YOUR HOME SPOT

2011-12-01T13:32:00.001-05:00

LED Holiday Lights: 6 Need-to-Know Tips

Published: December 10, 2010

LED holiday lights vs. old-fashioned bulbs: 6 tips to help you decide which is right for you.

1. LED holiday lights save you money. LED lights use at least 90% less energy than traditional holiday lights, according to the U.S. government’s Energy Star program.
That results in a $50 energy savings for the average family during the holidays, says Avital Binshtock of the Sierra Club in San Francisco.
Put it into perspective: The amount of electricity consumed by one 7-watt incandescent bulb could power 140 LEDs—enough to light two 24-foot strings, says Energy Star.
2. But LED lights typically cost more than old-fashioned holiday lights.

GE 100-bulb string of Energy Star-certified LED white lights: $18.97 at Lowe’s

GE 100-bulb string of conventional white lights: $8.97

But shop around because a growing number of retailers are offering sales on LED holiday lights and, if you can’t find a sale before the holidays, you can certainly find one after. Plus, prices will surely go down as these lights gain traction.
3. LED holiday lights last and last. LED bulbs can keep your season bright for as long as 100,000 hours, says Cathy Choi, president of Moonachie, N.J.-based Bulbrite, which manufactures LED and regular bulbs. That’s substantially longer than the life of your old holiday light strings.
4. You can string a BIG strand of LED lights. Safety wise, you shouldn’t connect more than three traditional light strings, but you can connect up to 87 LED holiday light strings, totaling a whopping 1,500 feet, Choi says. So blow your neighbor's display away by cocooning your house in lights:

You won’t have to buy as many extension cords.

You can take your holiday lighting display further away from the outlet.

5. LED lights reduce the risk of fire. They stay cooler than incandescent bulbs, according to Energy Star.
6. How about that hue? Some people stick with their old lights because they don’t like the brighter hue that white LED holiday lights emit. But Choi says manufacturers now offer a “warm white” bulb that more closely mimics the glow of an incandescent light. Be sure to read the label to choose a bright or warm white and to ensure what you’re purchasing is Energy Star-certified.
Colored and color-changing LED holiday lights are more vibrant than conventional lights, making your display easier to see from the street, Choi says.

Elkhart Real Estate Market Report - October 2011

2011-11-28T22:23:00.001-05:00

Here's the numbers for October, 2011...
New Listing are down 6.0% from October 2010,
Closed Sales are up 23.5% from October 2010,
and the Median Sales Price is up 6.7% from October 2010 to $95,000.

The Year-to-Date numbers are as follows ...
New Listings are down 12.1% from 2010,
Closed Sales are down 3.1% from 2010,
and the Median Sales Price is up 3.2% from 2010 to $92,900.

So the October number look promising, but is this just a blip? Let's take a look at how we're trending by looking at the same numbers over the past 3 months.
New Listings are down 12.6% from the same period 2010,
Closed Sales are up 15.7% from Aug, Sept and Oct 2010,
and the Median Sales Price is up 7.5% from 2010 to $97,250.

5 Tips to Create a Home Wish List that Works

2011-08-22T16:19:00.005-04:00

When dreaming of a first home the options are endless. From a backyard oasis with a patio and swimming pool, to a gourmet kitchen with the most up-to-date appliances, plenty of space to entertain friends or a gorgeous master bedroom suite, no first time home buyers wish list is the same. However, in reality, it is not always possible to find a first time home buyer everything, so buyers must decide in advance what items are a "must haves" and "nice-to-haves" on a first home wish list.

To help first-time home buyers, we have provided the following five tips to help determine what you will need vs. what is nice to have in a first home.

1. Know your budget: The first step to creating a list of "must-haves" is to be realistic about what is affordable and determine a budget. Buyers should enlist a local Realtor to help with the home search. An agent with years of expertise understands the local market and can help buyers find comparable home prices and determine what is affordable in their budget.

2. Find that perfect "location, location, location": Everyone has heard this phrase before when it comes to real estate, and while the surrounding neighborhood and home itself may improve over time, the physical location will remain the same. Buyers should in advance how close they would like to live to their work, schools or extended family. A short commute to work, proximatity to family or having easy access to highways and mass transit are often "must-haves." The location will also determine some amenities that are possible or difficult to have within the buyer's budget. For example, if a buyer has to live close to work in a big city, they have to cross a garage or outdoor space from their wish list.

3. Determine non-negotiable accommodations: A comfortable place for everyone in the family is always a "must have." For a family of four, three bedrooms may be non-negotiable. For a family with grandparents living at home, an extra bedroom on the first floor may be non-negotiable. After determining the budget and neighborhood, the most important factor is that everyone living in the home has a comfortable place to stay.

4. Pick a lifestyle fit: After fulfilling the most important needs, buyers should find out what features of a home will best fit their lifestyle.For example, buyers who love to cook and entertainmay want a home with a gourmet kitchen and decide to give up the large master bedroom. Or, buyers who love to spend time outdoors may compromise a large family room for a big backyard.

5. Have a vision: When looking at a first home, buyers should avoid getting distracted by decrations, paint or flooring that may not fit their taste. Items such as paint color or carpeting are easy to fix and always worth compromising on. If everything else about a home fits the wish list, a new coat of paint and a little redecorating are easy finishing touches on a dream home.

If you're looking to buy your first home, call Tom or Katrina with the Canarecci Group at Coldwell Banker Roth Wehrly Graber. We have the time, experience and the tools to get the job done.

For more consumer articles visit our website at http://www.indianasbesthomes.com/

MLS Stats for Elkhart County

2011-08-11T15:30:00.002-04:00

First let me start by saying I'm back and will be blogging on a more regular basis on a variety of topics. Look for many more posts on home enhancement and step you can take improve the value of your home.

July figures are out and there are some encouraging signs. Both sales and median sales price are up from the same period last year. We saw a 7.94% increase in sales when comparing July 2010 to July 2011. And the median sales price jumped 13.88% from July 2010 to July 2011.

That 13% plus increase in the median sales price may be a little deceiving however as we saw the number of high end home sales increase for the month of July pulling the median price up. When looking at modest and lower price homes, prices were flat to a slight increase.

Activity so far for August is slow. Consumer confidence is hurting with poor economic forecasts and the political environment in Washington DC.

Unemployment numbers in Elkhart rose in June to 10.2%. This was the first increase in the unemployment rate this year. State and National levels also rose.

A positive note for buyers, is that interest rates have plummeted as the bond market does well.

I look forward to the remainder of the year with guarded optimism and faith in our economic system.

It is important to note that the benefits of home ownership for families, communities and the nation are profound. When families and individuals own their home, they establish roots in their communities and have a greater stake in the growth, safety and development of their towns and cities.

To search for homes across northern Indiana visit http://www.indianasbesthomes.com/

Maintain Your Buying Power

2011-02-28T11:58:00.004-05:00

If you haven't heard, FHA announced on February 14th that it is raising the annual mortgage insurance premiums. These changes become effective on or after April 18th, 2011.

I know that some of you think this will hurt the housing market and our economic recovery, so why the changes? HUD wants to strengthen the FHA's Mutual Mortgage Insurance Fund, known as MMIF. Think about it this way. If FHA doesn't become pro-active now and FHA disappears in the future, then where do you think we would be regarding financing options?

So what does this all mean to those buying new homes with a FHA mortgage?

Here is a quick breakdown of different purchase prices just to give you an idea how much more your mortgage payment will increase because of the new FHA monthly mortgage insurance change.

Purchase Price ------- Increase in new FHA monthly Mortgage Insurance payment
$300,000 ------------ $60.31/month
$250,000 ------------ $50.26/month
$200,000 ------------ $40.21/month
$150,000 ------------ $30.16/month
$100,000 ------------ $20.10/month

In simple math, your mortgage payment will go up $10 per month for every $50,000.

You can also look at this from the flip side. This will lower a new buyers purchasing power. Meaning, instaed of a $250,000 purchase price, they can now afford a $241,000 home or a reduction of $9,000 in purchasing power.

So, buy now BEFORE interst rates and mortgage insurance premiums INCREASE!

Mortgage rates are still extremely low
There is a good selection of homes in most areas
Homes are more affordable than in recent years
Rents are rising!

For more information on buying and selling, visit www.IndianasBestHomes.com

Or call Tom or Katrina with The Canarecci Group!

Jobs and Home Ownership

2011-02-14T16:45:00.003-05:00

You can't have one without the other.

Good jobs enable people to achieve the American dream of home ownership. And every time a house is built, bought, or sold, jobs are created—lots of them—right here at home.

- Home sales in this country generate more than 2.5 million private-sector jobs in an average year.
- For every two homes sold, a job is created.
- Each home sale touches 80 different occupations.
- Every home purchased pumps up to $60,000 into the economy over time for furniture, home improvements, and related items.
- Housing accounts for more than 15% of the Gross Domestic Product, making it a key driver in our national economy.
- Housing has led this country out of six of the last eight recessions.

America needs jobs. Housing creates jobs. That's one of the many reasons home ownership matters to people, to communities, to America.

Strong federal government support of home ownership equals strong support for American jobs. We urge the Obama Administration and the U.S. Congress—as they debate the new federal budget and reform proposals for the nation's mortgage finance system—to continue federal support for home ownership.

Jobs and Home Ownership. You can't have one without the other.

In advance of the release of President Obama's Fiscal Year 2012 budget and in light of the Administration's call for reforms to the secondary mortgage market, the NATIONAL ASSOCIATION OF REALTORS® placed the ad "Jobs and Home Ownership. You Can't Have One Without the Other" in the Sunday Feb. 13, 2011 edition of The Washington Post, reminding consumers and lawmakers about the critical connection between housing and jobs.

FIRST-TIME BUYERS DEMAND NEW KIND OF “STARTER HOME”

2011-02-08T15:53:00.002-05:00

COLDWELL BANKER REAL ESTATE SURVEY
FIRST-TIME BUYERS DEMAND NEW KIND OF “STARTER HOME”
87 Percent of Beginner Buyers Want Move-In Ready

PARSIPPANY, N.J. (Feb. 8, 2011) – The term “starter home” seemingly refers to an entry-level property – one that is affordable yet needs “tender love and care.” But amidst the many homes available in today’s market, current first-time buyers want places with a little less “room for improvement.” In a survey of 300 consumers who purchased their first home in the last year, 87 percent said finding a move-in ready home is important to them.

This survey from Coldwell Banker Real Estate explored what was most important to new buyers to provide insight for those looking to buy or sell in 2011. According to the National Association of Realtors (NAR), first-time home buyers accounted for half of the market in 2010.

What Surprised First-Time Home Buyers
Several consumers experienced unexpected benefits after buying their first home:
- 67 percent said the market afforded them the opportunity to buy a home sooner than expected
- Half said they found a home in a more desirable neighborhood than expected
- 61 percent were able to get the home at a better price than expected
- 40 percent got more space than expected
- 43 percent locked in a lower interest rate than expected

“There’s a real ‘a-ha’ moment for sellers revealed by this survey that the condition and quality of their home matters a great deal to first-time homebuyers,” said Diann Patton, consumer real estate specialist, Coldwell Banker Real Estate LLC. “On top of that, our agents have reported that on average, first-time home buyers now look at more than 11 homes before making decisions which is higher than in the past. They can be choosy about what appeals to them and are recognizing the benefits of the low prices and wide selection of homes in many areas.”

What They Want
In addition to move-in conditions, first-time buyer results revealed the old adage “location, location, location” still holds true:
- 78 percent of respondents said the home had to be in an area convenient to shops and services
- Three-quarters of buyers said it was important to be close to their place of work
- Nearly two-thirds said it was important to be near “highly-rated” schools

Survey Methodology
Coldwell Banker Real Estate LLC conducted an online survey of 300 first-time home buyers in the United States (people who purchased their first home within the last year) on their experiences and perceptions of the home buying process.

About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier provider of full-service residential and commercial real estate. Coldwell Banker is the oldest national real estate brand in the United States and today has a network of nearly 92,000 sales associates and brokers working in approximately 3,300 offices in 50 countries and territories. The Coldwell Banker brand is known for creating innovative consumer services as recently seen by being the first national real estate brand to augment its web site www.coldwellbanker.com for smart phones, the first to create a iPhone application and the first to fully harness the power of video in real estate listings, news and information through its Coldwell Banker On LocationSM YouTube channel. The Coldwell Banker system is a leader in specialty markets such as resort, new homes and luxury properties through its Coldwell Banker Previews International® marketing program. Coldwell Banker Real Estate LLC fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Each office is independently owned and operated.

Roller Coaster Ride Continues

2010-11-16T14:43:00.003-05:00

October 2010 Housing Stats for Elkhart County, Indiana

The October figures are out, and we continue to see the volatility in the market. Let's take a look at the numbers and try to analyze them.

New Listings
The number of new listings are down from 226 in October of '09 to 201 in October '10. And YTD we are off slightly from 2572 in '09 to 2556 in '10.

Sold Listings
With the exception of August and now October, we have had slightly more sales each month this year when compared to the previous year. Only 97 sold listings in October '10 versus 175 in '09. Year-to-date we are at 1455 versus 1240 for the same period last year.

Looking at those two categories, new listings and listings sold you can see that the inventory of listings are ever so slowly declining. Moving us to a more balanced market. The average days on the market has stayed the same 120 days in October '09 and '10, but is down slightly YTD at 108 versus 113.

The median sales price in October was $89,000 up from October '09 at $85,000. But the percentage of sales price to list price was down to 92.66% from 93.67% for the same period last year.

So what does this mean?

We continue to volatility in the market with no real trending. Sure sales are up slightly, but without the 1st time home buyer credit this spring, we would likely be down for the year. And while the median sales price increased this month, it may be because of the hundreds of foreclosures that have been taken off the market.

Bottom line it's still a tough market for sellers. Make sure that your your home is ready to compete when it hits the market! Make it sparkle. Do repairs. And most importantly price it right! Remember, you need to not only justify your price to any potential buyer, but also your home must appraise for the selling price.

Also, hire a professional Realtor that has the tools to get the job done. Today more than ever, technology has changed the game. Make sure that your agent and their company are on the cutting edge.

Buyers, it is time to move! If you plan on making a move, do it! The inventory of homes is still extremely good, prices are down and interest rates are at historical lows. There just simply could not be a better time to buy than right now.

When you do get ready, be prepared. Get pre-approved from a good lender, and find an agent that will work diligently on your behalf. Your agent needs to be more than the person with the keys. They have to know the area and be your trusted advisor and a fierce negotiator.
For more information for both buyers and sellers visit http://www.indianasbesthomes.com/

Notre Dame Ranks 28th Among Football Bowl Subdivision Schools

2010-11-11T16:35:00.006-05:00

“PARENT INVESTORS” BUYING HOMES VS. SPENDING ON RENT OR DORMS

Every fall, parents wave goodbye as their college-bound kids pack up their belongings, make the drive down university lane and prepare for football games, mid-terms and freedom. While college living is often associated with dorms and campus housing, Coldwell Banker Real Estate LLC discovered that many parents are opting to purchase a home rather than spend money on rent or dorm fees. According to a recent survey among the Coldwell Banker® network of real estate professionals in college towns, 64 percent see a significant number of “parent investors” buying homes for their kids to live in while attending the university.

To see how college towns stack up in home price affordability, Coldwell Banker Real Estate released its new College Home Listing Report (College HLR) today, which provides the average home listing price of four-bedroom, two-bathroom properties listed for sale between April and September 2010 on coldwellbanker.com in markets home to the 117 schools in the Football Bowl Subdivision. With almost two-thirds of the College HLR markets having subject homes priced less than $250,000 (78 in total), college towns prove to be a touchdown for home buyers.

The "Pack from the MAC" (Mid American Conference) dominates the Top Ten with the University of Toledo (9), Kent State (8), Ohio University (7), Eastern Michigan University (6), University of Akron (5), University of Buffalo (2), and at #1 Ball State University in Muncie, Indiana! The 2010 average home listing price in Muncie is $105,115.

Other Indiana colleges rank as follows:
28 - University of Notre Dame, South Bend, Ind. - $183,120
32 - Purdue University, Lafayette, Ind. - $186,360
43 - Indiana University, Bloomington, Ind. - $201,005

I attended Ball State (it's amazing that the school survived me), and had a great experience in Muncie. However, I must say that the campus and area around campus has improved dramatically since my days! Central Indiana has always been known as basketball country and basketball season was always special with sold out games and dinners at "Tony's Locker Room". Unfortunately, "Tony's" is know just a fond memory. Thanks Tony Cat!

