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Local Market Improves

Our local Real Estate Market has improved over the last few months. I'm not jumping for joy, yet, but we have seen an improvement none the less.

Bargain hunters snatching up foreclosures, home owners who pulled their properties off the market, and buyers starting to enter the market helped shrink out local inventory of available homes for sale to its lowest point since March 2008.

Total listing of homes for sale declined 5.1 percent in December compared to November, according to figures compiled from the Rocky Mount MLS.

Total listings at the end of December are a mere 1 percent higher than they were in December 2007 in areas serviced by the Rocky Mount MLS. This is good news!

Demand for housing increased in December and units sold at about the same pace as this summer. 

This is the fourth consecutive month inventories have declined. We still have a saturated market but any improvement in inventory is a welcome development.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2009 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *Local Inventories Improve*

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10 Real Estate Predictions for 2009
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1 commentDavid Recker • January 02 2009 01:03PM

How to Sell Without an Agent

How to Sell Your Home Without an Agent

1. Change ads regularly. Ads lose their effectiveness if repeated without change. Three days is plenty for one ad. Rewrite ads to appeal to different categories of likely buyers. Use plenty of adjectives. Spend time writing good copy because your ad competes with many ads for similar property.

2. Obtain purchase contract forms. Complete the purchase contract except for date, price, terms, and signatures. Make certain that you fully understand every provision. If a prospective buyer wants to use his or her own contract, be alert. Take it to an attorney. What might appear to be a standard form could be one-sided and not say what it appears to say at first reading. With desktop publishing, many wheeler-dealers are using their own forms where the small print taketh away what the large print giveth!

3. Check financing at least once a week with a mortgage company so you will be able to help a buyer understand his or her down payment and monthly costs for various types of mortgages tailored to the buyer's needs. Be prepared to explain loan types to prospective buyers. Many excellent texts are available to help you. You should also understand front-end and back-end qualifying ratios and FICO scores. If you don't understand them, you could waste days, weeks, or even months of effort on a buyer who is unable to obtain financing because of existing debt, insufficient income, or prior credit problems.

4. If a prospective buyer uses the words "subordinate" or "subordination" in the offer, turn and run. If you sign, no matter how good it looks, you are likely giving away your home to a sharp operator. Also, be alert for any deals that seem too good to be true-they generally are. Be particularly wary with any buyer who is buying without any of his or her own cash. If the buyer ends up with more cash than he or she started with, you can be certain you are the victim of a scam. Television infomercials feature buyers who brag about paying practically nothing to own valuable property. A number of fast-talking seminar promoters have instructed thousands in unethical and often illegal procedures. Offers of mortgages on other property, notes, colored stones, diamonds (especially uncut), or other claimed valuables should send you running to an attorney. If you don't have one, I would be happy to recommend several. When an agent is involved, the fast operators don't waste their time. That's why they love For Sale by Owners.

5. Be certain that you have considered and fully understand the effects of the following: seller discount points, payoff penalties on existing loans, assumability of loans, ownership of the impound account, and all closing costs. You should also understand the dangers of "subject-to" financing as opposed to loan assumptions.

6. Make certain that you are prepared with all seller disclosures mandated by state law. If you are not prepared, you may not be able to obligate a buyer to a sale; and if you fail to make a proper disclosure, you could be inviting a lawsuit and substantial damages.

7. Make certain that you fully understand the requirements of state and federal fair housing legislation, or you could find yourself paying a fine or a penalty.

8. Make certain you know who a prospective buyer is before he or she crosses your threshold. There have been far too many horror cases of trusting homeowners who open their homes to persons with intentions other than buying and treat them as if they were honored guests. Try not to be alone when prospective buyers visit.

9. Beware of contingent offers. As a result of a contingency, the property could be tied up for months or even years. The buyer could be a dealer who wants to hold the property as if it were an option that would be exercised only if another buyer is located.

10. Price it right. How did you arrive at your price? Unless you have a written comparative market analysis that considers all recent sales of comparable property, your price could be merely a hunch. Too high a price will almost certainly guarantee that your property will not be sold, and you will be simply wasting time and effort. Too low a price will mean you are giving away dollars that are rightfully yours. You want a realistic price that gives you an advantage over your competition in creating interest in your property. You should then hold to your price with only minor concessions.

11. Understand fully the tax consequences of the sale. How much, if any, of the sales price will be subject to taxation, and at what rate?

If you are determined to sell your home yourself, I wish you good luck. I hope you find this list useful in your efforts.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *How To Sell Without An Agent*

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For Sale By Owner - Things To Consider
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0 commentsDavid Recker • December 29 2008 07:40AM

For Sale By Owner - Things to Consider

Many homeowners believe that to maximize their profit on a home sale they should sell it themselves. At first glance, they feel selling a home is simple and why should they pay a broker fees for something they could do themselves? In fact, close to 9% of all the homes sold last year were sold for sale by owner (FSBO).

