Archive for the ‘Selling your home’ Category
Monday, March 12th, 2012
If you’re moving to a new home in Philadelphia, and it’s a bit smaller than your current digs, you may have a storage space problem. Not to fear! There are plenty of ways to efficiently downsize without feeling like you’re cramming too much into too little. Here are a few steps to take when it comes to finding the right spot for all of your belongings.
Got too much of a good thing? Sell it before you move, says Stembridge.
You know that 3rd TV set at the bottom of your coat closet? What about that extra bicycle that’s missing a tire, so you never use it? And certainly there are a couple of boxes worth of clothes that you never have any intention of wearing again. If you don’t have the time or the patience to sell these things on eBay or craigslist, and you’re not in a position to have a good old fashioned garage sale either, then you have 2 options: 1) hire someone else to sell everything, or 2) give it away. The point is that you’re not going to waste resources on moving it to your new place or waste space on continuing to house it.
Storage units are great for holiday decorations and other seasonal items like summer backyard toys, winter coats, old baby furniture that might get used again or heirlooms. Rent one that isn’t too far away from your new place of residence and make sure it’s secure, so that you don’t have to worry about a thing. Climate controlled units are better than storing things in your hot attic or dank basement anyway.
Self-storage facilities are great places to put things you still need but don't need to keep close at hand.
We often forget that we can free up a lot of room when we hang things from the ceiling or on a wall rack. Pots and pans, produce basket, towel rack and basket, kitchen knife rack, plate rack, spice rack, book shelves, toy hammocks, yard tools, bicycles and many more items can all fit perfectly well in your home without taking up an inch of floor or cabinet space.
You may have to get a little creative, but that’s part of the charm of decorating. Just remember that you don’t have to suffer in clutter! You can organize, sell and store your way into a comfortable and tidy living space.
–By Garret Stembridge, special to PhillyLiving.com
Working with self storage users all over the United States, Garret Stembridge helps customers store their stuff in places like a Philadelphia self storage facility and a York self storage unit. Garret is an avid outdoorsman who hunts and fishes, and a beekeeper with established beehives.
Posted in Articles, Buying a Home, Philadelphia real estate, Selling your home | No Comments »
Thursday, March 1st, 2012
Philadelphia real estate bargain hunters, rejoice: you can save a bundle if you buy a bank-owned property in this region. Assuming you find one you like, that is.
According to the foreclosure site RealtyTrac, bank owned homes in the Philadelphia-Wilmington-Camden real estate market sell at an average of 52.5 percent below current market values as of the fourth quarter of 2011. That’s good enough to rank Philly second among all U.S. metros in the size of the discount a foreclosure buyer can expect. Only Milwaukee-Waukesha-West Allis, Wis., where foreclosures sold at an average 57.9% discount, offered bigger housing bargains.
Those bargains, however, will be a little harder to find than in real estate foreclosure hot spots like California, Nevada and Florida. In the last quarter of 2011, foreclosed properties accounted for 7 percent of all real estate sales in the Philadelphia metropolitan region, according to RealtyTrac. That share of the Philadelphia real estate market is up about 8 percent from the preceding quarter, but it’s also half as large as foreclosures’ share of all sales nationwide.
For the year as a whole, sales of foreclosed properties accounted for just over 6 percent of all greater Philadelphia real estate sales transactions, a drop in market share of 10 percent from the previous year. Nationwide, foreclosures accounted for about one in every four home sales in 2011, RealtyTrac CEO Brandon Moore told The Philadelphia Inquirer.
According to the Inquirer, changes in bank policies designed to get foreclosed homes into the hands of buyers faster explain most of the rise in sales activity in the last quarter.
But even though the foreclosure bargains are quite good indeed, the fact that there are so few of them relative to the market as a whole indicates that the greater Philadelphia real estate market remains in better shape than most across the country.