Most of my live however I've lived in the South Bend/Mishawaka/Elkhart area. I grew up loving ND football and still do today! I have had the opportunity to travel all over the United States but I couldn't think of a better place to call home than right here in northern Indiana. The fall is my favorite season, campus is beautiful dressed in its rich colors.

As for football, its hard to beat a Saturday at Notre Dame Stadium. The air is filled with the smell of tailgate food and the sounds of the marching band. After 40 years of attending Irish football games, I still get goosebumps from the tradition of the pre-game ceremonies. The reciting of the Pre-Amble to the Constitution, the singing of "America the Beautiful" and the Nation Anthem. Then, the roar of the crowd and the shining gold helmets as the team take the field. Nothing is better then a football Saturday in South Bend, Indiana!

I would be interested in hearing what you think makes your college town special. Please comment.

Election Day is Just Around the Corner

2010-10-28T15:53:00.004-04:00

I wanted to take a break from real estate today and discuss the upcoming election. We are blessed in this great country of ours to have the right to free and open elections. Yet, the vast majority of eligble voters choose to not exercise their right.

I've heard all the excuses; "I'm tired of it all", "My vote doesn't matter", "What can one person do", and some I won't even print here today.

But the truth is that your one vote, one voice does matter. Because, 300 million voices, just 1 voice at a time, can not be over looked.

So whether your a Democrat or Repulican, Green Party or Tea Party, or even some Green Tea Party, it doesn't matter ... just vote!

Be An Informed Voter

Don't believe what you see on TV. These ads are pure rhetoric and are designed to get you to feel a certain way about a candidate. Do your research and vote responsibly. You know what issues are important to you, check the canidates voting record on those issues.

Here's how:

1. Check with any groups you may be affiliated with. Many may have voting record information on issues you already care about.

2. Call your Congress member's office and ask about the issues you care about. This might not get you the most accurate information, but asking in a way that does not reveal your position may get you the answers you need.

3. Write your Congress member about your issue. Many Congress members respond to these types of letters and appreciate you taking the time to voice your opinion and will take this opportunity to explain their opinion to you. To write your representative go to http://www.house.gov/ and click "Write Your Representative" on the sidebar. To write your senator go to http://www.senate.gov/ and choose your state.

4. Navigate to the Project Vote Smart website at http://www.vote-smart.org/. Here you can get information on voting records by clicking the "Voting Records" sidebar and selecting your state. Clicking "Congress" will give you a list of your current Congress member by district. If you don't know your district, you can type in your ZIP code on the side bar.

Now It's Up To You

5 days until the election! VOTE!

Why is Question #1 so Important?

2010-10-22T10:30:00.002-04:00

Job Growth - A study by Ball State University's Center for Business and Economic Research says the property tax caps will create jobs by preserving a nationally-recognized and highly-rated business tax climate that is ripe for investment.

Certainty and Stability - Homeowners are hurting. Foreclosure rates remain unacceptably high and home prices remain stagnant. The largest source of most Hoosier's wealth, their home, is threatened. The tax caps remove the volatility from the property tax system. And, they provide predictability for businesses, a must when considering new investments.

Permanent Protection - The broken property tax system has been on the public policy agenda for decades. Each time action has been taken in the name of reform, property taxes have crept back up and replacement taxes have remained. Amending the property tax caps into the state's Constitution will insure Hoosiers against a backwards slide from the historic reform package approved in 2008.

For more information, visit http://www.HoosierPropertyTaxreform.com
Information provided by the Hoosier Property Tax Reform Alliance

Take a Stand Against High Property Taxes!

2010-10-18T23:16:00.003-04:00

Why Vote "YES" on Question #1

Property Owners Need Permanent Protection Now -- A Constitutional Amendment that permanently limits property taxes will protect Hoosiers from volatile increases experienced in years past.

Tax Caps Make Property Affordable -- Whether you rent or own, limiting taxes on private property will provide much needed security to the residents of Indiana and provide business owners the transparency and predictability they need when considering new investments.

Keep the Promise -- Two different state legislatures approved the caps and passed property tax relief. Now it's time to keep that promise by letting the people decide.

We’re number 1 (and number 6)

2010-10-15T11:01:00.002-04:00

The following was released earlier this morning by Indiana Economic Development Corporation.

A prominent economic development publication ranks Indiana's business climate tops in the Midwest and sixth-best in the nation. "Area Development" magazine says the rankings are based on factors including rail and highway accessibility, cost of doing business and fast track permitting.

This type of continued recognition will hopefully translate in to more businesses locating in Indiana and bringing with them more jobs for out of work Hoosiers. And increased employment figures will mean a boost to the housing market.

October 15, 2010
News Release

INDIANAPOLIS (Oct. 14, 2010) – Indiana’s business climate is best in the Midwest and the sixth best in the U.S. according to Area Development magazine’s survey of national site selection consultants. The state was also among the consultants’ top-five picks in the rail and highway accessibility (second), labor climate (third), fast-track permitting (fourth), most business friendly (fifth), and lowest business costs (fifth) categories.

The business climate ranking comes just four months after the corporate site selection and relocation trade publication named Indiana the winner of its 2010 Silver Shovel award in the 5 to 10 million population category. The Shovel Awards recognize economic development agencies for innovative policies, infrastructure improvements, processes and promotions that attract new employers and investments.

“Indiana’s low-cost, pro-business environment has put us at the top of the list for private-sector job growth this year and now is bringing the state more national attention,” said Mitch Roob, Secretary of Commerce and chief executive officer of the Indiana Economic Development Corporation. “We will continue working hard to create the kind of environment that encourages business growth and success.”

The Area Development study is the latest in a series of national accolades the state has scored in economic development. In May, the U.S. Chamber of Commerce and National Chamber Foundation found Indiana to be fourth best in the nation for its business tax and regulatory climate in the organizations’ Enterprising States report. Margaret Spellings, executive vice president of the National Chamber Foundation, visited the state in September to recognize Indiana’s leadership in private-sector job growth this year.

Area Development’s full report is available http://www.areadevelopment.com/siteSelection/sept2010/top-states-doing-business39016.shtml .

About IEDCCreated by Governor Mitch Daniels in 2005 to replace the former Department of Commerce, the Indiana Economic Development Corporation is governed by a 12-member board chaired by Governor Daniels. Mitch Roob serves as the chief executive officer of the IEDC. For more information about IEDC, visit www.iedc.in.gov.

Source: Indiana Economic Development Corporation

Housing Stats a Mixed Bag

2010-10-14T12:56:00.006-04:00

September 2010 Housing Stats for Elkhart County, Indiana

The September figures are out, and while there is some encouraging signs there are also a few disturbing trends. Let's take a look at the numbers and try to analyze them.

New Listings

The number of new listings are down from 269 in September of '09 to 229 in September '10. And YTD we are off slightly from 2572 in '09 to 2556 in '10.

Sold Listings

With the exception of August, we have had slightly more sales each month this year when compared to the previous year. 130 sold listings in September '10 versus 125 in '09. Year-to-date we are at 1350 versus 1065 for the same period last year.

Looking at those two categories, new listings and listings sold you can see that the inventory of listings is slowly declining. Resulting in a market that is more in balance. Also the average days on the market has decreased for 102 days in September '09 to 98 days in September '10.

Now for the not so good news

Generally, with inventories declining and sales increasing, we should see a stabilization in home prices and possibly even a slight increase. However, our numbers show otherwise. The median sales price in September was $82,250 down from September '09 at $96,000. And the percentage of sales price to list price was down to 91.83% from 94.10% for the same period last year.

So what does this mean?

For sellers, it means that competition is still stiff, but homes are selling. If you truly want to sell your home, don't "test the waters". Price your home aggressively and prepare it to show well. Make everything inside and out sparkle and shine. Your most exposure comes in the first 30 days.

Also, hire a professional Realtor that has the tools to get the job done. Today more than ever, technology has changed the game. Make sure that your agent and their company are on the cutting edge.

Buyers, it is time to move! If you plan on making a move, do it! The inventory of homes is still extremely good, prices are down and interest rates are at unprecedented lows. There just simply could not be a better time.

When you do get ready, be prepared. Get pre-approved from a good lender, and find an agent that will work diligently on your behalf. Your agent needs to be more than the person with the keys. They have to know the area and be a trusted advisor and a fierce negotiator.

For more information for both buyers and sellers visit http://www.indianasbesthomes.com/

Vote Yes on November 2nd to Property Tax Caps

2010-10-04T17:47:00.003-04:00

Hoosiers are facing a landmark vote on November 2nd when we will have the opportunity to vote in favor of permanent limits on our property taxes.

By saying “Yes” to tax caps, you are joining the ranks of your fellow Hoosiers who believe:

- Yes, property owners need permanent protection now. A Constitutional Amendment that permanently limits property taxes will protect Hoosiers from the volatile increases experienced in years past.

- Yes, tax caps do make property more affordable. Whether you rent or own, limiting taxes on private property will provide much needed security to the residents of Indiana and provide business owners the transparency and predictability they need when considering new investments.

- Yes, we want our lawmakers to keep their promise. Two different state legislatures approved the caps and passed property tax relief. Now it’s time to keep that promise by letting the people decide.

10 Reasons to Buy a Home

2010-09-20T16:27:00.001-04:00

Source: Wall Street Journal, Brett Arends (9/16/10)

Time magazine is being overly pessimistic in its recent cover piece that called into question the benefits of homeownership. In fact, now is a great time to buy. And, what's more, tomorrow will be a great time to own, because the fundamental strength of homeownership hasn't changed.

Why is now a great time to buy? Here are 10 reasons:

1. You can get a good deal. Prices are down 30 percent on average. They're at a level that makes sense for people's income.

2. Mortgages are cheap. At 4.3 percent on average for a 30-year fixed-rate mortgage, your costs to own are down by a fifth from two years ago.

3. You can save on taxes. When you add up the deductions for mortgage interest and others, the cost of owning can drop below renting for a comparable place.

4. It'll be yours. The one benefit to owning that never changes is that you can paint your walls orange if you want (generally speaking; there might be some community restrictions). How many landlords will let you do that?

5. You can get a better home. In some markets, it's simply the case that the nicest places are for-sale homes and condos.

6. It offers some inflation protection. Historically, appreciation over time outpaces inflation.

7. It's risk capital. If the economy picks up, you stand to benefit from that, even if you're goal is just to have a nice place to live.

8. It's forced savings. A part of your payment each month goes to equity.

9. There is a lot to choose from. There are some 4 million homes available today, about a year's supply. Now's the time to find something you like and get it.

10. Sooner or later the market will clear. The U.S. is expected to grow by another 100 million people in 40 years. They have to live somewhere. Demand will eventually outpace supply.

Housing Stats for Indiana

2010-08-25T10:27:00.007-04:00

ELKHART COUNTY INDIANA

July New Listings 261

Sold Listings 139

Median Sales Price $90,000

Avereage Days on Market 96
% Sales Price to List Price 94.37%

Risks of Walking Away from Mortgage Debt

2010-08-24T10:29:00.003-04:00

By Michele Lerner • Bankrate.com

Some homeowners underwater on their home loan -- meaning they owe more on the mortgage than the home's current value -- are turning to "strategic defaults" in which they simply walk away from mortgage debt.

But financial experts warn the cost of skipping out on mortgage debt can be high.

The American Bankers Association recently warned homeowners about the consequences of strategic default, including the possibility of the bank obtaining a judgment to pursue the homeowner's assets, such as bank accounts, cars and investments.

Wrecked credit
A foreclosure -- regardless of whether it is because of a strategic default or other circumstances -- also has a negative impact on a consumer's credit score.
"A foreclosure is one of the stronger predictors of future credit risk," says Craig Watts, public affairs director of FICO.

Foreclosures remain on a credit report for seven years, with the impact gradually lessening over time.

"For someone who has a foreclosure on (his or) her credit report, (his or) her FICO score can generally begin to recover after a couple of years, assuming the consumer stays current with (his or) her payments on all (his or) her other credit accounts," Watts says.

Watts says the impact of a foreclosure on a credit score depends on other factors in the borrower's credit history. The ABA says a foreclosure drops a FICO score by 100 to 400 points.

Difficulty getting new mortgage
In addition, a voluntary foreclosure can impact a homeowner's ability to qualify for a new mortgage for years to come.

Peter Fredman, a Berkeley, Calif., consumer attorney, says Fannie Mae and Freddie Mac will not approve a mortgage within four years after foreclosure, while the ABA says it can take three to seven years to qualify for a new mortgage.

In addition, mortgage giant Fannie Mae recently announced a tough new sanction on people who deliberately default on their mortgages. Such borrowers will be ineligible for a new Fannie-backed mortgage for seven years after the date of foreclosure.

Other consequences
Tax liability is another potential danger of defaulting. Although the Mortgage Forgiveness Debt Relief Act of 2007 (extended through 2012) offers widespread protection from federal taxes following a foreclosure, state taxes still may be due on unpaid debt.

A lender can also pursue the remaining debt from an unpaid loan by obtaining a deficiency judgment against the delinquent borrower, or may work with a collection agency to recoup losses.

And of course, ethical questions surround strategic defaults. A survey by Trulia.com and RealtyTrac found that 59 percent of homeowners would not consider defaulting no matter how much their mortgage was underwater, although another 41 percent of homeowners said they would consider a default.

Less risky in some states
Despite the potential negative consequences of a strategic default, the move is less risky in some states than others.

"The first question for anyone considering a strategic default is whether the homeowners will be liable for the debt anyway," says Fredman. "Each state has different rules."
Non-recourse laws protect homeowners in some states. When a borrower defaults in one of these states, the lender can take the home through a foreclosure but has no right to any other borrower assets. (Home equity loans are not eligible for this protection unless they were used as part of the home purchase.)

According to research from the Federal Reserve Bank of Atlanta, 11 states are "non-recourse" states: Alaska, Arizona, California, Iowa, Minnesota, Montana, North Carolina, North Dakota, Oregon, Washington and Wisconsin.

"In California, we have some of the best anti-deficiency rules around, so banks can foreclose on the home but cannot get any other judgment to claim additional assets," Fredman says.
In some areas, lenders are so overwhelmed with defaulting customers that homeowners can live in their homes for free for months or even a year or more before the foreclosure is complete.
The average length of time from default to eviction is 400 days in California, Fredman says.

Price of freedom
The potential consequences of strategic default cannot deter some homeowners from taking the plunge, says Frank Pallotta, executive vice president and managing director of the Loan Value Group in Rumson, N.J.

"While everyone understands the credit score impact of a strategic default, most borrowers don't seem to care," Pallotta says. "They think a 200-point hit on their credit score cannot offset the benefit of living for as long as 18 months rent- and mortgage-free. They see strategic default as a form of financial freedom, especially if they live in a non-recourse state and know someone who has done this."

Fredman -- who developed the "Should I Pay or Should I Go" Web calculator to help consumers evaluate the wisdom of a strategic default -- says homeowners considering a strategic default should research state regulations about loan defaults and tax laws. Even non-recourse states have various laws that can impact defaulting borrowers, he says.

"I also think everyone should consult an attorney and probably an accountant, too, because the relative cost of these professionals is not nearly as high as the potential cost of making a mistake," he says.

FHA launches short term opportunity for underwater homeowners

2010-08-10T13:14:00.002-04:00

Effort designed to encourage principal write-downs for responsible borrowers

In an effort to help responsible homeowners who owe more on their mortgage than the value of their property, the U.S. Department of Housing and Urban Development today provided details on the adjustment to its refinance program which was announced earlier this year that will enable lenders to provide additional refinancing options to homeowners who owe more than their home is worth. Starting September 7, 2010, the Federal Housing Administration (FHA) will offer certain 'underwater' non-FHA borrowers who are current on their existing mortgage and whose lenders agree to write off at least ten percent of the unpaid principal balance of the first mortgage, the opportunity to qualify for a new FHA-insured mortgage.