However, close to half of the FSBO's said that they would hire a professional next time they sold. Thirty percent said they were unhappy with the results they achieved by choosing FSBO. Why?

Many FSBO's told us that the time, paperwork and everyday responsibilities involved were not worth the amount of money they saved in commissions. For others, the financial savings were even more disappointing. By the time they figured the amount of fees paid to outside consultants, inspectors, appraisers, title lawyers, escrow and loan officers, marketing, advertising... they would have been better off having paid the broker's fee which would have included many of these charges up front.

Before you decide to sell FSBO, consider these questions and weigh the answers of assuming the responsibility versus employing a professional. A little time spent investigating up front will pay off tenfold in the end. 

Do I have the time, energy, know-how, and ability to devote a full forced effort to sell my home?

One of the keys to selling your home efficiently and profitably is complete accessibility. Many homes have sat on the market much longer than necessary because the owner was unwilling or unavailable to show the property. Realize that a certain amount of hours each day is necessary to sell your home. 

Am I prepared to deal with an onslaught of buyers who perceive FSBO's as targets for low balling?

One of the challenges of selling a home is screening unqualified prospects and dealing with lowballers. It often goes unnoticed... how much time, effort and expertise it requires to spot these people quickly. Settling for a lowball bid is usually worse than paying broker commissions.

Am I offering financing options to the buyer? Am I prepared to answer questions about financing?

One of the keys to selling, whether it's a home, a car... anything, is to have all the necessary information the prospective buyer needs and to offer them options. Think about the last time you purchased something of value, did you make a decision before you had all your ducks in a row? By offering financing options you give the home buyer the ability to work on their terms and open up the possibilities of selling your home quickly and more profitably. A professional real estate agent will have a complete team, from lenders to title reps for you to utilize...they'll be at your disposal. 

Do I fully understand the legal ramifications and necessary steps required in selling a home?

Many home sales have been lost due to incomplete paperwork, lack of inspections or not meeting your states disclosure laws. Are you completely informed of all the steps necessary to sell real estate? If not, a professional would be a wise choice. 

Do I have the capability of handling the legal contracts, agreements and any disputes with buyers before or after the offer is presented?

Ask yourself if you are well versed in legalese and if you are prepared to handle disputes with buyers. To avoid any disputes it is wise to put all negotiations and agreements in writing. Many home sales have been lost due to misinterpretation of what was negotiated. 

Have I contacted the necessary professionals....title, inspector (home and pest), attorney, and escrow company?

Are you familiar with top inspectors and escrow companies? Don't randomly select inspectors, attorneys, and title reps. Like any profession there are inadequate individuals who will slow, delay and possibly even cost you the transaction. For more information visit www.M3FSBO.com

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *For Sale By Owner - Things To Consider*

Related Articles:
Simple Repairs That Will Help Your Home Sell
10 Real Estate Predictions for 2009
Thinking of Selling Your Home?

0 commentsDavid Recker • December 26 2008 10:17AM

Tis The Season!

This holiday season, as we share in the spirit of giving and enjoy familiar Christmas traditions, we have the opportunity to reflect on how fortunate we are to live in this great Nation. We also remember our brave men and women in uniform, many of whom will spend the holidays far from home. We are grateful for their service to our country, and for the support and sacrifice of their families.

May you and your family have a safe and joyful holiday season and a prosperous New Year.

0 commentsDavid Recker • December 24 2008 06:52AM

Client Story - Jim & Maria Wanted to Retire to the Ashville Area

Situation
I received a call from a couple wanting to sell their home in Brassfield Estates. Both Jim and Maria were retired and they wanted to move to the Ashville, North Carolina area. The couple had learned about me from my website, www.NCRealEstateWeb.com, and gave me a call.

During our meeting we discussed how I work, why I do the things I do, and exactly what I was going to do to help them get their home sold. At the end of the meeting they informed me that a friend had recommended another Realtor to them. They would contact me with their decision on who they would hire after meeting with the other Realtor.

A few days later they called me and wanted me to list their house.

Critical Issue
Jim and Maria had no pressing issue making them relocate other than they just wanted to move. They had visited the Ashville area many times wanted to make it their new home.

Capabilities Needed
When we met they were looking for a Realtor that was honest, would communicate with them on a regular basis, and work hard to sell their house. They were prepared for their home to remain on the market 6 months to a year based on what they had seen happening  in the neighborhood.

What I provided
I provided accurate and justifiable pricing, simple suggestions to help the home show better, and a custom marketing plan to maximize the exposure of their home within the appropriate buyer group.