–By Sandy Smith
Tags: coldwell banker preferred, living in philly, noah ostroff, philadelphia real estate market, Philly Living Blog
Posted in Articles, Buying a Home, Conventional Loans, FHA, Foreclosures, Philadelphia real estate, Selling your home | No Comments »
Thursday, February 16th, 2012
Even though the real estate market has been tumultuous for many recently, Philadelphia somehow seems to be doing much better compared to most other parts of the country. The local market has some activity, as in housing is being purchased and seeing increases. Additionally, construction of new single-family homes continues to go up, especially in the suburbs.
One point of prosperity in the Philly real estate market lies in the increase in existing home sales into December. December 2011 took in about five more percent of existing sales than December 2010 did. Sales from the end of last year thus far have been positive. This is something the housing market needs momentously. Thus far in 2012, there hasn’t been a significant increase in homes purchased but there is certainly a growing interest in property expected to take place.
On the seller’s side, there is hope that rising apartment rental rates could drive some potential buyers back into the fold in 2012. The average rental rate for all Philadelphia apartments has gone up nearly eight percent in the last year alone. This equals an increase of nearly $80 in the past year alone. The thought is that those individuals or couples on the fence about renting and buying could take a more serious look at buying, especially with today’s mortgage rates.
Reports have shown that mortgage rates have been hitting record lows throughout the country, as well as here in Philadelphia, which is certainly inviting for potential buyers. Right now, a 30-year fixed-rate mortgage is coming with 4.007 APR. With mortgage rates being this low and rentals continuing to increase in price, there is hope that some buyers will begin to see the benefits of buying in early 2012.
Right now, Philadelphia’s top selling areas have remained the northwestern and western areas of Center City. However, other parts of Philadelphia have retained their value attracting buyers and keeping the market going.
Right now, the big issue the city faces is sale prices, specifically for sellers. It is important to note that even though sales prices have dropped in this area, they have not plummeted as much as other cities across the country.
Rittenhouse Square, in western Center City, continues to show strength
In the coming months, there is reason to be optimistic that these prices can get a small pickup. Median prices were down about six percent in December from the previous year, but this could have been expected. The months of November and December are generally regarded as slow months for real estate anyway, but the numbers shouldn’t have too heavy an impact on the rest of the first quarter of 2012.
A glance at the early trends in 2012 Philadelphia real estate is truly a mixed bag right now. Coming off the month of December is usually not pretty for any market; however, the Philly market has looked rather stable in the early part of the year. Regardless, it should remain to be seen if factors such as mortgage rates, rising rental rates and an increase in existing home sales can positively influence the market for both buyers and sellers throughout the first half of 2012.
–By Emma Crawford, special to PhillyLiving.com
Tags: coldwell banker preferred, noah ostroff, Philly Living, Philly Living Blog
Posted in Art Museum, Bella Vista, Buying a Home, Center City, Chestnut Hill, Conventional Loans, East Falls, Fairmount, FHA, Fishtown, Graduate Hospital, Loft District, Logan Square, Market stats, Mortgages, Neighborhood Pages, Northern Liberties, Old City, Pennsport, Philadelphia real estate, Point Breeze, Queen Village, Rentals, Rittenhouse Square, Roxborough, Selling your home, Society Hill, South Philly, Washington Square, Washington Square West | No Comments »
Wednesday, January 25th, 2012
Perhaps there's an alternative to this as a way to revive the housing market.
While the market for real estate in Philadelphia and nationwide has shown signs of slow but steady recovery since the bursting of the housing bubble in 2008, the housing market recovery is nowhere near as robust as it needs to be to power a general economic recovery.
One reason why: Homeowners remain over their heads in debt, and until that debt is cleared, many who might otherwise enter the market will remain on the sidelines. How to clear that debt has suddenly become a topic of conversation. Foreclosure, a relatively slow process, is right now the only method being used to reduce the debt overhang. Recently, though, a growing number of observers are calling for a faster method, but one that will be more painful for the lenders: Forgiveness.
That’s right – the banks should simply write off the debt as uncollectible, take the losses, forgive the debt and move on.
