to real savings in finance charges.

Source: The Wall Street Journal




Contact me, Marianne Blackstone Tabner

your local real estate expert,

for information about what's going on in our area.

Marianne Blackstone Tabner
REALTOR, CBR, GREEN
Mbtabner@kw.com
www.FineHomesLandAndSea.com
www.MBThomeTeam.com
Keller Williams Realty
200 Baker Ave, Suite 205
Concord, MA 01742
Cell: 978-621-8028
Fax: 978-759-0588







Newsletter Contents

1. Market Update

2. Interest Rates

2. Video

3. Topics for Owners, Buyers & Sellers


Brought to you by KW Research. For additional graphs and details, please see the This Month in Real Estate PowerPoint Report.
The opinions expressed in This Month in Real Estate are intended to supplement opinions on real estate expressed by local and national media, local real estate agents and other expert sources. You should not treat any opinion expressed on This Month in Real Estate as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of opinion. Keller Williams Realty, Inc., does not guarantee and is not responsible for the accuracy or completeness of information, and provides said information without warranties of any kind. All information presented herein is intended and should be used for educational purposes only. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. All investments involve some degree of risk. Keller Williams Realty, Inc., will not be liable for any loss or damage caused by your reliance on information contained in This Month in Real Estate.

Real Estate News

This Month in Real Estate
July 2010

...............................................................................................................................................

Commentary

The U.S. housing market continues to benefit from the tax credit: home prices and sales remain above year-ago levels. As the summer progresses, however, the positive impact of government stimulus will wind down. Experts point to improved stability as a sign the market can likely hold its ground without further support from the government. However, economists indicate that the key for the housing market through the end of 2010 will be job growth and a manageable level of distressed properties.

The economy continues its journey to recovery with two steps forward and one step back, but the ground lost during the recession was great and the progress so far should be celebrated. The road to this particular recovery has been expected to be more prolonged than many previous recovery periods. Consumer confidence lowered from its high in May primarily due to a disappointing employment report, while the swelling federal deficit has also raised concern. Unmanageable debt levels have lead some European countries into their current situation, and Americans do not want to follow suit.

A job bill that would have further extended unemployment benefits has not gotten off the ground due to concerns over the deficit. Sited as a top priority for the government, a financial overhaul bill continues to proceed though Congress. The bill’s goal is to protect the financial system and the average consumer from unnecessary risk and unsound lending practices in an effort to build a stronger system for the long-term stability of the U.S. economy.

The Housing Market

Existing Home Sales

Existing home sales slowed slightly in May to 5.66 million, down 2.2% from April but up 19.2% from last May. This is the eleventh consecutive month of year-over-year increase. Lawrence Yun, NAR chief economist, attributes this to the “ongoing effects of the home buyer tax credit,” and he anticipates the same next month. In May, 46% of sales were from first-time buyers, down slightly from the previous month’s 49% but still considered high.

Median Home Price

The median price for an existing home was $179,600 in May, up 2.8% from a year ago and 4.2% from April. Distressed homes, accounting for 31% of last month’s sales, continued skewing prices downward slightly as they are usually discounted from comparable homes. Overall, prices this past year continued to show increased stability over the previous year. Vicki Cox Golder, president of NAR states, “With distressed sales at roughly the same level as a year ago, the gain in home prices is a hopeful sign that the market is in a good position to stand on its own without further government stimulus.”

Inventory

Total housing inventory declined slightly to 4.89 million in May, representing between eight and eight-and-a-half month supply of sales (if homes continue to sell at the current pace consistently and no new ones come on the market). There are about the same number of homes for sale as last year, with 1% more currently available. Although there continues to be a nice selection of available homes for buyers, the 3.4% fewer number from last month helps to further stabilize prices.

Mortgage Rates

Mortgage rates fell to a new record low in June amid a drop in consumer confidence concerning the recovery. The tone of the Federal Reserve’s latest meeting was notably tempered on the outlook for recovery, indicating that the economy is stronger than last year but there is still much ground to cover. Interest rates significantly below 5% may pique the interest of more investors.