The FHA Short Refinance option is targeted to help people who owe more on their mortgage than their home is worth - or are 'underwater' - because their local markets saw large declines in home values. Originally announced in March, these changes and other programs that have been put in place will help the Administration meet its goal of stabilizing housing markets by offering a second chance to up to 3 to 4 million struggling homeowners through the end of 2012.

Today, FHA published a mortgagee letter to provide guidance to lenders on how to implement this new enhancement. Participation in FHA's refinance program is voluntary and requires the consent of all lien holders. To be eligible for a new loan, the homeowner must owe more on their mortgage than their home is worth and be current on their existing mortgage.

The homeowner must qualify for the new loan under standard FHA underwriting requirements and have a credit score equal to or greater than 500. The property must be the homeowner's primary residence. And the borrower's existing first lien holder must agree to write off at least 10% of their unpaid principal balance, bringing that borrower's combined loan-to-value ratio to no greater than 115%.

In addition, the existing loan to be refinanced must not be an FHA-insured loan, and the refinanced FHA-insured first mortgage must have a loan-to-value ratio of no more than 97.75 percent. Interested homeowners should contact their lenders to determine if they are eligible and whether the lender agrees the write down a portion of the unpaid principal.

To facilitate the refinancing of new FHA-insured loans under this program, the U.S. Department of Treasury will provide incentives to existing second lien holders who agree to full or partial extinguishment of the liens. To be eligible, servicers must execute a Servicer Participation Agreement (SPA) with Fannie Mae, in its capacity as financial agent for the United States, on or before October 3, 2010.

For more information on FHA Short Refinance option, read FHA's mortgagee letter.

A FAMILY AFFAIR: MOVING WITH PETS

2010-08-05T17:09:00.002-04:00

While moving to a new home is very exciting, relocating can be a stressful process for every member of the family – including pets. More often than not, a move means that all familiarity is gone. From where to hide a bone to where to nap in the sun, the pet’s sense of security and comfort has suddenly been altered.

Below are five suggestions from The Canarecci Group of Coldwell Banker Roth Wehrly Graber and Petfinder.com for how to make moving a little less ruff for four-legged members of the family.

Plan ahead. From start to finish, moving to a new home involves a lot of planning. Pet parents should decide as soon as possible where their pet’s belongings – toys, water dishes, etc., — will go in the new home. If the pet’s only car ride has been to the veterinarian, pet parents should get him or her accustomed to traveling by bringing them along on visits to the future home, as well as to other places with a more positive association, like a dog park or pet store.

Take them on a walk-through to get them acclimated. For home buyers with pets in tow, it is important to help their companions become acclimated to their new life early on. During a visit to the future home, pet parents should take their four-legged friend on a personal tour, showing them their new play area and “bathroom.” By scoping out all of the new scents and sights the pet will start to acquaint itself with their new digs. Cats may feel more comfortable exploring one room at a time so start in the bathroom, a smaller space, and let them take their time coming out of the carrier to explore.

Get new pet tags. With doors opening and closing and people entering and exiting, pets will likely have more opportunities to get loose during a move than they did while living in the previous home. As soon as the contract is signed, home buyers should purchase a new tag with their pet’s name, new address and phone number. If the pet has a microchip, pet parents should also contact the company and have their pet’s ID information updated in their database. If a pet escaped during the move, it would be very difficult for them to find their way back to a home they barely know.

Be extra security conscious. The first few days in a new home can spook even the most laid-back pet. Pet parents should make sure their pet’s collar fits securely and, unless the backyard at the new home is securely fenced in, keep their pet on a leash when heading outdoors. Also, take a full inspection of the house looking for openings a pet can crawl into or other safety hazards before letting the animal explore. Once they are off their leash or out of their carrier, be sure to keep a close eye on them.

Continue with business as usual. After moving into the new home, pet parents should try to stick to their pet’s daily routine as closely as possible by feeding them, playing with them and walking them at the same times they did while living in the previous home. Such consistency will enable pets to get used to their new life more quickly.

When It Pays to Do It Yourself

2010-08-05T16:22:00.003-04:00

By: Oliver Marks
Published: September 1, 2009

Why pay someone big bucks to do something you can just as easily do yourself? That’s the thinking that has gotten more Americans than ever swinging their own hammers. In a recent Time magazine poll, nearly a quarter of people said they were taking on more home-improvement projects themselves—understandably so, when you consider that it usually means a 50% to 75% discount, since all you pay for is materials.

But sometimes doing it yourself costs more than it saves, like when you decide to replace the toilet, end up flooding the basement, and have to pay a pro to fix your mistakes. Or, worse, if you become one of the more than 100,000 people injured each year doing home-improvement jobs. Here are some guidelines for deciding when DIY can save you money and when it could cost you.

Stick to routine maintenance for savings and safety
Seasonal home maintenance is ideal work for the DIY weekend warrior, since you can plan tasks in advance and get to them when your schedule allows. Because these are repeat projects, your savings will add up to big bucks over the years. Just by mowing your own lawn, for example, you can save $55 to $65 a week for a half-acre lawn during the growing season. The bigger the lot, the bigger the savings: with two acres, you’ll pocket around $150 per week.

When It Pays: Look for maintenance jobs that are relatively easy and need to be done regularly, so you can hone your skills over time. In addition to mowing, other good ones are snow removal, pruning shrubs, washing windows, sealing the deck, painting fences, fertilizing the lawn, and replacing air conditioner filters.

When It Doesn’t: Unless you have skill and experience on your side, stay off of any ladder taller than six feet; according to the U.S. Consumer Product Safety Commission, more than 164,000 people end up in emergency rooms every year because of ladder injuries. The same goes for operating power saws or attempting any major electrical work—it’s simply too risky if you don’t have the experience.

Act as your own GC on small jobs
If you’re more comfortable operating an iPhone than a circular saw, you may be able to act as your own general contractor on a home-improvement project and hire the carpenters, plumbers, and other tradesmen yourself. You’ll save 10% to 20% of the job cost, which is the contractor’s typical fee.

When it Pays: If it’s a small job that requires only two or three different tradesmen, and you have good existing relationships with top-quality professionals in those fields, consider DIY contracting.

When It Doesn’t: Unless you have an established network of contacts who will show up as promised, the time to spend on oversight, enough construction experience to spot potential problems, and the skill to negotiate disputes between the various subcontractors, trying to manage your own project can quickly send the schedule and budget off the rails.

Pitch in with sweat equity on big jobs
Contributing your own labor on a big job being handled by a professional crew can cut hundreds or even thousands of dollars off the contractor’s bill. Tear the cabinets and appliances out of your old kitchen before the contractor gets started, say, and you might knock $800 off the cost of your remodel, says Dean Bennett, a design/build contractor in Castle Rock, Colorado.

When it Pays: Grunt work—jobs that are labor intensive but require relatively little skill—makes the best homeowner contribution. Offer to do minor interior demolition like removing cabinets and pulling up old flooring, daily jobsite cleanup, product assembly, and simple landscaping like planting foundation shrubs and grass seed around your new addition.

When It Doesn’t: If you get in the crew’s way, you may slow them down far more than you help. Make your contributions when the workers aren’t around, such as in the morning before they arrive, or on nights and weekends after they’ve left.

Put on some of the finishing touches
Unlike the early phases of a construction job, which require skilled labor to frame walls, install plumbing pipes, and run wiring, many of the finishing touches on a project are comparatively simple and DIY-friendly. If you do the painting yourself for a new basement rec room, for instance, you can easily save $1,800, Bennett says.

When it Pays: If you have the skill—or a patient temperament and an experienced friend to teach you—finish work like setting tile, laying flooring, painting walls, and installing trim are all good DIY jobs.

When It Doesn’t: The downside to attempting your own finish work is that the results are very visible. Hammer dents in woodwork, for example, or sander ruts in your hardwood floors may cause you aggravation every time you see them. So unless you have a sure eye and a steady hand, it may not pay to embark on these tasks.

A former carpenter and newspaper reporter, Oliver Marks has been writing about home improvements for 16 years. He’s currently restoring his second fixer-upper with a mix of big hired projects and small do-it-himself jobs.

Congress restores funding for rural housing

2010-08-03T13:45:00.001-04:00

Last week, Congress passed legislation to restore funding to the 502 single-family rural housing program. The legislation will increase the guarantee fee for borrowers (but still allow it to be financed), which will make the program self-sufficient. The legislation also increases the commitment authority so Rural Housing Service can formally guarantee loans (they had been providing conditional commitments).

Also, the House Financial Services Committee approved H.R.4868, the Housing Preservation and Tenant Protection Act of 2010, which aims to stem the loss of affordable rental housing units and prevent the displacement of low-income tenants.

The Rural Housing program had run through its $13.1 billion funding by early this year and many buyers hoping to finance home purchases using Homebuyer Tax Credits were unable to close their loans. Depleted funding has been a nearly annual occurrence for the program that guarantees loans for single-family homes in designated exurban and rural areas. The new legislation will end the annual uncertainty by putting the program on a self-funding basis through enacting a 3.5 percent guarantee fee paid by the borrower. The fee, while substantial, can be included in the total amount financed.

Source: NAR and MortgageNewsDaily.com, Jann Swanson, (07/30/2010)

HUD: Public comment open on three initiatives

2010-07-20T09:20:00.001-04:00

Federal Housing Administration (FHA) Commissioner David Stevens unveiled three specific policy changes to strengthen the FHA's capital reserves. The U.S. Department of Housing and Urban Development is seeking public comment on these three measures.

For the next 30 days, HUD is seeking public comment on the following policy changes:

· Update the combination of credit and down payment requirements for new borrowers. New borrowers seeking FHA-insured financing will be required to have a minimum FICO score of 580 to qualify for FHA's flagship 3.5 percent down payment program. New borrowers with credit scores of less than a 580 will be required to make a cash investment of at least 10 percent. Borrowers with credit scores of less than 500 will no longer qualify for an FHA-insured mortgage.

· Reduce allowable seller concessions from six to three percent. Allowing sellers to contribute up to six percent of the home's sales price to offset a buyer's costs exposes the FHA to excess risk by potentially driving up the cost of the home beyond its appraised value. Reducing seller concessions to three percent will bring FHA into conformity with industry standards.

· Tighten underwriting standards for manually underwritten loans. When using compensating factors in the underwriting process, lenders will be required to consider those factors which are the best predictive indicators of loan performance, such as the borrower's credit history, loan-to-value (LTV) percentage, debt-to income ratio, and cash reserves.

Poll: Few Homeowners Regret Purchase

2010-07-16T09:16:00.002-04:00

Princeton Survey Research Associates

Surprise! Ninety percent of homeowners say they don't regret buying their home despite a nationwide tsunami of foreclosures, short sales and loan modifications, according to a national poll commissioned by Bankrate.com. By contrast, just 9 percent of homeowners answered "yes" to the question, "Do you have any regrets about buying your current home?"

Americans' contentment with their homes is probably the biggest surprise in a June 24 to June 27 poll of 1,001 randomly selected adults, conducted by Princeton Survey Research Associates.

Here's a result that's not so startling: Homeowners have become savvier about their mortgages.

In this year's survey, only 8 percent of homeowners with mortgages didn't know whether they have a fixed-rate or adjustable-rate loan, or something more exotic. Compare that to two years ago, when a Bankrate-commissioned poll found 26 percent of borrowers couldn't identify their mortgage type.

Among homeowners who regret having bought their homes, 31 percent said they feel woeful because they are unable to sell and move on. Another 22 percent said it was because they couldn't afford the monthly mortgage payments. Some 23 percent said they have regrets for other, unspecified reasons. The rest volunteered their own reasons for wishing they hadn't bought their home.

There's one caveat to these stats. Overall, the poll of homeowners has a margin of error of plus or minus 4.2 percentage points. But the number of regretful homeowners is so small that the figures in the accompanying chart have a margin of error of plus or minus 14 percentage points.

Real Trends Issue #1222, July 16, 2010

June Real Estate Statistics

2010-07-15T16:36:00.002-04:00

Elkhart County MLS
Elkhart, IN

New Listings: 316-'10, 295-'09
Sold Listings: 170-'10, 154-'09
Med Sales Price: $90,472-'10, $100,500-'09
Avg Days on Market: 108-'10, 98-'09
%Sale to List: 94.74%-'10, 91.94%-'09
Stats provided by Elkhart County Board of Realtors.

Unemployment Rates: Local - 14.1%, State - 10%, Nation - 9.5%

Mortgage rates at lowest point since at least 1971

2010-06-24T14:43:00.002-04:00

By ALAN ZIBEL, AP

WASHINGTON — Mortgage rates fell this week to the lowest level on records dating to 1971, giving consumers added incentive to lock in low payments for home purchases and refinanced loans.

The average rate for 30-year fixed loans sank to 4.69 percent, from 4.75 percent last week, mortgage company Freddie Mac said Thursday.

That's the lowest point since Freddie Mac began tracking rates in April 1971. The previous record of 4.71 percent was set in December. Rates for 15-year and five-year mortgages also hit lows.

Mortgage rates have fallen over the past two months as nervous investors have shifted money into the safety of Treasury bonds. The demand for Treasurys has caused Treasury yields to fall. And mortgage rates tend to track the yields on long-term Treasurys.

Yet the falling rates have yet to spark a home-buying boom — or energize the economy. New-home sales collapsed in May after homebuying tax credits expired. The economy also remains under pressure from high unemployment. And many people don't qualify under tightened lending rules.

"As long as prospective homebuyers are still concerned about their jobs and financial well-being, many will be reluctant to take the plunge, even though affordability has never been better," said Greg McBride, senior financial analyst with Bankrate.com.

Low rates throughout the economy also hurt one group of Americans: savers. Puny rates are especially hard on people living on fixed incomes who are earning next to nothing on their savings.

Lending activity remains sluggish. Mortgage application volume dipped 6 percent last week from a week earlier, according to the Mortgage Bankers Association. Refinancing activity fell 7 percent. And mortgage applications to buy homes slipped 1.2 percent.

Many Americans owe more on their mortgages than their homes are worth — often called "under water" — and can't refinance. The Obama administration has launched programs to help borrowers refinance if they owe up to 25 percent more than their home's value and have loans owned or guaranteed by mortgage giants Freddie Mac or Fannie Mae.

About 291,000 homeowners have participated as of March. Yet that's a small fraction of the nearly 15 million homeowners who are under water, according to Moody's Economy.com, and cannot refinance. In hard-hit areas in Nevada and Florida, for example, home prices have fallen 50 percent or more from their highs. Record-low rates can't rescue those homeowners.

"It's not the desire to refinance; it's the ability to refinance," Chris Brown, a loan officer with Trinity Mortgage Co. in Orlando, Fla. "A lot of the people who can already have."

Given the costs of refinancing, some mortgage experts say a refinancing can be worthwhile if you can shave at least 0.75 percentage point from an existing rate. Others suggest waiting until you can lower your rate by at least a point.

Despite some lenders' ads, refinancing is never free. A fee normally goes to the mortgage broker or lender. There are also fees for title insurance, a new appraisal, document processing and other charges. Often, mortgage brokers or lenders create the appearance of a "no fee" mortgage by adding the costs to a total loan amount or by charging a higher interest rate.

People considering refinancing should factor in such fees. They should also calculate how many months it would take to recover them. For those who expect to stay in their home for two years or less, the fees might outweigh the savings from a lower rate.

Freddie Mac collects mortgage rates on Monday through Wednesday of each week from lenders around the country. Rates often fluctuate, even within a given day.

Rates on 15-year fixed-rate mortgages fell to an average of 4.13 percent. That was the lowest on records dating to September 1991. It was down from 4.2 percent a week earlier.

Rates on five-year adjustable-rate mortgages averaged 3.84 percent, down from 3.89 percent a week earlier. That was also the lowest on Freddie Mac's records, which date back to January 2005 for such loans.

Average rates on one-year adjustable-rate mortgages fell to 3.77 percent from 3.82 percent. That was the lowest average since May 2004.

The rates do not include add-on fees known as points. One point is equal to 1 percent of the total loan amount.

The nationwide fee for loans in Freddie Mac's survey averaged 0.7 a point for 30-year, 5-year and 1-year loans. The average fee for 15-year loans was 0.6 of a point.

Indiana Leads the Nation in Job Growth

2010-06-24T10:59:00.002-04:00

WTHR-TV
updated 3:32 p.m. ET, Tues., June 22, 2010

Rich Van Wyk /Eyewitness News

Indianapolis - As a nation struggles to find a way out of this devastating economic recession, Indiana is creating more new jobs than any other state. Even the Wall Street Journal took notice.