At a campaign stop in Florida recently, Republican presidential candidate Mitt Romney actually broached the subject with struggling homeowners there:
”We’re just so overleveraged, so much debt in our society, and some of the institutions that hold it aren’t willing to write it off and say they made a mistake, they loaned too much, we’re overextended, write those down and start over. They keep on trying to harangue and pretend what they have on their books is still what it’s worth.”
Similar calls for debt write-downs have been made by MSNBC commentator Dylan Ratigan. Forbes contributor E.J. Kain even went so far as to invoke a practice dating back to Biblical times – the declaration of a jubilee year in which all debts were forgiven and debtors released from their obligations – in calling for a general debt write-down in order to spark recovery.
The downside of a large-scale write-down of debt is that it will send some banks down the drain. That fear has so far kept bankers from even considering such a step. But one reason the recovery in the housing market – and the economy in general – has been relatively anemic is because the excess debt has not been dealt with expeditiously. Instead, as Romney noted, we have tried to prop up tottering banks by acting as if the debts were still worth something. If, instead, we took the losses and forgave the debt, we might see broader, faster and stronger recovery across the board – and nowhere more than in real estate. Of course, there will be short-term pain, just as there was when the Federal Reserve sent interest rates soaring in the early 1980s to wring the inflation out of the economy. But the gain afterwards will make that pain just a memory in short order.
–By Sandy Smith
Tags: coldwell banker preferred, debt relief, debt restructuring, housing market, loan forgiveness, noah ostroff, Philadelphia Housing Market, philadelphia real estate
Posted in Articles, Buying a Home, Foreclosures, Market stats, Mortgages, Philadelphia real estate, Selling your home | No Comments »
Monday, January 23rd, 2012
On the whole, it’s still a good time to buy if you are in the market for real estate in Philadelphia. But some market conditions are beginning to trend more favorably for sellers as well.
That’s our reading of the data in the latest Philly Living Market Action Report. Our quarterly guide to real estate market trends in Center City and surrounding Philadelphia neighborhoods offers grounds for cautious optimism in the months to come. While sales volume is down for the quarter relative to the previous year, it is up significantly from the previous month and quarter, running counter to the usual end-of-year downturn. The average selling price for homes in Center City and environs rose significantly from last quarter and one year ago, while the median selling price fell slightly in both cases. This suggests that buyers on the whole are still looking for value, even though a few opted for properties at the upper end of the scale.
In terms of prices, the highest prices continue to be commanded in the city’s two most desirable neighborhoods: Rittenhouse Square (19103) and Chestnut Hill (19118). Worth noting, however, is a continued, sustained upward trend in median selling prices in Southwest Center City and Point Breeze (19146), reflecting especially increased activity in the latter neighborhood.
Inventory continues to decline, offering the prospect of better prices for sellers in the months to come, but days on market rose slightly, suggesting buyers are still waiting sellers out. Sale price-to-list price ratio also dropped slightly from last year and last quarter but held steady from the previous month.
For full details on activity in Philadelphia’s neighborhood housing markets, request a copy of the latest Market Action Report at phillyliving.com/reports.
Philadelphia street scene by Adam Jones, Ph.D., used under a Creative Commons license
Posted in Art Museum, Articles, Bella Vista, Buying a Home, Center City, Chestnut Hill, East Falls, Fairmount, Fishtown, Graduate Hospital, Loft District, Logan Square, Luxury Homes, Market stats, Northern Liberties, Old City, Pennsport, Philadelphia real estate, Point Breeze, Queen Village, Rittenhouse Square, Roxborough, Selling your home, Society Hill, South Philly, University City, Washington Square, Washington Square West | No Comments »
Thursday, January 19th, 2012
According to a watchdog we watch, onetime City Controller candidate Brett Mandel, Philadelphia real estate owners may be able to slash their property tax bills by up to 44 percent, thanks to the city’s sloppy real estate assessment regime.