Result
The sellers received and accepted an offer on their home in 48 days. 

They were surprised and very pleased that they went "Under Contract" so quickly. In fact, it took a few days after receiving the "Offer to Purchase" to accept the offer because the wife was traveling in Europe at the time. They did not expect to receive an offer so quickly.

Jim and Maria had moved many times during their lifetime. So, when the customer service survey was returned I took great pride in the fact that they stated that it was the "Best experience with a Realtor ever".

This is how I grow my business, one satisfied client at a time.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *Client Story - Jim & Maria Wanted to Retire to Ashville*

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1 commentDavid Recker • December 22 2008 07:33AM

2431 Cokey Rd, Rocky Mount, NC - Home on 7 Acres Overlooking Pond

1 1/2 Story For Sale in Edgecombe County

Main
A Jewel Waiting To Shine

• 262 sq. ft., 2 bath, 2 bdrm 1 1/2 story - MLS® $150,000 - Priced to Sell

Edgecombe County, North Carolina  -  This rustic home with a cabin feel is Priced to Sell! Clean, paint, replace the carpet, and decorate...this is a jewel waiting to shine. This house needs some M_O_N_E_Y but mostly T_L_C. Put your elbow grease to work and gain instant equity! If you are looking for something to make your very own this is it. Your quiet retreat on a 7 acre lot. This is an "AS IS" sale.

Property information

0 commentsDavid Recker • December 20 2008 10:02AM

Some Are Less Inclined To Buy A Foreclosure

RealtyTrac and trulia just released the results of a new joint study. This study shows that fewer buyers are willing to consider purchasing a foreclosed property than they were seven months ago.

Seven months ago, 54 percent of adults surveyed said they would consider purchasing a foreclosed home. In November, only 47 percent of adults say they'd buy a foreclosure.

The main issue is perceived risk. With 80 percent of those surveyed citing hidden repair costs, a tricky buying process, and the possibility that the neighborhood will lose more value and drag the property down with it.

To compensate for these risks, 75 percent say they expect at least a 25 percent discount and 30 percent say they would only buy if there is a 50 percent discount compared with a comparable home that isn't in foreclosure.

Other findings:

* 56 percent of single/never married adults were at least somewhat likely to consider purchasing a foreclosed home, down from 60 percent in April.
* 43 percent of married adults were at least somewhat likely to consider purchasing a foreclosed home, down from 50 percent in April.
* 42 percent of divorced/separated/widowed adults were at least somewhat likely to consider purchasing a foreclosed home, down from 50 percent from April.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *Some Are Less Inclined To Buy A Foreclosure*

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0 commentsDavid Recker • December 19 2008 08:10AM

10 Real Estate Predictions for 2009

2009 will be a year of more challenges and opportunities. Prepare yourself with these predictions from HGTV's FrontDoor.com Web site.

  • Sellers will continue to face falling home values in the new year because they'll be competing with banks and builders who are slashing prices to sell off the still-huge inventory of foreclosures and new homes.
  • The Obama administration will act on its plan to crack down on abusive lending practices.
  • Mortgage holders in danger of losing their homes will receive more assistance from a variety of programs since the Senate's Joint Economic Committee has predicted two million foreclosures in 2009.
  • Banks' restructuring should bring increasing calm, making loan modifications and short sales easier to obtain. Eventually this will lead to a decrease in the number of bank-owned properties on the market.
  • Mortgage applications will continue to receive a comprehensive review, requiring borrowers to provide extensive income and debt documentation. Those with the best credit will get the best rates.
  • The foreclosure crisis has created wiser consumers, with a deeper understanding of real estate, mortgages, and credit enabling better decision-making going forward.
  • Green is good with increasing numbers of buyers opting for smaller homes that are within walking distance of school and work.
  • Buyers and sellers will be more and more tech savvy, relying on tools like video, webcasts, and mobile search. Consumers and practitioners will benefit from being ahead of the curve.
  • Prices will be low as will interest rates, creating great buying opportunities, and likely, inspiring reluctant buyers to make their move.
  • The recession will end and buyers will regain confidence in the market.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *10 Real Estate Predictions For 2009*

Related Articles:
Thinking of Selling Your Home?
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0 commentsDavid Recker • December 18 2008 06:09AM

Thinking of Selling Your Home?

If you own real estate in the Greater Rocky Mount Area of North Carolina that you're thinking of selling, I would be happy to provide you with a FREE Market Analysis. I can help you decide if now is the best time to sell your home. Selling your home without the right agent can be time consuming, stressful, and costly. Contact me to learn how my strategic marketing plan and my expertise will successfully price, market and sell your home in a way the is convenient, simple and affordable to you!