With 48,000 new jobs so far this year, no other state has a larger percentage of job growth than Indiana. It's no surprise to the founder and CEO of AIT Laboratories.

"The state of Indiana has been business-friendly," said Michael Evans, AIT's CEO.

The Indianapolis-based company hired 100 more workers this year and is expanding its headquarters. Business-friendly state regulations, a skilled workforce and lower operating costs are among the reasons.

Overall the state is very good for doing business. It's low economic cost for us to do business and great location for logistics throughout the country," said Evans.

Indiana's working workforce has grown about two percent since January, an encouraging sign for state officials eager for an economic revival.

"Anytime the Wall Street Journal reports Indiana is leading the nation in job growth. It shows you are holding your own," said Marc Lotter, Department of Workforce Development.

In a nation still recovering from a devastating recession, when Indiana is better than all the other states, what does that really mean?

"We are doing better than most of the country, but that is not saying much, because the whole economy is down right now," said Matt Will, economist.

Although Indiana created the most jobs, 34 states have lower employment rates. Indiana's is stuck at 10 percent. Nearly half of the new jobs created in May are temporary Census jobs. Key industries like construction and transportation lost jobs.

"It is true Indiana leads the country in creating jobs. But we still aren't creating enough jobs. We need more jobs to keep unemployment from rising," said Will.

The number of available workers is still growing faster than the number of available jobs.

Will figures Indiana needs 12,000 to 15,000 new jobs every month just to hold the line on unemployment. Although the current job growth is short of that number, Indiana leads the pack and many believe the state is in a better position to take advantage an economic recovery.

Meantime, Americans who already have jobs are more likely to be working longer hours. That's because even though companies are seeing more work, they are generally cautious about hiring new workers.

In May, the average weekly hours of private employees rose for the third month in a row.

For the complete story go to: http://www.msnbc.msn.com/id/37837930/ns/local_news-indianapolis_in/

May 2010 Housing Stats

2010-06-16T12:17:00.004-04:00

Elkhart County, Indiana

New Listings: 275-'10, 303-'09
Sold Listings: 179-'10, 134-'09
Med Sales Price: $98,000-'10, $90,000-'09
Avg Days on Market: 119-'10, 108-'09%
Sale to List: 94.88%-'10, 93.75%-'09

Stats provided by Elkhart County Board of Realtors.

Unemployment Rates

Local - 14.1%, State - 10%, Nation - 9.5%

Home appraisals come under more scrutiny

2010-06-04T11:33:00.002-04:00

By Marcie Geffner • Bankrate.com

Homebuyers and sellers who expect an appraisal to sail through to closing without a hitch may be surprised to discover that home appraisals today can be problematic. The reasons for the change are complex, but there's no question that mortgage lenders have started to demand more reviews and do-overs.

Rob Johnson, vice president of lending at San Diego Funding, a mortgage company in San Diego, attributes the increase in home appraisal reviews to lender-specific requirements imposed due to past problems with certain types of home loans. For example, a mortgage lender might demand more scrutiny of an appraisal if the borrower has a marginal credit score or high debt level relative to income or if the property was a foreclosure that was fixed up and flipped by an investor.

Appraisals may lag home prices

Home prices are also a factor. When prices are on the rise, perhaps because buyers have bid more in a multiple-offer situation, appraised values might still be lower. The reverse is also the case.

"Any time you have a market in transition, appraisals aren't going to keep up because the appraisal is based on historical data," Johnson says.

Inadequate "comps" can present problems as well. ("Comps" refers to recent sales of nearby homes that are similar, or comparable, to the home that's the subject of the appraisal.) The mortgage lender may deem the comps inadequate if the homes were too far away or were sold in such nontraditional circumstances as a short sale or foreclosure or if the sales occurred too long ago. If the comps aren't sufficient, the lender may order a review or second home appraisal to verify that they were chosen correctly.

"If (the appraiser) can't find three comps within that area and has to expand, that is where you start to get appraisal reviews or secondary appraisal requirements to make sure the appraisal was valid or that (the lender) was comfortable," Johnson says.

The term "second appraisal" generally refers to a new start-from-scratch valuation. An appraisal review could be a "desk review," in which the appraisal gets an extra look-over by an office-bound person, or a "field review," in which the appraisal is subject to another drive-by or in-person inspection of the property. A review is more common than a second appraisal.

New guidelines distance lenders from appraisers

Leslie Sellers, 2010 President of the Appraisal Institute in Chicago, says a lender might order a new home appraisal if the first one was based on factual errors or the appraiser wasn't competent in the local area.

Some second appraisals, he adds, result from a misunderstanding of the Home Valuation Code of Conduct, a set of guidelines that was meant to prevent undue pressure being placed on appraisers to inflate home valuations, but may have caused some lenders to cut off communication with appraisers.

"The banks are thinking they can't even talk to the appraiser," Sellers says.

Sellers can offer comps to appraiser

An appraisal review can cost several hundred dollars while a second appraisal generally involves a second full fee, according to Sara Schwarzentraub, owner of Inter-State Appraisal Service in San Diego. These costs usually are paid by the buyer.

"It's commendable that the lenders are being cautious and having stricter criteria to protect themselves because in the long term that protects everybody, but it does make it more costly," she says.

Home sellers can offer the appraiser information that might affect the appraiser's opinion of the home's value. This information is best handed over before the appraisal is prepared.

"If you know of a sale that's similar to your house and it was a foreclosure, short sale, divorce or anything of that nature, make the appraiser aware of that," Sellers says.

Real estate brokers can help buyers and sellers find comps to offer the appraiser, Johnson suggests. If the broker believes comps may present a problem, the buyer and seller can plan accordingly.

"A good real estate agent is aware of these issues. Many times, an agent will call us and say, 'I know we are going to have problems with comps on this," he says.

Neither the buyer nor seller can choose the appraiser, but Sellers says buyers can insist on a minimum competency, which he defines as having local market knowledge and being certified as well as licensed.

Buyers and sellers also can agree on longer timeframes for the home appraisal contingency and closing date. Schwarzentraub suggests that asking for a 45- or 60-day closing, rather than 30 days, is not unreasonable.

Buyers are entitled by federal law to a copy of any appraisal for which they've paid a fee. Buyers should look over the appraisal and notify the lender of any errors that could have affected the appraiser's opinion of the home's value.

Outdoor Lighting for Curb Appeal and Safety

2010-05-27T10:25:00.005-04:00

Article From HouseLogic.com
By: Dave TohtPublished: March 18, 2010

Well-planned outdoor lighting improves curb appeal, safety, and security for your home.

Think about it: Most of your guests (and if your home is on the market, many would-be buyers) see your home only in the evening, when its best features may be lost in the shadows. Well-executed outdoor lighting enhances architectural detail and plays up landscape features, casting your home in the best possible light and adding an abundance of curb appeal.

Outdoor lighting also adds value. Judith Patriski, an appraiser and owner of Quad Realty Co. near Cleveland, estimates that for upper-bracket homes, an investment in outdoor lighting can yield a 50% return. "When you pull into a driveway and see a gorgeous home, you're going to pay more for it," says Patriski.

And she emphasizes that it's not only about aesthetics: "In all price ranges, lighting for security is important"--both to protect against intruders and falls. Here are the elements of successful outdoor lighting.

Mimicking moonlight
Much of the success of exterior lighting hinges on its design. Hang around lighting designers long enough and you'll hear a lot of talk about "moonlight effect." That's a naturalistic look that features light no more intense than that of a full moon, but still strong enough to make beautiful shadows and intense highlights.

Other techniques outdoor lighting designers use:
•Highlight trees: Whether illumined from below or given presence by a light mounted in the tree itself, trees make stunning features.
•Use uplights: Uplighting is dramatic because we expect light to shine downward. Used in moderation, it's a great way to highlight architectural and landscaping features.
•Have a focus: The entryway is often center stage, a way of saying, "Welcome, this way in."
•Combine beauty and function: For example, adding lighting to plantings along a pathway breaks up the "runway" look of too many lights strung alongside a walk.
•Vary the fixtures: While the workhorses are spots and floods, designers turn to a wide range of fixtures, area lights, step lights, and bollards or post lights.
•Stick to warm light: A rainbow of colors are possible, but most designers avoid anything but warm white light, preferring to showcase the house and its landscape rather than create a light show.
•Orchestrate: A timer, with confirmation from a photocell, brings the display to life as the sun sets. At midnight it shuts shut down everything but security lighting. Some homeowners even set the timer to light things up an hour or so before dawn.

Adding safety and security

Falls are the foremost cause of home injury, according to the Home Safety Council. Outdoors, stair and pathway lighting help eliminate such hazards.

Often safety and security can be combined. For example, motion-detecting security lighting mounted near the garage provides illumination when you get out of your car at night; the same function deters intruders. Motion detecting switches can also be applied to landscape lighting to illumine shadowy areas should anyone walk nearby.

Even the moonlight effect has a security function: Soft, overall landscape lighting eliminates dark areas that might hide an intruder, exposing any movement on your property. Overly bright lights actually have a negative effect, creating undesirable pockets of deep shadow.

Switching to LEDs
Once disparaged for their high cost and cold bluish glow, LEDs are now the light source of choice for lighting designers. "They've come down in price and now have that warm light people love in incandescent bulbs," says Paul Gosselin, owner of Night Scenes Landscape Lighting Professionals in Kingsland, Texas. "We haven't installed anything but LEDs for the last year."

Although LED fixtures remain twice as expensive as incandescents, installation is simpler because they use low-voltage wiring. "All in all, LEDs cost only about 25% more to install," Gosselin says. "And they'll save about 75% on your electricity bill."

Another advantage is long life. LEDs last at least 40,000 hours, or about 18 years of nighttime service. With that kind of longevity, "why should a fixture have only a two-year warranty?" asks Gosselin. He advises buying only fixtures with a 15-year warranty, proof that the fixture's housing is designed to live as long as the LED bulbs inside.

Innovations
The growing popularity of exterior lighting has led to innovative fixtures. Here are some bright new ideas:
•Solar lighting: When first introduced, solar pathway lights produced a dull glow that rarely made it through the night. They do much better now that they are equipped with electricity-sipping LEDs, more efficient photovoltaic cells, and better batteries. Still, they have yet to measure up to hard-wired systems.
•Hybrids: Porch lights now come equipped with LED lighting for all night use, and a motion sensor that clicks on an incandescent bulb to provide extra illumination as you approach the front door. Hybrids use about 5% of the power a solely incandescent fixture requires.
•Barbecue light: Tired of grilling steaks by flash light? Now you can buy a gooseneck outdoor light, ideal for an outdoor kitchen.

Estimating the cost
Total outdoor lighting costs will vary according to the size of your home and the complexity of your lighting scheme. Expect to pay about $325 for each installed LED fixture. LEDs also require a transformer to step the power down from 120 volts to 12 volts, running about $400 installed.

A motion detector security light costs about $150 installed. Porch lights and sconces range from $100 to $250 installed, depending the fixture and whether running new cable is necessary.

Contractor-installed outdoor lighting for an average, two-story, 2,200 sq. ft. house might add up as follows:
•7 fixtures to cover 100 feet of LED pathway lighting: $2,275
•Transformer: $400
•4 LED uplights to dramatize the front of the house: $1,300
•2 LED area lights for plantings: $650
•2 motion detector security lights: $300
Total cost: $4,925

Dave Toht has written or edited more than 60 books on home repair and remodeling, including titles for The Home Depot, Lowe's, Better Homes & Gardens, Sunset, and Reader's Digest. A former contractor, Dave was editor of Remodeling Ideas magazine and continues to contribute to numerous how-to publications.

My recommended local source for architechural and landscape lighting is Majestic Lighting. You can get more information and see a portfolio of their work at www.majesticlightingdesigns.com

MDA Lock Up 2010

2010-05-18T15:06:00.003-04:00

I NEED YOUR HELP!
I'm going behind bars for "GOOD" PLEASE HELP BAIL ME OUT!

Your donation is my key to freedom!

Be proud of the fact that together we're providing help and hope to kids and adults served by MDA in our community.

Donations to MDA provide help and hope in many ways:
- Clinics - expert specialized medical care
- Research - cutting-edge investigation into treatments and cures
- Support - help obtaining equipment and coping with challenges
- Camp - a barrier-free week of fun, friendship and laughter for kids
And so much more - visit mda.org for information on how MDA makes a difference to people around the country and in your community.

My "bail" is set at $1300, please visit my personal event website to make your pledge; www.joinmda.org/elkhartlockup2010/tom

Thanks for making a difference!

April MLS Housing Stats

2010-05-12T14:30:00.001-04:00

For Elkhart Indiana
New Listings: 325-'10, 311-'09
Sold Listings: 182-'10, 103-'09
Med Sales Price: $88,750-'10, $90,000-'09
Avg Days on Market: 107-'10, 124-'09%
Sale to List: 94.52%-'10, 92.57%-'09
Stats provided by Elkhart County Board of Realtors.

Coldwell Banker National Buyer Bonus Program

2010-05-03T12:33:00.002-04:00

Coldwell Banker Roth Wehrly Graber is reinvigorating the buyer pool with the Buyer Bonus Event

The Home Buyer Tax Credit expired on April 30th. Without this incentive in place, the residential real estate market will be losing a powerful vehicle for attracting new and repeat home buyers looking to take advantage of a credit worth up to $8,000.

Because your home is currently on the market, we want to make sure you’re aware of the impact this development could have on your home sale. At the same time, we’d like to present you with a unique marketing opportunity that could improve your chances of completing a sale quickly.

From May 1st through July 31st, we’ll be investing in support of a nationwide campaign, the Coldwell Banker Buyer Bonus Event, which we’re positioning to home buyers as an extension of the Home Buyer Tax Credit benefits without all of the eligibility and qualification restrictions. The purpose of this program is twofold:
- Re-energize qualified first-time home buyers who missed out on the Tax Credit
- Incentivize a new, broader home buyer audience who failed to qualify for the Tax Credit

By choosing to participate in the program, you agree to refund to the buyer 3% of the accepted offer price of your home up to $8000. This “Buyer Bonus” takes the form of a credit at close.

Meanwhile, Coldwell Banker will be promoting this program nationally, generating widespread awareness and replenishing a home buyer pipeline depleted by the expiration of the government’s Tax Credit program. Marketing support for the program will include:
- Buyer Bonus Event tags which will appear on all Coldwell Banker television advertising throughout the month of May, June and July
- Online display ads promoting the event on coldwellbanker.com and CBElkhart.com
- The promotion of your home as a participating property on coldwellbanker.com and CBElkhart.com
- As part of a property search function that only includes Buyer Bonus Event properties on coldwellbanker.com.
- A consumer-targeted video featuring the Buyer Bonus Event will be made available on Coldwell Banker OnLocation, the most visited real estate channel on YouTube.
- Social media outreach on sites such as Facebook and Twitter promoting the Buyer Bonus Event

If you’re as serious about selling your home as we are, your participation in this completely optional program is highly encouraged. The housing market in the aftermath of the Tax Credit promises to present some unique obstacles, and we prefer to meet these challenges head on with bold and innovative marketing that few, if any, brokerages outside of Coldwell Banker can match.

We can answer any questions you have about the event and help you decide if your participation in the program aligns with your home sale goals. The final terms of the Buyer Bonus will be set forth in an addendum to your listing agreement.

Thanks again for your commitment to us. We’ll keep working hard to reward your confidence.

The Canarecci Group
Tom & Katrina

March Real Estate Stats for Elkhart County Indiana

2010-04-07T17:15:00.004-04:00

New Listings: 340-'10, 305-'09
Sold Listings: 156-'10, 116-'09
Med Sales Price: $84,000-'10, $93,950-'09
Avg Days on Market: 106-'10, 127-'09
% Sale to List: 94.82%-'10, 94.36%-'09

Stats provided by Elkhart County Board of Realtors.