In his email newsletter today, Mandel reported that the Board of Revision of Taxes ruled that Philadelphia property owners who appealed their assessed valuations as too high were eligible for reductions in their tax bills. The basis for the reductions is a ruling issued last summer by a state board that reviews city and county property assessments for conformity with state guidelines. The Commonwealth requires local jurisdictions to assess property at 32 percent of market value for tax purposes, and property owners in any jurisdiction that fails to meet this standard may appeal to have their taxes based on whatever rate the state determines is the local standard. Last summer, the state board determined that Philadelphia assessed property at 18 percent of market value on average. Following state law, a number of city property owners appealed their tax bills, and today, the BRT found in their favor.
This has several ramifications for City Hall. The first has to do with plugging the hole these lower tax bills will blow in the city and School District budgets. If the ruling stands, property tax receipts will fall by up to $80 million in the coming year, a large hole for the city to fill. However, according to Mandel, the city plans to appeal the decision on the grounds that the numbers the city gave the state last year are inaccurate and that the real numbers will show the city passes the state threshold.
If the folks in City Hall are smart, though, it will also light a fire under the new Office of Property Assessment to proceed with the full reassessment of property citywide that just about everyone agrees is needed to ensure city property is fairly valued. Right now, similar properties in the same neighborhoods may vary widely in their assessments, leaving longtime owners with ridiculously low taxes while newer residents face much higher bills. Politically connected property owners have also been known to benefit from the discrepancies in local property assessments. When the BRT handled both assessments and appeals, this problem got swept under the rug, so to speak; with the separation of the asseessment function into a new city agency last year, the problem can no longer be hidden that easily. Rather than appeal a flawed system, the city should take the opportunity to put an accurate and fair assessment system in place before more taxpayers get their bills lowered.
–By Sandy Smith
Tags: coldwell banker preferred, living in philly, noah ostroff, Philly Living Blog, property taxes
Posted in Articles, Buying a Home, Center City, Philadelphia real estate, Schools, Selling your home | No Comments »
Tuesday, January 10th, 2012
There are now 76 markets where the real estate picture is expected to look better in the months to come, according to the latest National Association of Home Builders/First American Improving Markets Index, released Jan. 9. The Philadelphia real estate market is one of those 76.
The addition of 40 metro areas to the monthly list of improving markets suggests that the fitful housing market recovery is spreading beyond the smaller markets that were not as heavily affected by the bursting of the housing bubble in 2008. Last month, there were 41 cities on the list. (Five of those – Anchorage, Alaska; Fort Wayne, Ind.; Canton, Ohio; Scranton, Pa., and Charleston, W. Va. – dropped off the list.)
“While relatively small metropolitan areas continue to dominate the list of improving housing markets, it’s important to note that several major metros in diverse parts of the country have now joined the field as well – including such metros as Dallas, Denver, Honolulu, Indianapolis, Nashville and Philadelphia,”NAHB Chief Economist David Crowe said in a news release. “This is an encouraging sign that gradually strengthening economic conditions are starting to take hold across a broader swath of America.”
The NAHB and title insurer First American base the index on trends in three categories: employment growth from the Bureau of Labor Statistics, house price appreciation from Freddie Mac, and growth in single-family housing construction permits from the U.S. Census Bureau. A metro area that has had six consecutive months of growth from a prior trough in all three areas gets added to the index.
What does this mean for you, the Philadelphia home owner or buyer? If you are in the latter camp, we suggest you accelerate your house-hunting timetable if you can. While home price growth is forecast to be modest for the year ahead, prices are expected to rise, and that means that you are more likely to get the home you want at a great price now than later. If you are a home owner, talk with your Realtor about the ideal time to put your home on the market if you are still weighing your options. Our team of real estate experts can assist you in determining when and how to best take advantage of a rising market.