Affordability

Affordability remains advantageous, supported by the lowest mortgage rates in decades as well as lowered home prices. The home price-to-income ratio continues to remain well below the historical average of 25%, but stabilized home prices are drawing affordability back up toward more normal levels. The ratio now stands at 15.4%.
Sources: National Association of Realtors, Freddie Mac

Government Action

Tax Credit’s Closing Deadline Extended

Home buyers who signed a contract before the end of April will now have three additional months to close and still be eligible for the homebuyer tax credit. A bill to extend the deadline to September 30 obtained congressional approval on June 30, the evening it was set to expire.

Many of these buyers are purchasing short sales which have notably slower contract-to-close time frames. A KW Research study found short sales often take twice as long to close as typical home sales.

While this does not extend the credit to any additional buyers, it is great news for those 180,000 who have not yet closed on their home sale through no fault of their own.

Source: WSJ.com

Topics For Buyers & Sellers

Real Estate Investing

The increased affordability and low interest rates may have some thinking about purchasing real estate investment properties. Here are a few key points on investing from The Millionaire Real Estate Investor:

* Criteria: Criteria are the standards that define what kind of property you are looking for. These are the things that you list when you are hunting for the next opportunity to invest in: Is it a single family or multi-family opportunity? What features or amenities does it have? What is the location? These are aspects of the property that can’t be negotiated.

* Terms: This is how you turn your opportunity into a good deal. Once the property meets your criteria, terms are the negotiable aspects of your investment, such as the offer price, the down payment, interest rates, occupancy date, and closing costs. Terms are where a great deal can be created from even the most modest criteria. They mean understanding the financial basics of a transaction, knowing which elements are flexible, being systematic about getting all you can from every deal, and also, for some, knowing when to walk away.

There are some great terms right now with record-low interest rates and discounted distressed properties. Keep in mind that the lending for investment properties has additional requirements – like cash reserves and total property limits. Talk to a professional for more information.

* Network: the people who help you find, complete, and support your real estate investments.

Contact me,

your local real estate expert,

for information about what's going on in our area.

Marianne Blackstone Tabner
REALTOR, CBR, GREEN
Mbtabner@kw.com
www.FineHomesLandAndSea.com
www.MBThomeTeam.com
Keller Williams Realty
200 Baker Ave, Suite 205
Concord, MA 01742
Cell: 978-621-8028
Fax: 978-759-0588

Update on Home Buyer Tax Credit!

Home Buyer Tax Credits

Brought to you by the National Association of Home Builders

The Home Buyer Tax Credits Have Expired

The $8,000 tax credit for first-time home buyers and the $6,500 tax credit for repeat home buyers have expired. However, service members who were on official extended duty outside of the United States for at least 90 days between Jan.1, 2009 and May 1, 2010, may qualify for a one-year extension.

For home purchases where a binding sales contract was signed by April 30, 2010, otherwise qualified buyers now have until September 30, 2010 to complete the purchase. Congress has extended the closing date to provide buyers who had binding sales contracts in place by April 30, 2010, additional time to complete their purchases.

Although the home buyer tax credits have expired, the National Association of Home Builders will continue to maintain this website as a public service.

* Frequently asked questions about the $8,000 first-time home buyer tax credit.
* Frequently asked questions about the $6,500 tax credit for repeat home buyers.
* Special rules that apply to members of the military, the foreign service and the intelligence community.

Marianne Blackstone Tabner
REALTOR, CBR, GREEN
Mbtabner@kw.com
www.FineHomesLandAndSea.com
www.MBThomeTeam.com
Keller Williams Realty
200 Baker Ave, Suite 205
Concord, MA 01742
Cell: 978-621-8028
Fax: 978-759-0588

23 Falmouth Woods Rd, East Falmouth, MA 02536 ......"Your connection To Boston NorthWest, Cape Cod and The Islands."