February Market Stats for Elkhart County MLS

2010-03-16T16:10:00.003-04:00

New Listings - 247 -'10 -- 233 - '09
Sold Listings - 92 - '10 -- 81 - '09
Median Price - $72,250 - '10 -- $81,000 - '09
Avg. Days on the Market - 114 - '10 -- 141 - '09
% of Sale to List Price - 93.30% - '10 -- 93.17% - '09

Don't forget that to take advantage of the $8,000 1st time homebuyers tax credit, and/or the $6,500 move-up buyers tax credit, you must have an accepted offer by April 30, 2010, and must close by June 30, 2010.

January Market Stats for Elkhart County, Indiana

2010-02-22T12:11:00.002-05:00

New Listings - 253 -'10 -- 238 - '09
Sold Listings - 94 - '10 -- 71 - '09
Median Price - $82,000 - '10 -- $74,000 - '09
Avg. Days on the Market - 118 - '10 -- 92 - '09
% of Sale to List Price - 94.26% - '10 -- 93.05 - '09

Some good signs for the market in Ekhart, Indiana. January showed an increase in sales, median sales price, and the percentage of list price to sales price.

February has also started with some signs of strength.

Don't forget that to take advantage of the $8,000 1st time homebuyers tax credit, and/or the $6,500 move-up buyers tax credit, you must have an accepted offer by April 30, 2010, and must close by June 30, 2010.

Looking back at 2009

2010-01-25T10:02:00.002-05:00

After taking a few weeks to settle in and reflect on the past year, I can safely say that I am looking forward to 2010 as a stabilizing year.

2009 was filled with the highest of highs and the lowest of lows. The spring found me at an all time high, as I married my lovely wife Katrina. And the end of the year concluded with the loss of one of my closest friends, Bob Przybylski. Bob and I both started with Coldwell Banker Anchor Real Estate in 1998. We partnered together on new construction projects for most of those years.

My real estate business was the same. We were hit hard here in Northern Indiana by the economy. Unemployment in Elkhart County spiked at 18.8% in March. The 4th quarter however, brought the relocation of several new companies to the area, spurring a renewed sense of optimism. I also officially merged my real estate practice with Katrina and launched our new website www.IndianasBestHomes.com to better serve our clients.

Here are to the end stats 2009 vs 2008

Elkhart County
Homes Sold '08 1,449
Homes Sold '09 1,361
% Change -6.1%
Median Sales Price '08 $109,000
Median Sales Price '09 $90,000
% Change -17.4%

St. Joseph County
Homes Sold '08 3,079
Homes Sold '09 2,599
% Change -15.6%
Median Sales Price '08 $83,000
Median Sales Price '09 $85,000
% Change 2.4%

Statewide
Homes Sold '08 61,141
Homes Sold '09 57,001
% Change -6.8%
Median Sales Price '08 $107,900
Median Sales Price '09 $105,300
% Change -2.4%

I look forward to the opportunities that 2010 will bring!

Remember, your opportunity to take advantage of the $8,000 tax credit for 1st time home buyers, and the $6,500 tax credit for move-up buyers is expiring soon! You must have an accepted purchase agreement by April 30, 2010 to qualify. So call us today!

South Bend Tops in Nation for Best Home Value

2010-01-07T13:48:00.001-05:00

Jan 6, 2010

South Bend is the best city in the nation to find value, stability and rising prices in a home while living in a community with anticipated job growth, according to a real estate expert interviewed Jan. 5 on NBC-TV's Today Show.

Barbara Corcoran, a real-estate contributor to the Today Show and CNBC, ranked South Bend first among the "Top 10 Cities for Bargain Homes."

In South Bend, Corcoran told interviewer Ann Curry, the median "price is just $89,000, and prices have been rising steadily for almost a full year now.

"Still, the median price is only half of what it is in the rest of the nation," she said. "That's an enormous difference -- a lot of house for the dollars."

Corcoran's report showed a three-bedroom Victorian home in South Bend as she commented, "Pretty! Pretty! Pretty! It's $90,000. That is a creampuff of a house – in great condition."

If the availability of housing values weren't enough to put South Bend atop her list, "the cost of living is a whopping 29 percent lower than anywhere else," added Corcoran who sold her company The Corcoran Group for $70 million in 2001.

Here is Corcoran's ranking of cities as appeared on the Today Show:
1. South Bend, Ind.
2. Akron, Ohio
3. Topeka, Kan.
4. New Haven, Conn.
5. Tucson, Ariz.
6. Minneapolis
7. Portland, Maine
8. Miami
9. Kingston, N.Y.
10. Trenton, N.J.

The Basics: Extended Home Buyer Tax Credit 2009/2010

2009-11-06T16:49:00.002-05:00

Bringing the Dream of Homeownership Within Reach
As part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation, Congress has passed new legislation that:

Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.
Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.

Here is more information about how the Extended Home Buyer Tax Credit can help prospective home buyers become part of the American dream.

Who Qualifies for the Extended Credit?

First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.
Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.

To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.

Which Properties Are Eligible?

The Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Is Available?
The maximum allowable credit for first-time home buyers is $8,000.
The maximum allowable credit for current homeowners is $6,500.

How is a Buyer's Credit Amount Determined?
Each home buyer’s tax credit is determined by two additional factors:
The price of the home.
The buyer's income.

Price

Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less

Buyer Income

Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009, single buyers with incomes up to $125,000 and married couples with incomes up to $225,000—may receive the maximum tax credit.

These income limits have changed from the 2009 First-Time Home Buyer Tax Credit limits. If you or your client purchased a home between January 1, 2009 and November 6, 2009, please see 2009 First-Time Home Buyer Tax Credit.

If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?

Yes, some buyers may still be eligible for the credit.
The credit decreases for buyers who earn between $125,000 and $145,000 for single buyers and between $225,000 and $245,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $145,000 for singles and over $245,000 for couples are not eligible for the credit.

Can a Buyer Still Qualify If He/She Closes After April 30, 2010?

Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

Will the Tax Credit Need to Be Repaid?

No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount credit will be recouped on the sale.

If you would like more information on the tax credit and how it would work for you or someone you know; e-mail The Canarecci Group at Tom@IndianasBestHomes.com or Katrina@IndianasBestHomes.com

The information above was provided by the National Association of REALTORS.

Most Affordable College Towns

2009-11-06T13:32:00.002-05:00

This year, Akron, Ohio (University of Akron) is ranked as the most affordable college town, where a typical four-bedroom home costs $121,885. Muncie, Ind. (Ball State University) took the No. 2 spot at $144,996. Ann Arbor, Mich. (University of Michigan) came in as the No. 3 most affordable college market, where the sample size home only costs $148,000.

The annual College Home Price Comparison Index released by Coldwell Banker Real Estate LLC provides an apples-to-apples comparison of similarly sized 2,200 square foot; four-bedroom, two-and-a-half bathroom homes in college markets home to the 120 Football Bowl Subdivision schools.

Overall, the 2009 College HPCI revealed that real estate buyers could find a typical four-bedroom home for less than $250,000 in 62 percent of the college markets surveyed (72 total), including iconic American college towns such as:·

Syracuse, N.Y (Syracuse University): $171,711·
South Bend, Ind. (University of Notre Dame) $183,938·
Athens, Ga. (University of Georgia): $205,862·
Oxford, Miss. (University of Mississippi): $212,000·
Knoxville, Tenn. (University of Tennessee): $223,850

According to the U.S. Census Bureau's 2008 American Community Survey; Austin, Texas (University of Texas), Provo, Utah (Brigham Young University), and Raleigh, N.C. (North Carolina State University) were among the metropolitan cities with the greatest population growth in 2008. In all three rising cities, home buyers can find a four-bedroom home for very a reasonable price; only $226,642 in Austin; $231,000 in Provo; and $241,462 in Raleigh.

Elkhart County Real Estate Stats - September

2009-11-03T11:42:00.001-05:00

Monthly 2009 to 2008 Comparison
# New ListingsSept '09 - 268, Sept '08 - 286, YTD 2572
# Sold ListingsSept '09 - 118, Sept '08 - 144, YTD 1055
Median PriceSept '09 - $98,000, Sept '08 - $98,950, YTD $91,500
Avg Days on the MarketSept '09 - 105, Sept '08 - 101, YTD 112%
Sale Price to List PriceSept '09 – 94.26, Sept '08 – 96.10, YTD 93.50
Elkhart County Unemployment Rate16.0%

Concord Mall Gets National Recognition

2009-09-18T16:02:00.003-04:00

Malls think outside the (big) box

In a dismal retail climate, developers are luring unconventional tenants.

By Beth Kowitt, reporter
September 9, 2009: 5:49 AM ET

NEW YORK (Fortune) -- A freeze in consumer spending, abysmal same-store sales, and a swath of retail bankruptcies have taken a serious toll on your local mall.

Nationwide, mall vacancy rates hover at 8.4%, their highest level since commercial real estate research firm REIS started collecting the data almost a decade ago. To keep their storefronts full, mall operators are starting to get creative when it comes to their definition of a tenant.

At Concord Mall in Elkhart, Ind., a 4,900-square-foot space formerly occupied by KB Toys sat basically vacant for more than four years until the evangelical Fresh Start Church moved in. Located right next to Jo-Ann fabrics, the church has seating for 150 and is known for its frequently changing window displays.

The mall's retailers might not see a noticeable increase in sales since the church moved in, but mall manager Robert Thatcher and Fresh Start's Pastor Rick Harris (a.k.a. the "Mall Pastor") say the food court's business is up; members of the congregation tend to grab a bite on Sundays after church lets out.

In Nashville, Tenn., One Hundred Oaks Mall welcomed a new kind of tenant in February: the Vanderbilt Medical Center, a sprawling facility that, at 436,000 square feet, takes up almost half the mall.

When owner Tony Ruggeri and a partner bought the space in 2006 the mall faced a dire 55% vacancy rate with a second floor that was virtually dead. Now the health care facility, which had its main opening in February, brings in almost 1,000 employees and just as many patients every day.

And when Crestwood Court in St. Louis lost Macy's (M, Fortune 500) earlier this year, rather than try to find another anchor tenant it did the same thing it did when Dillard's (DDS, Fortune 500) vacated two years ago: it turned the empty space in its wing into an artists' colony until it can renovate. Local artists can rent these empty storefronts -- turning them into a dance studio and theater, for instance -- at a seriously discounted rate.

Crestwood mall operator Jones Lang LaSalle says business at restaurants picks up when the theater is putting on a show, and stores like Children's Place (PLCE) see more traffic from parents when their kids are in dance lessons.

All told, at least 63 churches, 244 medical facilities, and 172 schools moved into retail space in the second quarter of 2009 alone, according to CoStar Group.

The motto of the moment is "tenant retention," says retail real estate consultant Steven Greenberg. Mall operators are also doing whatever they can to keep existing tenants in place, like agreeing to shorter leases and rent relief. (Asking rent for non-anchor tenants is down 3% from a year ago, says research firm REIS.) In some cases they're accepting regional retailers and nontraditional mall stores like Costco (COST, Fortune 500).

Critics say some of these alternative uses may fill space, but they don't help the customer experience. William Taubman, the COO of mall REIT Taubman Centers (TCO) (son of company founder A. Alfred Taubman, who was convicted in 2001 of price fixing while chairman of Sotheby's) says the company left a space next to a Louis Vuitton store at its Beverly Center property in Los Angeles vacant for two years rather than fill it with just any tenant.

"Customers come to the mall to eat and to shop and to hang out," he says. "Uses more tangential to that are really not as productive."

That may be so for Taubman Centers, which owns some of the most coveted malls around the U.S. But for others, putting church pews next to the food court may be the only way to stay alive.

Find this article at: http://money.cnn.com/2009/09/08/news/companies/malls_unconventional_tenants.fortune

Most affordable markets ranked

2009-09-18T12:23:00.002-04:00

In its annual survey of most- and least-affordable housing markets, BusinessWeek quoted a number of experts who believe that for many people, the current low interest rates and low housing prices have combined to allow an once-in-a-lifetime opportunity to buy a home. To calculate the most- and least-affordable areas, BusinessWeek considered the share of homes sold in the second quarter of this year that would have been affordable to a family earning the local median income. Housing costs were calculated using new and existing sales records supplied by First American Real Estate Solutions and include principal, interest, estimated property taxes, and insurance.

Here are the 10 most-affordable areas:
1. Kokomo, Ind.
2. Lansing-East Lansing, Mich.
3. Mansfield, Ohio
4. Elkhart-Goshen, Ind.
5. Lima, Ohio
6. Bay City, Mich.
7. Indianapolis-Carmel, Ind.
8. Saginaw-Saginaw Township North, Mich.
9. Youngstown-Warren-Boardman, Ohio-Pa.
10. Canton-Massillon, Ohio

Here are the 10 that are least affordable:
1. New York-White Plains, N.Y.-Wayne, N.J.
2. San Francisco-San Mateo-Redwood City, Calif.
3. San Luis Obispo-Paso Robles, Calif.
4. Ocean City, N.J.
5. Honolulu
6. Los Angeles-Long Beach-Glendale, Calif.
7. Santa Ana-Anaheim-Irvine, Calif.
8. Santa Cruz-Watsonville, Calif.
9. Nassau-Suffolk (Long Island), N.Y.
10. Flagstaff, Ariz.

Source: Business Week, Prashant Gopal (09/11/2009)

Elkhart County Real Estate Stats - August

2009-09-11T14:47:00.002-04:00

Monthly 2009 to 2008 Comparison

# New Listings
Aug '09 - 284, Aug '08 - 304, YTD 2298

# Sold Listings
Aug '09 - 124, Aug '08 - 145, YTD 924

Median Price
Aug '09 - $99,900, Aug '08 - $114,900, YTD $90,500

Avg Days on the Market
Aug '09 - 114, Aug '08 - 84, YTD 113

% Sale Price to List Price
Aug '09 - 93.94, Aug '08 - 95.72, YTD 93.37

Elkhart County Unemployment Rate16.7%

ACT NOW!

2009-08-31T16:54:00.004-04:00

Allow Enough Time for Closing to Secure Tax Credit of up to $8,000

The $8,000 federal tax credit for first-time homebuyers is scheduled to expire on December1, 2009. However, in order to qualify, the transaction must be closed on or before November 30th, essentially leaving first-time buyers less than 3 months to complete the process. This assumes 45 days to search for a home and another 45 days to obtain mortgage financing and complete all the necessary steps to closing, including appraisals, inspections and title work. While the urgency of trying to find and close on a home before the deadline may seem stressful, it doesn't have to be.

For those first-time buyers who are in the early phase of entering into the buying process, the following five steps will help in speeding up the process:

Find A Qualified Real Estate Agent. A team of experienced professionals are key to making the home buying process simple and seamless. Start by interviewing and selecting a sales associate who understands what you're looking for. A real estate agent will arrange showings, and keep track of the properties visited. He / she should also be able to identify suitable mortgage lenders, home inspectors and others who will play a role in the process. Remember, an agent is an expert who will negotiate the best price and incentives on a home, and will oversee the sales process on a homebuyer's behalf. It is critical that you get a timeline from your real estate agent so that you leave enough time for the sometimes lengthy closing process to occur.

Know Before You Go. The first step in the home buying process should always be to have an idea of the type of property one wants to buy. By separating the "must haves" from the "wants" , homebuyers can focus on what's really important. Homebuyers who arm themselves with as much knowledge as possible before hitting the ground with an agent are bound to save time in the long-run. Visit http://www.indianasbesthomes.com/ for buyer tips and to search for homes.

Get Your Credit Report In Order.A sound financial track record and solid credit score can help lock in a home loan and lower interest rates. Lenders today are looking at prospective borrower's credit reports closely than ever so it's important to examine one's credit report for mistakes and eradicate any "toxic" debt such as overdue creditcard payments before the home shopping begins. Rectifying mistakes is easy to do but it can be a time consuming process. Checking a credit score and addressing any errors will help expedite the approval process when it comes time to make an offer.
Compile Your Paperwork. At the same time homebuyers are working to correct or improve their credit report, they should also pull together the documents they will need to provide their lender. These documents include:
- Verification of employment form
- Two most recent pay check stubs
- Two most recent bank statements
- Copies of the last two W2 forms received from employer
- Copies of any asset statements including those for retirement accounts, stocks, bonds
or mutual funds
- Copy of social security card

* If there is a co-applicant on the loan, all of these forms will be required for that person
as well.
Get Your Pre-Approval. Once the paperwork is in order, it's time to get pre-approved for a mortgage. "Pre-Approval" means that a lender has verified the borrower's credit and other credentials and is committed to making a loan. This is different (and more valuable to sellers) than pre-qualification, which simply gives the borrower an idea of the size of the mortgage he / she might afford without actually committing to a loan.
The borrower is not obligated to get a loan from the lender that offers the pre-approval letter but keep in mind that a pre-approval does involve giving permission for a hard credit inquiry. This could potentially result in a small ding on the borrower's credit report. Getting this early green light, however, will put homebuyers in a stronger position with sellers, demonstrating how serious they are about homeownership - and that they are well-qualified.

