Something that has come up with one of my buyers is the City of Boston initiative to get more people buying (as if there is not enough).
Its called the Cash to Close program,
Silver Line Extended Through Blue Hill Ave
May 13th, 2009 § 0
Dorchester Reporter reports a Blue Hill Ave “enhanced” bus that takes riders from Blue Hill Ave in Mattapan to the current South Station. Good news for those who live off of Blue Hill Ave. Although I could think of better ways to use the stimulus money, I do not have any quarrels about a re-designed blue hill ave.
Homes Sales Up
April 12th, 2009 § 0
The associated press and other news reporters are reporting that nationally home sales are up.
economists were encouraged by the news, saying it reflected buyers who were taking advantage of deep discounts on foreclosures and other distressed properties.
This is good in general for the economy. These numbers may have signaled that we have actually hit bottom. I honestly think that the national market is currently stabilizing and is not still in the free-fall it experienced last year.
Competition in Todays Market
April 4th, 2009 § 0
When helping buyers in today’s market, I have come across buyers who feel that they are entitled. Entitled because they have been pre-approved, entitled because they have the down payment, entitled because of the nightly news of our national economy. News reel will tell you that the market is in an extreme downturn and that homeowners are having trouble selling. I hear buyers say things like “no one has money in this economy” “I can’t make an offer like that in this economy, we’ll ask something [unreasonable].” Usually ending in “in this economy”, these reasons hold no warrants. I have cash buyers who have also lost out on deals because they feel entitled.
Here’s the truth about what I am experiencing in this Boston metro market.
1. Buyers are out there making multiple offers.
2. Places are generally selling close to asking price or above.
3. Offers are made 2-7 days after the place has been on the market
4. Lowballers are loosing out on their first offer, and then realizing that there are other active buyers out there.
In fact, there are a whole lot of other active buyers out there. A general rule of thumb, if you like the place, someone else will. You are not the only buyer in the market! If you wish to view a place with your friend, brother, cousin, mother, and/or sister before you put in an offer, you’ll fall flat. Know this, your brother, sister or other family member is not buying the home with you. And you can always make your offer contingent to another family member viewing the property.
“Pitching the right offer” – Boston.Com
Nice Read
What is a 1031 Exchange
April 1st, 2009 § 0
Looking in to a 1031 exchange, or basically a tax deferred exchange, this program can save you money off of your sale. A taxpayer can sell a property and buy a property in a certain time frame to get deferred gain treatment.
Benefits
- Deferred Capital Gains Tax – Sales are taxable by the IRS, 1031 exchanges are not.
- Save 20-30% (check state)
You need a intermediary to handle the profit of your sale. Get advice from your real estate attorney, if you do not have one, contact me for a list.
Downtown Crossing Revival
March 24th, 2009 § 0
Downtown Boston has not been doing so well. Record breaking vacancy rates, and the temporary loss of Filene’s basement are obviously not helping. But with foot traffic of over 200,000 daily, you’ve got to be curious how this problem could be solved.
Some toss up suggestions about a Trader Joes and a few other interesting places, or a revamped brick walkway with better storefronts, cleaner streets, removal of select stores and the removal of the food court. I do not think removing stores or businesses (aka rising rent or buyout) would help.
The revival is already underway. Filene’s is currently halted but still forthcoming. One Franklin Tower plans to be a massive mixed-used facility with over 1 million square feet. This is the start of the future for Downtown. Here are 11 ideas for the Washington and Winter St cross area:
- Deconstruction and restoration of brick walkways, unique lighting schemes, signage and greenery
- Revamped storefronts planned by a landscape architect
- Total reconstruction of the Downtown Crossing train station
- Continuation of Filene’s project, One Boston place, 45 Province and more mixed used buildings. There are only around 8,000 residents living in Downtown!
- More local businesses to fill in the vacancy using subsidies.
- Less focus on High End and more focus on moderate, a Target?
- Police kiosk or office
- Uniformed carts
- Tax breaks and subsidies for small business owners, moderately priced restaurants = stores that cater to the 100+ thousand people who work within a 10 minute walk
- More outside Summer events and shows
- Affordable condominiums, mind you, we are still talking a 400K range
First Time Home Buyer Tax Credit
March 22nd, 2009 § 1
The 2009 tax credit for first time home buyers is another great incentive this year for buyers looking to capitalize off of the market. Here are some things that differ from last year’s:
- The tax credit does not have to be repaid
- The tax credit is equal to 10 percent of the purchase price (max $8,000)
- If you’re single, your income should be less than or equal to $75,000. Married couples up to $150,000.
- To get the credit, you have to close on or before December 1st, 2009
You can still take advantage of this tax credit if you have not owned a primary residence for three years. Talk to your CPA about more details.
Further help:
IRS Resource
Technorati Tags: 2009 tax credit,buyers,homes,boston real estate,first time home buyer,incentives,search houses
Tips For Buying Foreclosures in Massachusetts
March 21st, 2009 § 0
Here are a few tips I’ve learned with my experience in Foreclosures.
1. Finance - The hardest part of buying a Real Estate Owned (Bank Owned REO) property is the finances. Cash is always the best method to buy these homes. If you are a cash buyer, you are in control. Do not mistake this as saying that you are the best buyer. The bank who owns the property has never seen the property, therefore, it is a number on their long list of assets. A loan can be tricky, banks want the home to be inspected by an appraiser before they can commit to giving you a loan. Most loans require working hot water and heat. A lot of REO’s don’t have working hot water and heat, that’s a problem. The Seller in most cases will not repair anything, period. An option is to install your own hot water and heating system, this could run up to $9,000.00.
2. Value - Again the bank does not know the property, you have to have an agent experienced enough to value the property correctly.
Example: 123 Main St is listed at $250,000.00 by Bank Xpress But, the property is actually valued by a Buyers Agent at $300,000.00.
If most Sellers did this we would actually sell homes much quicker, because the Buyers set the price, always. This is done to foster a competitive bidding environment and sell the home faster (drop their bad asset asap). The above example is a true story. My buyers were initially upset with me because we were outbidded. We put our offer in at $300K, and someone went higher than us. But, in the long run, that offer fell through the cracks and ours was revisited. My buyer bought the property in January this year and they are very happy. FYI, my buyer had to install 2 hot water heaters and a boiler to get a commitment.
3. Numbers Game - As stated before, this whole thing is a numbers game for the bank. Just because your offer may be the best, does not mean they are going to accept it. The offer-acceptance-agreement phases can take weeks or months. I know an agent with 5 buyers who are still negotiating 6 months after the initial offer.
4. Patience - Have plenty of patience with the Seller. Banks have to get every move approved by their upper management. Sometimes you’ll get lucky and have a very responsive bank, most times you will not. Make sure your price and terms are comfortable for you.
2009 Buying Tips For Boston Metropolitan Real Estate
March 20th, 2009 § 0
Inspiration
October 6th, 2008 § 0
Looking for it? I have always been interested in anything involving home improvement, self improvement, I guess, improvement in general. I think it rubs off when you see a beautiful house that you know has been worked on. Nothing is easy, inspiration is a must. I found this blog called fresh homes. Here is a part of their mission statement.
"Our main mission here on Freshome is to inspire you, to give you ideas and make your home a better place to live." 
That alone inspired me, time to get to work!