Tags: buying a home in philadelphia, center city real estate, coldwell banker preferred, living in philly, noah ostroff, philadelphia real estate
Posted in Art Museum, Articles, Bella Vista, Buying a Home, Center City, Chestnut Hill, East Falls, Fairmount, Fishtown, Graduate Hospital, Loft District, Logan Square, Market stats, Neighborhood Pages, Northern Liberties, Old City, Pennsport, Philadelphia real estate, Point Breeze, Queen Village, Rittenhouse Square, Roxborough, Selling your home, Society Hill, South Philly, University City, Washington Square, Washington Square West | No Comments »
Monday, December 5th, 2011
Redemption Period only for Residential Properties
If you own a residential property and it was sold at a Sheriffs Sale to satisfy a tax or municipal claim, then Pennsylvania law allows you to reclaim (re-purchase) your property. You have up to nine (9) months after the Sheriffs Sale to exercise this right. To reclaim your property, you must meet the following requirements:
1. The property should have been occupied by the same individual or basic family unit
2. The property should have been occupied for at least ninety (90) days prior to the date of the sale.
3. You must reimburse the subsequent buyer for the following costs:
a. the amount of the tax or municipal claim
b. the cost of recording the deed
c. the insurance on the property
d. charges and necessary expenses for maintaining or improving the property
e. plus 10 percent interest.
A new law decided recently by the Pennsylvania Superior Court suggests that if you own a mixed-use property, where the bottom level was used for a commercial purpose (like a bar), and the upper level was used for residential purposes (like an apartment), then you may also have the right to redeem the property after a Sheriffs Sale, providing you meet all the other legal requirements.
This case, however, emphasizes an overlooked legal requirement someone must have been living in the property for at least ninety (90) days prior to the Sheriffs Sale. If your property was vacant for ninety (90) days before the sale, then you do not have the right to redeem (re-purchase) it, even if the property was residential.
See Lamm v. Fisher, 2006 Pa. Super 185 (July 19, 2006).
Ms. Sharmil McKee is a business attorney licensed in Pennsylvania. She focuses her practice on protecting small businesses and non- profits from future legal problems. Visit her firm’s website http://www.mckeeoffice.com for more information.
Tags: homes in philadelphia, homes in philly, noah ostroff, philadelphia real estate, Philadelphia sheriff sale, philly real estate, phillyliving.com, redemption period for sheriff sales, tax sales
Posted in Auctions, Buying a Home, Center City, Philadelphia real estate, Selling your home | No Comments »
Tuesday, November 22nd, 2011
While the market for real estate in Philadelphia lags the national trend for now, nationwide figures from the National Association of Realtors suggest the housing market is ever so slowly yet definitely turning a corner.
While the main attention-grabber in the NAR’s Monday report on existing-home sales for October was an unexpected 1.4% rise in sales from September’s figure, other data in the release show continued improvement in the overall state of the housing market. Annualized sales of existing homes nationwide in October were 13.5% above the pace at this time last year. In addition, the inventory of homes on the market continues to fall gradually. The 3.33 million existing homes for sale in October represent a 2.2% drop from the previous month. At the current sales pace, it would take 8 months to sell all the inventory, down from 8.3 months in September. The real estate industry trade group says that both figures have been trending downward gradually since July of 2008.
And while the national housing market remains a buyer’s market, with the national median price of existing homes 4.7% below last year’s level, sales of distressed properties – foreclosures and short sales – also continue to fall as a share of the total. October’s 28% share was down 2 percentage points from the previous month and 6 from the previous year. Some of that fall may be due to delays in getting foreclosed properties to market, according to NAR Chief Economist Lawrence Yun: “In some areas we’re hearing about shortages of foreclosure inventory in the lower price ranges with multiple bidding on the more desirable properties,” Yun said. “Realtors® in such areas are calling for a faster process of getting foreclosure inventory into the market because they have ready buyers.”
Yun also noted that relaxation of today’s tighter credit standards would improve both the overall pace of existing-home sales and the absorption of distressed properties. “In addition, extending credit to responsible investors would help to absorb inventory at an even faster pace, which would go a long way toward restoring market balance,” he said.