Local Real Estate Statistics - July

2009-08-11T10:10:00.007-04:00

Monthly 2009 to 2008 Comparison
Elkhart County Residential Real Estate

# New Listings
July '09 - 328, July '08 - 388

# Sold Listings
July '09 - 145, July '08 - 146

Median Price
July '09 - $96,600, July '08 $119,450

Average Days on the Market
July '09 - 111, July '08 - 90

% Sale to List
July '09 - 94.44, July '08 96.57

July Unemployment Rate for Elkhart County - 16.7%

Tips for Home-Buyers:

2009-08-10T15:27:00.002-04:00

Avoid a “home search blind date disaster.” We all do our best to avoid the bad surprises that come with blind dates in our personal lives. You fall into the same trap if you and your partner start the house hunt without pinpointing what you really want. Prioritize your “must-haves” – then your realtor can match make to find a perfect home that fits your needs. Free sites like http://www.IndianasBESTHomes.com are a great way to start.

Don’t fly solo. A home is probably a couple’s biggest joint investment, but many people delegate the home search to one partner. Often one person will have already looked at many homes, fallen in love with one and then – the partner comes in with a totally different opinion, so they go back to square one. Commit to taking the time upfront to do this together, and you’ll probably save time in the long run.

Invest with your head and your heart. There’s usually one person who responds on an emotional level – “I can just imagine what a great Thanksgiving we could host here!” and the other who thinks more practically – “This is great for our budget.” Try and tap into both of these instincts, because we all know that beautiful kitchen won’t be ideal if there’s no money left for the turkey dinner!

Practice patience not pressure: Timing definitely factors into the home buying process. Some aspects can be controlled and others can’t. But it’s important for both people to be patient, to weigh all options and to avoid rash decisions. Pressuring one person before he or she is ready can lead to regret and resentment down the road.

Talk it out: According to a recent survey conducted by Coldwell Banker, women may make up their mind more quickly than men, but it’s a possibility they are acting on impulse. Vice versa, sometimes a man may over-think the situation. Make a pro and con list of each house, and talk about every factor after leaving the house before making the final decision.

Local Real Estate Statistics

2009-07-08T09:49:00.004-04:00

Monthly 2009 to 2008 Comparision
Elkhart County Residential Real Estate

# New Listings -
June '09 - 291 June '08 - 334 '09 YTD - 1682

# Sold Listings -
June '09 - 138 June '08 - 161 '09 YTD - 638

Median Price -
June '09 - $103,000 June '08 - $117,000 '09 YTD - $89,700

Average Days on the Market -
June '09 - 97 June '08 - 99 '09 YTD - 114

% Sale to List -
June '09 91.99% June '08 - 96.76% '09 YTD - 93.05

June Unemployment Rate for Elkhart County - 17.5%

Fun at Area Festivals This Weekend!

2009-06-26T11:10:00.002-04:00

The Elkhart Jazz Festival & Mishawaka's SummerFest are always fun!

For more information on Jazz Fest visit; http://elkhartjazzfestival.com/index.htm

For info on Summerfest go to; http://www.mishawakacity.com/summerfest09.asp

Both events are sure to be fun...hope to see you out there!

The Canarecci Group:
A Team With Hometown Expertise, Combined With Global Market Capabilities

Finding the right representation and creating that perfect measure of trust should be the most important consideration you have.

As experienced professionals and most importantly as your real estate representatives, we will go above and beyond to ensure your complete satisfaction with the sale and/or purchase of your home. We understand the stress and apprehension that accompanies your move. Therefore, our number one priority is ensuring your transition is as smooth as possible.

Group Contact Information:

574.522.2822 Office
574.298.1153 Mobile Tom
574.612.2288 Mobile Katrina
574.293.7396 Fax
tom@indianasbesthomes.com E-mail
katrina@indianasbesthomes.com E-mail
www.IndianasBESTHomes.com Website
www.YourHomeSpot.blogspot.com Blog
www.twitter.com/YourHomeSpot Twitter
www.Facebook.com/tom.canarecci Facebook
www.Facebook.com/katrina.russo-canarecci Facebook

By the way...we are never too busy for your referrals!

Internet Home Buying Blunders

2009-06-25T11:13:00.004-04:00

This article was originally posted on January 7, 2009. As many of you are considering a move, I thought you might find it helpful. As always, if we here at The Canarecci Group can assist you in any way with your real estate needs or questions, please contact us.

5 Top Blunders of Internet Home Buying
How to avoid the common pitfalls of online real estate searching
By Matthew Bandyk
Posted January 7, 2009

While the painful real estate swoon appears likely to extend well into 2009—at least—the number of Americans using the Internet to find the home of their dreams is poised to keep on climbing. According to the 2008 National Association of Realtors Profile of Home Buyers and Sellers, 87 percent of home buyers used the Internet to search for homes in the past year. That's up steadily from 84 percent in 2007, 80 percent in 2006. But despite its mounting popularity, the Internet home-buying process can present a host of pitfalls. To help make your online real estate searching more effective, here's a look at the top five Internet home-buying blunders and what you can do to avoid them.

1) Assuming you can do it all yourself. The Internet allows users to handle for themselves many of the tasks that could once only be performed by real estate agents. The NAR profile, for example, found that the number of home buyers who first learned of their homes on the Internet has been rising in recent years—to 32 percent in 2008, up from a tiny 2 percent in 1997. Accordingly, the number of home buyers who first learned of their homes through agents has been declining—it was at 34 percent in 2008, down from 50 percent in 1997.

But although the Internet can provide heaps of helpful tips and research, it would be a mistake to assume that the Web is all you need to buy a house—unless you are an experienced real estate investor. The process of purchasing real estate can be extremely complicated from a legal standpoint, and it's easy to make a mistake if you don't have an expert advising you. And when it comes to something as expensive as real estate, those mistakes could cost you thousands of dollars. "Doing all the paperwork yourself is a huge mistake," says Joshua Dorkin, CEO of BiggerPockets.com, a real estate networking and information site. "There are so many things you can miss on a contract."
[See 5 Reasons to Hire a Pro to Sell Your House]

2) Looking too narrowly. The sheer amount of information about the real estate market online can be overwhelming. As a result, buyers can be tempted to stick to just one or two popular real estate search engines, like Realtor.com, for their research. The problem with doing that, however, is that you're missing out on the biggest advantages that the Internet offers.
First, you're closing yourself off to a smaller cross section of the homes that are out there. "A lot of the sites aren't comprehensive and don't have all of the new listings," says Pat Kitano, a cofounder of Domus Consulting Group, which works with real estate brokerage firms on technology marketing strategies. Don't assume that because a house is on one real estate website that it is on them all, says Greg Healy, vice president of operations at ForSaleByOwner.com. "It's still very fragmented," he says. Healy recommends using several websites to get a more complete picture.

Second, you miss all the breaking, up-to-the-minute information on the housing market that can make you a smarter consumer. Blogs have become a popular resource for real estate agents and others to post information as it happens. "If consumers are interested in a local area, they should find local real estate bloggers who know this breaking information," says Kitano.
[See Six Secrets of Internet Home Buying]

3. Ignoring the indies. One area that major real estate search engines often overlook is the market for homes sold by the owners. "A lot of people forget to think how many homes are sold without agents. The current estimate is that 20 to 25 percent of homes are" listed by owner, says Healy.

Your dream house could easily fall into that 20 to 25 percent. So how do you bring homes sold independently into your online searches? "Craigslist is one of the best resources," says Dorkin.

4. Falling for fake listings. Remember, the Internet is a giant playground for scammers, and unfortunately they have penetrated the world of online home buying as well. Combine big dollars for online advertising and a lot of people searching for homes, and the result is a proliferation of fake home listings. There are a number of red flags to look out for. "If there are no photos [of the house], that's a big warning sign. That's just people trying to collect page views," says Healy. But even if there are photos, it's not guaranteed to be legitimate. Legitimate websites will put watermarks on their home photos to brand those photos as their own. If a home's photos have several different watermarks on it, then you can guess you are looking at the work of a scammer.
[See How To Avoid Foreclosure Rescue Scams]

5. Putting too much stock in home valuation websites. Sites like Zillow.com and Cyberhomes.com have changed the way people buy homes by putting pricing information at buyers' fingertips. But they're not infallible. Don't assume to know what the value of a home should be based on what these sites tell you about the neighborhood. There are many elements of a home's value that home valuation sites cannot incorporate. "Take their values with a grain of salt," says Dorkin. He recommends using this information merely as a range. Do other research to narrow that range. For example, walkscore.com can tell you the number of amenities within walking distance of a location—those are some of the tangibles that can raise or lower the value of a home.

Short Sale Scammers Abound

2009-06-16T12:13:00.000-04:00

More homeowners than ever are being approached by those proffering fraudulent foreclosure rescue services, according to the National Short Sale Center.

The types of fraud circulating include sale-leasebacks, quitclaims, stripping homeowner equity, and misleading homeowners into signing over deeds. And with the administration's mortgage relief initiatives and its recent push for modifications, dozens of bogus companies with official-sounding names and fake Web sites mimicking the fonts and layouts of government sites claim to help struggling homeowners modify their mortgages.

Industry Pushes to Extend Home-Buyer Tax Credit

2009-06-10T16:59:00.002-04:00

By NICK TIMIRAOS
THE WALL STREET JOURNAL

Worried that rising mortgage rates could damp the prospects for a housing recovery, a business group is making a new push for Congress to boost and extend a home-buyer tax credit.

In February, Congress approved a 10% tax credit for first-time home purchases, up to a maximum of $8,000. The credit, which expires Dec. 1, phases out for buyers with incomes above $170,000 for married couples and $95,000 for individuals.

The National Association of Home Builders and other industry groups have long argued that the credit isn't large enough to help reinvigorate the housing sector. Now the groups are being joined in their efforts by the Business Roundtable, an association of chief executives.

The Business Roundtable is calling on Congress to increase the credit to $15,000 and extend it to all home buyers. "What is being billed as a recovery is not showing up in the cash register yet," says Richard A. Smith, chief executive of Realogy Corp. and a member of the Business Roundtable. Realogy is the parent of real-estate brokers Century 21 and Coldwell Banker.
The Business Roundtable is also urging policy makers to sustain efforts to keep mortgages at or below 5% for one year. Mortgage rates climbed to 5.74% on Tuesday a six-month high and up from 5.03% two weeks ago, according to HSH Associates, a financial publisher. Rates have fallen since the Federal Reserve stepped up debt purchases earlier this year in an effort to drive down rates.

A buyer typically needs income of $92,000, assuming a 10% down payment, to qualify for a $400,000 30-year fixed-rate mortgage. With rates at 4.5%, the borrower only needs income of around $84,000, according to an estimate by real-estate firm Long & Foster Cos.

The real-estate industry made a similar push for a $22,000 tax credit for all buyers and interest-rate subsidies earlier this year as Congress considered a range of measures to stimulate the economy. Congress instead opted to increase to $8,000 an existing tax credit for first-time buyers.

Business leaders say that while the first-time-buyer credit has succeeded in jump-starting the bottom end of the housing market, more needs to be done to lure "trade-up" buyers back to the market. Realtors and builders argue that boosting sales among existing owners as opposed to first-time buyers will spur more sales because each transaction involves two home sales. "That 'move-up' buyer has got to have somewhere to go," says Mr. Smith, who warns that without more incentives for existing homeowners, the housing market's "stalemate will be nasty and protracted."

The business group's campaign also pushes for Congress to make permanent recently expanded limits for loans eligible for government backing or purchase.

Congress in February boosted those limits to as high as $729,750 in the nation's most expensive housing markets, from $417,000, and the February stimulus bill renewed the higher limits through the end of the year. Those limits are set to expire at the end of the year and are tied to median home prices, which have fallen.

First Timing Homebuyers Jumping into the Market

2009-06-03T15:06:00.002-04:00

Pendinding Home Sales Up For Three Months In A Row

2009-06-02T11:05:00.003-04:00

WASHINGTON, June 02, 2009

Record low mortgage interest rates boosted pending home sales for the third consecutive month, with some benefit now from the first-time buyer tax credit, according to the National Association of Realtors®.

The Pending Home Sales Index,1 a forward-looking indicator based on contracts signed in April, rose 6.7 percent to 90.3 from a reading of 84.6 in March, and is 3.2 percent above April 2008 when it was 87.5.

Lawrence Yun, NAR chief economist, said buyers are responding to very favorable market conditions. “Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market,” he said. “Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers.”
The Pending Home Sales Index in the Northeast shot up 32.6 percent to 78.9 in April and is 0.8 percent above a year ago. In the Midwest the index rose 9.8 percent to 90.4 and is 11.1 percent above April 2008. The index in the South slipped 0.2 percent to 93.0 in April but is 3.5 percent higher than a year ago. In the West the index rose 1.8 percent to 94.8 but is 2.9 percent below April 2008.

NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth, said there are numerous buyer assistance programs around the country. “Some states are offering bridge loans that allow first-time buyers to use the tax credit for downpayment and closing costs, but there are many other local government and nonprofit programs available to buyers, depending on location,” he said.

“Just last week, HUD announced that qualifying buyers can use the tax credit for closing costs on FHA loans, to buy down the interest rate or make a larger downpayment. Buyers who are wondering about their options should contact a Realtor®, who can advise consumers on the housing assistance programs and resources available in a given area.”

NAR’s Housing Affordability Index2 is in record territory. The affordability index rose to 174.8 in April from an upwardly revised 171.9 in March, and was the second highest monthly reading on record after peaking at 176.9 in January of this year. The HAI is a broad measure of housing affordability using consistent values and assumptions over time, which examines the relationship between home prices, mortgage interest rates and family income; tracking began in 1970.
A median-income family, earning $60,900, could afford a home costing $296,800 in April with a 20 percent downpayment, assuming 25 percent of gross income is devoted to mortgage principal and interest. Affordability conditions for first-time buyers with the same income and small downpayments are roughly 80 percent of that amount. The affordable price was well above the median existing single-family home price in April, which was $169,800.

Yun cautions that the reporting sample for pending home sales is smaller than that of existing-home sales, so it is subject to greater variability. “In addition, the relationship between contracts on pending home sales and closings on existing-home sales is taking longer than in the past for several reasons,” he said. “Mortgage processing time has increased, it is taking many months to close on those homes requiring short sales with lender approval, and some sales are falling through at the last moment.”

The total number of existing-home sales is expected to improve but with dramatic local market variation in the timing of recovery. “The market has already bottomed in some areas, but this is an unusual housing cycle with some areas improving rapidly while others languish or decline,” Yun said.

# # #

1The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.

2The Housing Affordability Index is a relative index where a value of 100 means that a family with the median income has exactly enough income to qualify for a mortgage on a median-priced existing single-family home, taking into account the relationship between median home price, average effective interest rate for loans closed on existing homes, and median family income. The higher the index, the better housing affordability is for buyers.

The calculation assumes a downpayment of 20 percent and a qualifying ratio of 25 percent of gross income for mortgage principle and interest payments. The index is a general gauge with conditions varying widely around the country. Affordability conditions are lower for first-time buyers with smaller downpayments and less income.

Monthly publication of the index began in 1981 with annual data calculated back to 1970.
Existing-home sales for May will be released June 23; the next Pending Home Sales Index will be on July 1.

Things Not to Do Before Purchasing a Home

2009-05-28T09:58:00.002-04:00

No Major Purchase of Any Kind
Do not become involved or create debt of any kind. This includes furniture, appliances, electronic equipment, jewelry, vacations, expensive weddings, and most importantly, automobiles…

Don’t Move Money Around
When a lender reviews your loan package for approval, one of the things they are concerned about is the source of funds for your down payment and closing costs. Most likely, you will be asked to provide statements for the last two or three months on any of your liquid assets. This includes checking accounts, savings accounts, money market funds, certificates of deposit, stock statements, mutual funds, and even your company 401K and retirement accounts. If you have been moving money between accounts during that time, there may be large deposits and withdrawals in some of them.