Whether you are buying or selling a home, hire someone like me, who wants to earn your business. I invite you to contact me as I'd be happy to assist you with this important transaction.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687

Copyright © 2008 By David C Recker, NC Real Estate Web Blog. All Rights Reserved.. *Thinking of Selling Your Home?*

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0 commentsDavid Recker • December 17 2008 06:07AM

Simple Repairs That Will Help Your Home Sell

Home improvements tend to inspire thoughts of large, expensive projects. Yet, it is often the little things that add so much value. Do you want to improve your home for resale or personal pleasure but don't want to spend a lot of money? Here are 10 improvements for under $100 each.  

Mailbox

A tired old mailbox detracts from your home's appeal. Replace it with a new one made of quality materials. Depending on the style that best suits your home, you can choose brass, iron, or other materials. You can put one of those cute green mallards on it, or some other visual motif calculated to offend the neighbors.  

Doormat  

Anything at the front door will affect your enjoyment of your home as well as a prospective buyer's impression. Replace that worn, dirty doormat with a fresh new one.  

 Street numbers  

Make your house easy to find with bold street numbers in brass, iron, ceramic, or other quality materials. Sure, those old falling-down aluminum ones work all right, but it would be better if the gap were filled where the "6" is supposed to be, don't you think?  

 Trees or shrubs

Landscaping is one of the best home investments you can make. A well-placed tree or shrub will add to your enjoyment and increase resale value. For under $100, you can choose from a wide selection of quality nursery stock and plant them yourself. If you like, you can play with some of the gardening software that's out there and get an idea of what your work will look like. Try to plan it out in advance; you can add a shrub at a time.  

 Perennial garden

A perennial garden will bloom year after year. This permanence makes it a landscaping fixture and thus adds value to your home. If you prepare and plant the garden yourself, your $100 will buy a good stock of perennials. For the best enjoyment and value, take the time to measure your property and use graph paper to design the best placement of your perennial garden. Many nurseries also offer free help with garden design.  

 Paint

Spruce up a room with a new paint job. The average room can be transformed with about $60 to $80 worth of paint (and that should also cover the cost of a paint roller and brushes). If you want to improve buyer appeal, then avoid trendy color schemes or overly personalized treatments. Choose from a wide selection of neutrals and timeless colors. If the room is a "problem room" -- small, narrow, dark (oops! that's a closet!) -- you can get even more value with a paint job that visually corrects the problem.  

Doorknobs

If your doorknobs are made of cheap material (plastic, for example) or they're just worn and tired, replace them with quality knobs of brass, glass, or other suitable materials. You will appreciate the better quality each time you open a door. Prospective buyers will also notice them as they go through your house. It's roughly the equivalent of "let's slam the car door to see what kind of quality we're looking at here!"  

Light fixtures

Cheap-looking, ho-hum light fixtures downgrade a room. Quality light fixtures can increase your own satisfaction and buyer appeal. The best return on investment is in the bathroom, kitchen, and at the front door. Quality, well-designed light fixtures for these areas can be found for under $100. Another room that benefits from an upgraded light fixture is the dining room. However, if your dining room is a formal one, you can expect to pay hundreds of dollars for a quality fixture.  

 Light switches and outlets

If your home is like many, it probably has basic plastic light switches and plugs. The easiest improvement anyone can do is to upgrade the light switch covers. The best places to do this are in the bathrooms, kitchen, master bedroom, and at the front entrance.  

If yours is also an older home, it probably does not have GFCI (ground-fault circuit interrupter) outlets. These outlets (identified by the red reset button) are used wherever water increases the risk of shock. To improve safety and add value to your home, replace regular outlets with GFCIs in the kitchen, bathrooms, laundry room, and anywhere that water is present. This is an easy do-it-yourself job for anyone who knows electrical repairs (always cut the power at the main panel). If you are not familiar with how to safely replace an electrical outlet, hire a qualified electrician.

This will push the cost over $100 but it will be worthwhile.  

Faucets

Corroded, tired-looking sink and bathtub faucets detract from your bathroom and kitchen appeal. While designer faucets can cost many hundreds of dollars, there are many quality, tasteful sets for less than $100. If you decide to upgrade bathroom faucets, it is worthwhile to buy matching sets for the sink and tub. Faucet replacement is an easy do-it-yourself job that requires only a few common tools (screwdriver, wrench, pliers) and an hour or two of your time. Instructions are usually included with the new faucet.

David C Recker, Associate Broker, Realtor ® licensed in North Carolina. Reach David at: 252-442-2687
Copyright © 2008 By David C Recker, Rocky Mount Real Estate Guy. All Rights Reserved.. *Simple Repairs That Will Help Your Home Sell*

Related Articles:
Price it Right
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0 commentsDavid Recker • December 16 2008 05:41AM