Sales trends in the Philadelphia real estate market are more in line with those in the Northeast, where NAR data for October show a 5.1% falloff in existing-home sales from last month and a 1.4% rise from one year ago. TREND MLS data for October show sales in Center City Philadelphia and areas immediately adjacent running 35% below last month’s figure and 12% below the same month one year ago.
–Sandy Smith
Tags: buying a home in philadelphia, center city real estate, coldwell banker preferred, noah ostroff, philadelphia real estate, Philly Living, selling your home
Posted in Art Museum, Articles, Bella Vista, Buying a Home, Center City, Chestnut Hill, Fairmount, Fishtown, Foreclosures, Graduate Hospital, Market stats, Northern Liberties, Old City, Pennsport, Philadelphia real estate, Point Breeze, Queen Village, Rittenhouse Square, Roxborough, Selling your home, Society Hill, South Philly, Uncategorized, University City, Washington Square West | 1 Comment »
Wednesday, August 10th, 2011
The real estate industry may have received a gift this week, a weak stock market will cause investors to increase their exposure in real estate, which is distressed and priced at a discount.
Unless you have no savings at all, you likely watched your savings go down 10%-15% in the past few weeks. For every $100,000 that was invested, you are now staring at $85,000. This will come as a tremendous shock to many Americans when they open their 401K statements in September.
Given this erratic performance in stocks, suddenly real estate is looking like a great investment. Real Estate, even at its worst performance, has not seen the type of market volatility the stock market suffered last month. Real Estate represents a sound investment.
By all accounts, the real estate market is bounding for a recovery. The timing of that recovery is uncertain – perhaps 2-3 years. Early speculators in 2008 were looking at 2012 as a recovery time. Today’s speculators are looking at 2014. My point is that real estate in America is a great investment. Lets look at the three factors that benefit real estate investments.
Real Estate pays dividends.
If you are a real estate investor, you can rent the home you purchase. This provides dividends on the investment that offset the cost of ownership. In speaking with Long and Foster yesterday, their property management business is doing great. I suspect that the same is true of Florida broker, Watson Real Estate and others. Brokerages that provide end-to-end services for investors today stand to see growth as home sales to investors increase and the rental market remains strong.
Real Estate has tax advantages.
Consider the list: interest deductions, improvement write-offs, depreciation, and 1031 Exchanges all place real estate investments in a positive light for investors, especially high net income investors who are likely staring down the barrel of tax increases if their income is in the top 3% of wage earners in America.
Mortgage rates are low.
This provides investors with strong credit the opportunity to access investment cash on the margin. In stock market investing, only qualified investors with more than $1 Million in liquidity have the opportunity to invest on margin. With real estate, anyone can invest on the margin. Todays margin is about 80% to 20%. If you put 20% down on a property, you can borrow the rest. Moreover, the interest rates are at historic lows.
Nothing is ever a slam-dunk. Fiscal policy and a weak infrastructure in the banking industry pose risks to the housing market recovery. Bank of America, our country’s largest bank saw a 20% drop in market value yesterday despite better than expected operating performance. If the banks cannot raise capital, they cannot lend. This could lead to a tightening of credit.
If the Federal Government continues to print money, we are likely to see a rise in inflation. This will have the net economic effect of retarding capital investment gains across all sectors, including real estate.
Federal borrowing from other nations may also be at risk. Currently, the federal government is looking to borrow $5 to $7 Trillion dollars. Given the downgrades in the US credit rating by Standard and Poor’s, investors may not be interested in purchasing US Treasuries at such low interest rates. A rise in interest rates would have the effect of extending the housing crisis and pushing out recovery and return on capital investments.
By: Victor Lund
For: WAV Group
Tags: buying a home in philadelphia, coldwell banker preferred, homes in philly, noah ostroff, philadelphia real estate, philadelphia real estate blog, Philly Living Blog, phillyliving.com, stock market, www.philadelphiarealestate.com
Posted in About Us, Articles, Buying a Home, Conventional Loans, FHA, Market stats, Philadelphia real estate, Selling your home | 4 Comments »