The mortgage underwriter (the person who actually approves your loan) will probably require a complete paper trail of all the withdrawals and deposits. You may be required to produce cancelled checks, deposit receipts, and other seemingly inconsequential data, which could get quite tedious.

Perhaps you become exasperated at your lender, but they are only doing their job correctly. To ensure quality control and eliminate potential fraud, it is a requirement on most loans to completely document the source of all funds. Moving your money around, even if you are consolidating your funds to make it "easier," could make it more difficult for the lender to properly document. So leave your money where it is until you talk to a loan officer.

Source: Todd Little, President at Americas Housing Educators, LLC

Year-To-Date Market Statistics

2009-05-26T22:32:00.005-04:00

Existing Single-Family Residential Home Sales

Elkhart County existing home sales were down 27.7% YTD from 2008,
and the median sales price was also down 20.7%.

In St. Joseph County, existing home sales were down 24.5% YTD from 2008, and the median sales price fell by 16.4%.

While sales remain weak, pricing seems to be leveling off the past couple of months. Which seems to be prompting buyer activity.

If you've been waiting for the bottom, we may be there! Now is a great time to buy, with a large inventory of homes to choose from, historically low interest rates, and exceptionally affordable prices.

Bernanke Cites Improving Housing Data

2009-05-08T11:02:00.001-04:00

Federal Reserve Chairman Ben Bernanke said recently that the economy appeared to be stabilizing, but warned that a real recovery is still months away. "We continue to expect economic activity to bottom out, then to turn up later this year," Bernanke told the congressional Joint Economic Committee, according to a prepared statement. Bernanke cited improved sales of existing homes as evidence that things are improving. He said sales have been "fairly stable" since late last year, in part because moderating prices have made homes more affordable.

Bernanke also said credit markets have stabilized in recent weeks, allowing homeowners to refinance mortgages, which is a good sign for future stabilization.

Source: The New York Times, Edmund L. Andrews

Protecting Your Privacy While Your Home is on the Market

2009-05-01T11:20:00.000-04:00

If your home is on the market, you have probably already taken great care in cleaning the interior and making necessary renovations that could help attract prospective buyers. However, before your home is shown to any buyers or agents, you should consider performing a few tasks to help protect your privacy. Not only should you try to remove personal items from tabletops or counters, but it is also wise to remember that potential buyers will open closets, cabinets and built-in drawers as they assess the property. To protect your privacy and prevent prospective buyers from forming any biases against you, you may want to follow these four simple steps before showing your home.

1. Hide your mail
When dealing with your mail, you should either remove it from your home or place it where it cannot be found. If prospective homebuyers spot collection notices or excessive credit card bills in plain sight, they might immediately assume that you are in debt and need to sell your home quickly. Furthermore, as no one wants strangers to read any of their personal materials, you should try to conceal all of your mail – down to the last furniture catalog.

2. Take down photos and diplomas
While some home sellers feel that such personal documents could add an atmosphere of coziness to their property, you may want to consider clearing the walls. Following this simple step could help prevent any type of bias from prospective homebuyers. For instance, home sellers with recent diplomas might be perceived as deep in debt and willing to sell at any price. Likewise, wedding photos can reveal the homeowner's religion, which could influence certain buyers.

3. Clean the closets and drawers
If you have ever been to an open house or toured a home for sale, you can probably understand the desire to dig around. In most cases, prospective homebuyers simply open closets and cabinets to inspect the space or make judgments about the construction of the home. While most people who view your home will not try to snoop in your personal belongings, try to pack away anything that could tell an unwanted story about your life.

You may want to clear out all drawers and closets entirely before the home is shown to buyers. After your personal belongings have been removed from the home or carefully packed away, work with your agent to stage closets and large cabinets. By replacing your own belongings with examples of how the home can be utilized, you will take the focus off yourself and help prospective buyers visualize themselves in your home.

4. Turn down the answering machine
This final step is probably the most overlooked by home sellers. Just as you can not anticipate what arrives in the mail each day, you cannot predict when you might receive an unwanted phone call. If you are engaged in an open house or private viewing, you certainly don't want a prospective buyer to overhear a message from a collection agency or credit card company. Furthermore, as you are in the process of selling a home (and possibly buying another), you don't want buyers to know anything about your personal business. Hence, before any prospective buyers enter your home, you may want to mute your answering machine to prevent any uncomfortable exchanges.

In conclusion, when you are ready to show your home to prospective buyers, try to remove anything that might drive a buyer away or create an unwanted bias. Whether it's as simple as removing your personal mail or staging the closets of your home's bedrooms, a bit of work can not only protect your privacy but can potentially help sell your home.

The staff at Coldwell Banker Real Estate LLC writes select articles about important topics related to real estate. For more information about buying a home or selling your current property, visit coldwellbanker.com today.

Four Perks of New Homes

2009-04-28T11:20:00.002-04:00

It could be a great time to buy a brand now home because prices are down and builders are motivated to unload declining, but still significant, inventories.

Marty Gillespie, president of Heartland Homes, a custom home builder in western Pennsylvania, offers these reasons for buying new rather than existing properties.

● Buying new means new everything. New homeowners don’t have to replace carpeting, paint, or redo the kitchen.

● Mortgages on new homes are often lower. That gives new homebuyers bargaining power.

● Appreciation is greater. New homes tend to gain more value than existing homes during the first five to seven years.

● New homes are often more energy efficient. Gillespie says his company’s research shows that new homes are 30 to 35 percent more energy efficient than a home built 10 years ago.

Source: Pittsburgh Post-Gazette (04/26/2009)

First-Time Home Buyers Who Want New Construction, Tax Credit Must Act Now

2009-04-27T10:20:00.002-04:00

(NewsSource: National Association of Home Builders)

(WASHINGTON, DC) -- The National Association of Home Builders (NAHB) is urging first-time home buyers who want to build a new home and also take advantage of the $8,000 first-time home buyer tax credit to act immediately.

"We have received many inquiries from potential home buyers asking if a sales contract on a new home by the November 30 deadline will be sufficient to receive the first-time home buyer tax credit," said Joe Robson, chairman of the NAHB and a home builder from Tulsa, Oklahoma. "They have been surprised to find out that they must move into the new home before they are qualified."

Home buyers may qualify for the tax credit if they purchase the home on or after Jan. 1 but before Dec. 1, 2009. In the case of new construction, the date the home buyer takes occupancy of the house is considered the purchase date, not when the sales contract is signed.

Mike Dishberger of Sandcastle Homes, Inc., in Houston, Texas, said that building a home from scratch can take anywhere from four to six months depending on the floor plan and location.

"Builders are ready and willing to work with potential home buyers to get them into the new home of their dreams, but time is running out to make those dreams a reality while also benefiting from the $8,000 tax credit."

"Buyers also need to keep in mind that it takes time on the front end to select a community, a builder, a floor plan and the options they want in the home before the first shovel hits the dirt," said Kevin Enyeart of Gale Home Builders in Kansas City, Mo. "Often it can take up to a month to complete this process in order to ensure the customer is satisfied with the home they will be living in many years down the road."

It is important that home buyers understand the time requirements and get the process started with a home builder today if they want their new home completed in time to claim the tax credit.

In addition to the November 30 deadline, home buyers must also have not owned a home in the three years prior to the purchase and have a modified adjusted gross income (MAGI) less than $95,000 for single tax payers or $170,000 for married filers in order to qualify for the tax credit.

More information on the first-time home buyer tax credit can be found at www.FederalHousingTaxCredit.com. To find a local home builder, consumers can contact their local home builders' association at www.nahb.org/findanhba . Resources are also available to help educate consumers on the home building process at www.nahb.org/forconsumers.

"DI" Sale a Success!

2009-04-20T17:15:00.005-04:00

The "DI" bag sale way a big success! On Friday, 53 bags were sold and $318 was donated to the Food Bank of Northern Indiana. Thanks to everyone who bought bags, helped with set-up or assisted in the promotion of the event!

Together we can make great things happen!

The “DI Bag” Story

2009-04-14T12:58:00.000-04:00

Decorator Industries of Goshen, has been in business since 1953 designing, manufacturing, and selling top quality products to the RV and Manufactured Housing industries. Products include draperies and curtains, valance boards, shades, blinds, bedspreads, comforters, pillows, cushions and trailer tents.

The DI Bag evolved from local workers trying to find ways to keep the doors open and as many workers employed as possible. The purchase of a DI Bag will help workers keep their jobs in one of the hardest hit areas of our economy.

Gingerbread Cottage, a locally owned store, and Coldwell Banker Anchor Real Estate have teamed up to help put people in Elkhart County back to work and to assist our neighbors who are in need.

On Friday, April 17th, from 11- 2 pm, personnel from the Gingerbread Cottage will be at the Coldwell Banker Anchor Real Estate offices at 663 CR 17 in Elkhart, along with representatives from Decorator Industries. There will be a large selection of bags available for purchase on Friday.

With the purchase of every bag, $5.00 will be donated to the Food Bank of Northern Indiana, and an additional $1 will go to the food banks Food 4 Kids program.

This event is open to everyone, so please help us spread the word and bring friends, family and neighbors.

Help For Hoosier Homebuyers

2009-04-09T17:00:00.002-04:00

Posted For immediate release: Apr 08, 2009

Lt. Governor Skillman Announces Help for Hoosier Homebuyers

New program provides incentives to purchase foreclosed homes

INDIANAPOLIS (April 8, 2009) - Lt. Governor Becky Skillman and the Indiana Housing and Community Development Authority (IHCDA) announced today up to $25,000 in zero-interest, non-amortizing loans for Hoosiers to purchase foreclosed homes.

Hoosiers who buy foreclosed homes to use as their primary residence can qualify for a $15,000 loan from IHCDA's Market Stabilization Fund. The Federal Home Loan Bank of Indianapolis has committed to supply matching loans of up to $10,000.

"When Hoosiers open the door to their new home, they open several windows of opportunity," Lt. Governor Skillman said. "This is a unique use of federal dollars that will encourage homeownership while revitalizing communities."

The money comes from HUD's Neighborhood Stabilization Program (NSP), which allocated $84 million to IHCDA. The state will use $33 million of that allocation for the Market Stabilization Fund. Assistance from this fund will be made available to income-qualified individuals and families who choose to purchase foreclosed homes in areas of the state in greatest need of assistance.

Indiana is the only state using NSP money in a statewide program to help people buy foreclosed homes.

"Comprehensive community revitalization is part of the prosperity-building process, and Indiana is combining resources to create a virtual toolbox of funding sources to assist in this revitalization," said Sherry Seiwert, Executive Director of IHCDA. "It is our hope that the Market Stabilization Program will have a true impact on stimulating the housing market here in our state, which could lead to stimulation of Indiana's overall economy."

The state has identified areas of greatest need, with the assistance of the Indiana University Center for Urban Policy and the Environment, using a combination of HUD-provided data and proprietary data.

How the Market Stabilization Program Works:

· IHCDA will offer up to $15,000 (not to exceed 20% of purchase price) to assist homebuyers with the acquisition and/or rehabilitation of a foreclosed residential property located within an area of greatest need.

· These funds may be used in conjunction with the IHCDA First Home product, FHA, VA, USDA, or prime fixed rate product. No adjustable rate or subprime mortgage products will be allowed for the purchase of these homes.

· Home buyers may use these funds for closing costs and down payment assistance related to the purchase of a foreclosed home or residential property that will be used as the primary residence.

· To be eligible for rehab funds a residential structure must not meet local building code and therefore is unable to be purchased in its present condition.

· Buyers may use both acquisition and rehabilitation assistance in the purchase of a home, but the combined assistance may not exceed $15,000.

These funds will be in the form of a zero-interest, non-amortizing, second mortgage loan. These funds do not have to be repaid as long as home buyers use the home as a principal residence for at least ten years. If the homebuyer sells the home within the first five years, the subsidy is repayable to IHCDA on a shared net proceeds basis. If the homebuyer refinances within the first five years, the entire subsidy is repayable to IHCDA. After year 5 and through year 10, the homebuyer will retain 20% in equity of the award amount per year.

· This funding will be available to home buyers that are at or below 120% of area median income and who intend to occupy the home themselves.

Home buyers will be required to participate in 8 hours of pre-purchase education provided by an IHCDA certified counselor.

· IHCDA will utilize participating single-family lenders, the Indiana Association of REALTORS, HomeEC certified housing counseling agencies, and other partners to provide marketing and outreach to potential eligible homebuyers for this funding.

· IHCDA will be coordinating with lenders/servicers, Fannie Mae, Freddie Mac and HUD to list foreclosed properties on a centralized website, http://www.indianahousingnow.org/. Lenders will be required to sell the properties listed on the site at a discount that meets or exceeds NSP guidelines. Site will be live by the end of April.

Mortgage rates drop to lowest since the '50s

2009-03-27T13:45:00.000-04:00

The benchmark 30-year fixed-rate mortgage fell 10 basis points, to 5.19 percent, according to the Bankrate.com national survey of large lenders. One year ago, the mortgage index was 5.91 percent; four weeks ago, it was 5.45 percent.

U.S. mortgage applications jumped last week as record low interest rates spurred a surge in demand for home refinancing loans, according to The Mortgage Bankers Association. Seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, increased 32.2 percent to 1,159.4 for the week ended March 20. Refinancing accounted for 78.5 percent of all applications.

Source: Bankrate.com, Mortgage Bankers Association

Homebuying 'reality check'

2009-03-18T20:53:00.002-04:00

Separate your 'wants' from 'needs' to find right house
By Ilyce Glink, Wednesday, March 18, 2009.
Inman News

What makes a house worth buying? It goes back to the basics -- your wants and needs.

With so many homes for sale, it's easy to sift through hundreds of homes for sale in a particular area and decide that all of them -- or none of them -- make sense for you.

Understanding more about what you want in a home and what you can't live without will help you make a smarter decision about what house you buy. Here's how to start identifying the difference between what you want in a home and what you can't live without.

You (and your spouse or partner) should each write down everything you want in a home from your school district and your neighborhood of choice, to the location within the neighborhood, the size of the home, its amenities, and even whether the home is a condo, co-op, townhouse or single-family residence. Do you want attached, indoor parking? Write it down. Do you want a home that's a fixer-upper or one that has already been renovated? Write that down, too.

Your next task is to prioritize everything on the list. And, this is where each buyer having his or her own list comes in handy. Your list will be different from your spouse's or partner's list. And even if you have the same items on your wish list, I'm willing to bet that your priorities will be different.

For example, when my husband and I were looking for our first home, we didn't have a car and couldn't conceive of when we would buy one. We were young newlyweds, living on the near north side of Chicago. Chicago has one of the best public transportation networks, and we both worked less than four miles from where we lived. It was easy to take a bus to and from work and often we walked home.

Having a garage didn't even crack the top 10 on our wish list. But having a wood-burning fireplace was in the top slot on my list. (Boy, have I learned a lot in the past 20-plus years!)

When we bought the house we live in now, it was five years after our first home purchase, and by that time we did have a car. So, having a garage was one of our top priorities. We had also moved from the city to the suburbs, and my husband was taking the train to work. Since we had only one car, finding a house within walking distance to the train station was the top priority on his new wish list because he didn't want to have to buy a second car. Having a great school district and enough space so I could work from home were the top two choices on my wish list.

Once you've prioritized your wish list, it's time to think about what you actually need to live. Your "needs" are items that you can't live without. For example, you may want a 5-bedrom, 4-bath house, but what you really need is a 3-bedroom, 3-bath or even 1.5-bath home.

I call this "needs" list your "reality check." Once you and your spouse have each completed your reality check, it's time to prioritize the items on this list as well. Organize the list starting with the most important item on top.

You and your spouse should then combine your individual wish lists and reality checks into one wish list and one reality check. You'll do this by discussing what is most important to each of you, agreeing on what you need, and compromising on the rest. (Hint: If you can't complete this process without having a major falling out, you're probably not ready for the responsibilities of homeownership.)

There are a couple of important lessons to be learned by completing the wish list and reality check, of which learning how to compromise might be the most important.

But nearly of equal value is figuring out that you probably can't afford to buy a home that includes everything on your wish list. (And if you could afford it, you may no longer be able to after the credit crisis of 2008 and 2009, and the new stricter lending requirements.)

In the last several years buyers were able to buy homes that might have included everything on their wish list and more; however, they were able to buy only by using exotic mortgages (like pay-option ARMs) that harmed them down the line. When you start shopping around for your financing be sure you're looking at homes you can afford with a standard 30-year mortgage. If the homes you're looking at will pinch your wallet so much that you'll have to dramatically alter your lifestyle, it's probably best to take another look at your wish list and reality check and find something more affordable.

With luck, you can hopefully afford to buy everything you need, and a few things you want while staying within a budget you can live with for the long term.

Remember, you can change almost everything about a house except its location (moving the house notwithstanding). Provided you have the available square footage and financial resources, garages and additions can be built and built out; bathrooms and kitchens can be renovated; basements and attics can be tricked out; closets can be organized.

Discussing what you want and need is an excellent way to begin the process of identifying a suitable home. It turns you from an armchair home buyer into one who is ready, willing, and able to engage in the process. Knowing the difference between what you want and need will save you from looking at inappropriate properties that you can't afford, and will endear you to your agent – who can help you find a great deal in what will likely be seen years from now as the ultimate buyer's market.

FOX News Network’s Mike Huckabee Show Comes to Elkhart County on Saturday, March 21st!

2009-03-17T16:53:00.001-04:00

Join us as we tell the world the positive story about Elkhart County, Indiana!

Former Arkansas Governor and Presidential Candidate Mike Huckabee will tell the rest of our American story to four million viewers of the Fox News Network.

Limited space is available. Seating is limited.

Please Come Out and Join Us!

Who: You and the nationally acclaimed FOX News Network Mike Huckabee Show

What: Be in the audience of the town meeting taping of The Mike Huckabee Show

Where: The RV/MH Hall of Fame at 21565 Executive Parkway, Elkhart, Indiana

When: 1:30 to 4:00 p.m. This Saturday, March 21, 2009

How: Brought to you by The EDC of Elkhart County, The Greater Elkhart Chamber of Commerce and EverGreen Recreational Vehicles, LLC Call the Chamber, 293-1531, and RSVP Today!

Why: Because the Fox News Network and The Mike Huckabee Show want to tell our story to America.

You must RSVP by end of the business day on Thursday, March 19, 2009

The show will air the night of March 21st at 8:00 pm and 11:00 pm and again on Sunday March 22nd at 8:00 pm and 11:00 pm.

What's In the Foreclosure Prevention Plan

2009-02-26T10:01:00.002-05:00

The Obama administration yesterday released its long-awaited plan to stem foreclosures. It's organized into three categories:

1.) Help for home owners making their payments but at risk of default and foreclosure.

Home owners with a Fannie Mae or Freddie Mac loan would be eligible to refinance as long as their mortgage doesn't exceed 105 percent of the home's current market value. Currently owners need to have at least 20 percent equity. Potential impact: 4-5 million households.

2.) Help for home owners already in default and in need of loan modification.

For lenders that voluntarily agree to lower a borrower's payment so that it makes up no more than 38 percent of the borrower's income, the government would share the cost of lowering the mortgage burden to 31 percent of income. Incentives to lenders to participate include a $1,000 payment.

Borrowers can receive up to $1,000 as an incentive to stay current on their new mortgage. Still in the works is a proposed provision that would allow bankruptcy judges to require loan modification (known as a cramdown) as part of a household's restructuring. That provision requires legislation by Congress. Estimated potential impact: 3-4 million households.

3.) Doubled resources to Fannie Mae and Freddie Mac.

To encourage investors to buy the secondary market companies' mortgage-backed securities, the government explicitly backstops them to up to $400 billion, twice the current amount.

The plan does not provide help to investors or to home owners who are in trouble with a second home, nor does it apply to homeowners whose mortgage is part of a private-label mortgage security that is not backed by Fannie Mae or Freddie Mac.

"The administration's proposed plan, combined with provisions like the $8,000 first-time home buyer tax credit in the just-enacted American Recovery and Reinvestment Act, will help minimize foreclosures, shrink housing inventory, stabilize home values, and move the country closer to an economic recovery," says NAR President Charles McMillan.

Source: http://www.realtor.org

Mortgage apps up 45 percent

2009-02-20T12:05:00.000-05:00

Mortgage loan application volume increased 45.7 percent from one week earlier and is up 5.2 percent compared with the same week in 2008, according to the Mortgage Bankers Association. According to MBA's study, covering approximately 50 percent of all U.S. retail residential mortgage applications, the average contract interest rate for 30-year fixed-rate mortgages (FRMs) decreased to 4.99 percent from 5.19 percent, for 80 percent loan-to-value (LTV) ratio loans.

Stimulus Advances with Tax Credit Changes

2009-02-17T13:44:00.003-05:00

The $790 billion stimulus package hammered out by House and Senate conferees increases the homebuyer tax credit to $8,000, from $7,500, and drops the repayment feature for buyers who hold on to their property for at least three years.

The legislation also extends the effective date of the credit to December 1 from June 30, and extends eligibility to borrowers who buy their home with the help of state or local financial assistance that comes from the proceeds of tax-exempt mortgage revenue bonds. The credit remains open only to first-time buyers (those who haven't owned in at least three years) and some income eligibility restrictions apply, but those are unchanged from the existing program.

Other provisions reportedly in the bill that could help housing markets and communities include: * FHA and conforming loan limits. Specifics have not been released but reports indicate that the 2008 limits have been reinstated for 2009 except in those communities where the 2009 limits are higher. Additional increases in individual communities may also be available at the discretion of the secretary of the U.S. Department of Housing and Urban Development. * Foreclosure mitigation and neighborhood stabilization. Funding for states and localities to be used for neighborhood stabilization activities for the redevelopment of abandoned and foreclosed homes are authorized. Some news reports put the funding level at $2 billion. * Rental assistance. Up to $1.5 billion to provide short-term rental assistance and other aid for families during the economic crisis. * Low-income housing grants. Allow states to trade in a portion of their 2009 low-income housing tax credits for Treasury grants to finance the construction or acquisition and rehabilitation of low-income housing, including those with or without tax credit allocations * Tax-exempt housing bonds. Tax-exempt interest earned on specified state and local bonds issued during 2009 and 2010 will not be subject to the Alternative Minimum Tax (AMT). In addition, financial institutions will have greater capacity to purchase tax-exempt state and local bonds

Energy efficient housing. Grants for energy retrofits for federally assisted housing (Section 8), funding for energy efficiency and conservation block grants to states, and increases in the residential tax credit through 2010 for certain energy efficient upgrades.

Source: NAR, AP, Washington Post, New York Times, Bloomberg, and The Wall Street Journal

REAL Trends Comment: As we have said in earlier REAL Trends E-mail Updates, the Congress missed the boat with the limited additional assistance to the housing market included in the final bill. While virtually every national political leader has said that arresting the decline in the housing market is critical to economic recovery, the final bill poured the proverbial "spoon" of medicine on a raging infection (or so say political leaders and those at the Federal Reserve Board and the Treasury). The purchase of homes triggers thousands of additional dollars in spending on paint, carpeting, fixtures, furniture and appliances and would have initiated more economic activity than almost any other use of the funds. The fact that the Congress missed this so badly does not bode well for other actions taken by the Federal government who seem to be deaf to economic reality.

Source: REAL Trends: The trusted source for residential real estate information and analysis, trends and news.

Good News in Elkhart County!

2009-02-13T11:32:00.006-05:00

This is a Dynamic Market for Economic Development & Job Creation.

-Transportation Hub – Businesses can reach 1/3 of the US Population within just one day’s drive. A prime location for logistics and customers!

-Quick & Easy Access to Chicago, Indianapolis and many other large cities. For Fun and Business.

-Affordable Cost of Living! Elkhart is considerably lower than most of the Midwest and 37% less than Chicago.

-Overall Low Tax Environment! Plus, low utility rates. Great for existing businesses to expand and attractive to new companies.

-Abundant access to rivers and lakes, including Lake Michigan – Most communities lack these spectacular, natural amenities.

-Unique Entrepreneurial Business Climate – Voted our #1 characteristic.

-Generous & Caring Population – Voted our #2 characteristic.

-Intellectual Property & New Patent Leader! Elkhart County ranks #2 in Indiana (only behind Indianapolis/Marion County).

-Manufacturing Powerhouse – With Over 900 manufacturers – Elkhart’s population MAKES THINGS & is recognized nationally for Teamwork!

-Diverse Manufacturers – We make a VARIETY of things. RV’s to Band Instruments to Brass Nozzles to High-Tech Electronics to Homes & Trucks &…..

-Abundant Broadband Connections.

-Currently connecting University Intellect with Manufacturing Know-How.

-Notre Dame Nano-Technology Center (M.I.N.D.) will create an entirely new economy and tremendous economic development for the entire region!

-A Skilled, Motivated Workforce is readily available.

-Valuable Training Grants and university/vocational schools are ready.

-Top-Quality Manufacturing Facilities and abundant land & utilities are ready.

-Outstanding & Progressive Economic Development Corporation.
(http://www.elkhartcountybiz.com/)

-Great Chamber of Commerce. (www.elkhart.org)

And the List Goes On!
Many Companies & Site Selectors are becoming aware of all the Unique and Valuable Characteristics the Elkhart Community has to Offer.

$15,000 homebuyer credit cut in compromise

2009-02-13T11:05:00.004-05:00

Stimulus package may restore higher loan limits
By Matt Carter, Thursday, February 12, 2009.
Inman News

A proposal to provide a $15,000 tax credit to homebuyers was stripped from a $789 billion economic stimulus package that appears headed for a vote Friday, but a restoration of higher loan limits for Fannie Mae, Freddie Mac and FHA loan guarantee programs appears to have made the cut.

The $15,000 homebuyer tax credit -- included in an $838 billion economic stimulus bill passed by the Senate Tuesday was scaled back to $8,000 and limited to first-time homebuyers as part of a compromise between Democrats and Republicans.

The Congressional Budget Office estimated the larger tax credit would have cost $35.5 billion, a price tag that proved too tough to swallow in conference committee negotiations where differences between House and Senate versions of H.R. 1, The American Recovery and Reinvestment Act of 2009 were ironed out.

Instead, the compromise bill falls back on language approved by the House Jan. 28, which would have eliminated the repayment requirement on an existing $7,500 tax credit that is currently available only to first-time homebuyers through July 1.

According to a summary of the compromise bill released by lawmakers Thursday, the tax credit will still be available only to first-time homebuyers -- those who haven't owned a principal residence in the last three years. But they won't have to pay it back, as is currently the case, and the credit will be increased to $8,000 and be available through the end of November. The smaller tax break will cost taxpayers closer to $6.6 billion over 10 years, a savings of nearly $30 billion.

The compromise version of H.R. 1 would nevertheless increase the statutory limit on the public debt by $789 billion, raising it from $11.3 trillion to $12.1 trillion.

While not everything that the industry was hoping for, the National Association of Realtors nevertheless welcomed the more limited expansion of the tax credit.

Eliminating the repayment provision on the first-time homebuyer tax credit could drive more than 200,000 additional home sales, NAR President Charles McMillan said in a statement, which will help stabilize home values.

McMillan said the bill will also reinstate the $729,750 loan limit in high-cost areas for Fannie Mae, Freddie Mac and FHA loan guarantee programs that was in place throughout much of 2008, which he said would help reduce inventory and improve liquidity in the overall mortgage market.

In a separate development, investors were cheered Thursday by a report that the Obama administration is planning to launch a program to subsidize mortgage payments for troubled borrowers who can pass a standardized re-appraisal and affordability test. A Reuters report on the Obama administration's foreclosure prevention plan helped stocks recover much of their losses for the day before Thursday's closing bell.

The foreclosure prevention plan is presumably part of a comprehensive housing program that Treasury Secretary Timothy Geithner promised Tuesday the administration would roll out in coming weeks as part of a "TARP 2" financial stability plan for banks.

In announcing the plan, Geithner suggested an expansion of a $600 billion Federal Reserve program to drive down mortgage rates could also be in the works. That program has already driven down mortgage rates to around 5 percent through purchases of mortgage-backed securities and debt issued by Fannie Mae, Freddie Mac and Ginnie Mae.

Reuters reported that the Obama administration has shelved a plan for the government to stand behind low-cost mortgages with rates between 4 percent and 4.5 percent.

Senate OK's $15,000 bonus for homebuyers

2009-02-06T14:09:00.003-05:00

Housing could get a big boost from the latest addition to the mammoth stimulus bill working its way through Congress. Senate legislators unanimously approved a proposal that would allow a tax credit for homebuyers of 10 percent of the value of new or existing residences, up to a $15,000 limit. Current law provides for a $7,500 tax break but only for first-time homebuyers. "It is time to fix housing first," said Sen. Johnny Isakson, R-G. Isakson's office said the proposal would cost the government an estimated $19 billion. In all, the stimulus is now topping an estimated $920 billion.

REAL Trends Comment: Senator Isakson knows the housing industry better than any member of Congress and this action is exactly the kind of directed action that will have an immediate positive stimulus impact on the economy. The sooner this amendment gets passed the sooner the housing market will begin to show further signs of life.

Source: REAL Trends: The trusted source for residential real estate information and analysis, trends and news.

Finding Light in the Darkness

2009-01-30T09:34:00.001-05:00

15.3% unemployment in Elkhart county, one of the coldest Januarys on record, higher than normal snow accumulations. No wonder consumer confidence is down. Everywhere you turn there seems to be nothing but bad news. But, if you look deep in to this darkness, you can find piercing beams of light.

Several sources in the media are talking about the brave entrepreneurs who are venturing out and starting new business despite, and because of the current economic climate. Opportunities are out there you just need to be open to exploring them. My own brother, for example is in the process of starting a new business and should be looking to hire a few employees in the spring. I presently have a historical Bed & Breakfast for sale in Nappanee, Indiana, that would make an excellent opportunity for the right person.

Mortgage rates are at historic lows. Many people are taking this opportunity to refinance there current loans. Others are taking advantage of this combination of low interest rates and an abundant inventory of homes on the market to upgrade. These are financial decisions that will have benefits for years.

Whatever your situation, its time maneuver through the darkness of despair and search out the light of hope and opportunity which is present amongst us all.

WHAT DOES IT TAKE TO CLOSE THE DEAL IN A BUYER’S MARKET?

2009-01-22T15:20:00.002-05:00

What does it take to sell a home in a buyers’ market – a fresh coat of paint or a kitchen overhaul? Lowering the asking price or offering incentives? From cosmetic to strategic, smart sellers can take advantage of a few simple tips to get the most out of their properties. Here are six strategies to securing a “sold” sign:

Boost Curb Appeal. Though they may be obvious, cosmetic upgrades like painting and planting can truly go a long way to forming a fantastic first impression of a home. And be sure to clean, clean, clean!

Make Big Fixes Where Possible. If budget allows, invest in bigger improvements. Focus on “make or break” rooms like bathrooms and kitchens, because nothing says “uninviting” like an unattractive cooking space. If budget is limited think about smaller home improvements in these areas which could help close the deal.

Let the Internet Work. Free online tools like the Coldwell Banker Home Tracker (www.coldwellbanker.com) or Home Value Estimator can assist in gauging a property value including home improvements that have been made to the home. Using online resources allows a dialogue with the real estate broker who can assist with setting the right price for the home.

Transparency is Golden. Getting a preliminary professional home inspection and sharing it with potential buyers may help them understand a home’s condition and reinforce that everything is being done in a trustworthy and responsible manner. Make sure to be clear about recent improvements that have been made, and provide estimates on other optional upgrades – especially ones that can be included as part of the agreement.

Go the Extra Mile. Have the home pre-inspected and follow up by making necessary repairs. Allow potential buyers to see the report and receipts for the work. Offering a home warranty could also sway a buyer to make a purchase. Buying down mortgage rates or pay points on behalf of the buyer is another suggestion.

Be Realistic. Selling in a buyer’s market takes skill and strategy. In most markets, increased inventory has given buyers the opportunity to be selective in the home they want and the price they are willing to pay. Properly priced homes are selling and a sales associate will help determine what that price should be. Also understand that it normally takes a bit longer to sell a home in buyer’s market than in a seller’s market.