Murray

Just a reminder that the $8,000 First Time Home Buyer Tax Credit is still available.   Homes must be under contract by April 30th of this year and must be bought by the end of June 2010.  If you have any questions or would love to get started please contact me at taylornelson@homerealty.com  Also if you would like more info on the tax credit below is a great website with lots of questions and answers.

People always want to know what mortgage rates are at.  The Salt Lake Board of Realtors reports that the national average on a 30 year fixed rate is 5.05%   These are some of the lowest rates we have seen in a long time. 

Remember that mortgage rates can go up or daily on a daily basis.  If you are interested in buying a home the best thing to do would be to talk to a lender.  They can tell you what you are approved for and what rates are at that time.   If you don’t have a specific lender I can direct you to a lender that is knowledgeable with lots of experience.

The Salt Lake Board of Realtors has released its 2010 Housing Forecast.    There are many interesting facts and predictions.  We were told that home sales were up 3% in 2009 as opposed to 2008.  They also predict that homes sales could rise nearly 10% in 2010.

Many people ask about the price of homes and the Salt Lake Board of Realtors predicts that homes could continue to decrease 3 to 5% before starting to rebound.  Even though the Salt Lake Board of Realtors predicts that home values will decrease it is still a great time to buy.  Whether you are looking to buy a home in Murray, buy a home in West Jordan, or buy a home in Salt Lake County prices are relatively inexpensive and interest rates are still great.  Also remember there is an $8,000 tax credit to all first time home buyers who purchase or have a contract in place by the end of April 2010.

Many of you are wondering about the $8,000 tax credit.  This is just a reminder that if you are a first time home buyer and you purchase by April 30th, 2010 you will receive the $8,000 tax credit.   In cases where you have a signed contract by April 30th and you purchase by the end of June you are still eligible for this tax credit.  Whether you buy a home in Murray, buy a home in West Jordan, or buy a home in Salt Lake City, it is a perfect time to buy.  Don’t miss out!!!

The Salt Lake Board of Realtors reported that “sales of single-family homes in Salt Lake County were up 36.2% in the fourth quarter compared to the same quarter last year.”  This doesn’t necessarily mean that home prices are going up, but it does mean that people are out there buying homes.  Some cities in Salt Lake County saw homes sales jump dramatically while others were a bit more steady.  The Salt Lake Board of Realtors reported that “in Draper (84020) home sales soared by 51.7 percent. In Midvale (84047), sales were up 108.8 percent. In Herriman (84096), sales rose by 42.3 percent. In West Valley (84128), sales were up 38.5 percent. Areas of downtown Salt Lake City also saw big increases in sales. Sales in the Avenues (84103) were up 41.7 percent.”

It is actually very simple.  The note is the loan contract and the deed is what helps secure the note to the asset.   Things included in the note are: interest rate, terms of the loan, pre-payment penalty.  When someone buys a home the deed is recorded with the county giving them title and ownership to the home and creates that security interest, and makes the debt or note secured by a specific asset.

So what is the best thing to remodel in your home???  If you are planning on staying in your home then you should remodel based on individual need.  If you are remodeling with the intent to sell and trying to see which project will recoup the greatest value financially, below are a few good idea.

The National Association of Realtors did a study for 2009 in 80 markets across the country showing remodeling cost vs. value report.  Interestingly 8 of the top 10 projects done in terms of costs recouped exterior replacements that cost less that $14,000.  What this tells me is that curb appeal is very important.

The National Association of Realtors reports, “ On a national level, the project with the biggest improvement from 2008 was the attic bedroom addition, recouping 83.1 percent of remodeling costs compared to 73.8 percent in 2008. The only other interior project that landed in the top 10 was a minor kitchen remodel with 78.3 percent costs recouped.”

From my personal experience I would say remodeling kitchens and master bedrooms/bathrooms would be a great idea in terms of what people are looking for in a home.   If you are looking for cheaper ideas to make a home more presentable I would suggest painting, replacing flooring/carpet, and keeping things looking clean and tidy.  First impressions go a long way.

Below is a link to the NAR article which is very interested and insightful. http://www.realtor.org/press_room/news_releases/2009/12/exterior_proves

Many of you may wonder “What does a title company do”???  There are many things a title company does, but the main one is to be a facilitator during your home buying process.  Once an offer on a house is accepted you will pick a title company and make sure they have a copy of the contract.   They will also issue you title insurance to insure that when you purchase the property that you own the home free and clear.   The title company is also who will prepare all of the closing documents.  They will also walk you through those papers when you go in to the title company to sign the documents.   Below is a list of many of the responsibilies of a title company.

• Preparing the closing documents for all the parties
• Paying off the loan of the seller
• Walking you through the paperwork at settlement and answering questions
• Paying off the seller’s loan
• On occasion depositing the buyer’s earnest money check
• Coordinating paperwork between all parties involved
• Prorating annual property taxes and other items such as rents collected if necessary
• Coordinating the funding of the loan
• Dispursing checks and commissions
• Preparing and recording deeds and other necessary documents

Many people ask themselves “What is my home Worth?”  There are actually a few ways to determine this.  The two main ways to figure out the value of your home is to 1) order an appraisal or 2) have a real estate agent do a comparative market analysis (CMA).

Whether you have a home in Murray, a home in West Jordan, or a home anywhere in Utah you can always order an appraisal.  An appraisal will cost you several hundred of dollars, but is a very accurate way to find out what your home is worth.  When you are going to buy a home in Murray, buy a home in West Jordan, or buy a home anywhere in Utah you will required to have an appraisal done.  If you do pay cash for your home you are not required to order an appraisal. 

Another great way to find out the value of your home is to have a real estate agent do a comparative market analysis, otherwise known as a CMA.  The good part about this is that it is usually free!!!  Real estate agents are able to pull up homes that have sold in your neighborhood and use computer software to figure out what your home is worth.

If you are looking to get your home sold or just looking to see what your home is worth I would be more than happy to help you with that.  It is typically an easy process and yes it is absolutely free.  For a more accurate market analysis I would prefer to come take a look at your home, but I am also able to pull up the information I need on my computer from county records.

One part of the market that is really struggling it high end homes.   There are several reasons why this is the case.  One reason is because several years ago new construction and million dollar homes were being built at a rapid pace.   With a slow down in the market there are more million dollar homes than people are buying.  Another reason these home might not be selling is because it is harder to get a loan today than it was a few years ago.  This is even more true with Million Dollar Homes.  

The Salt Lake Board of Realtors reported that “In the first nine months of 2009 in Salt Lake County, there were 40 sales of homes at $1 million or greater. That is down 34 percent compared to 61 sales above the million dollar mark during the same January through September period a year ago (there were 71 home sales at $1 million or greater in Salt Lake County for all of 2008).   In 2007, the year home prices peaked in Salt Lake County, there were 134 homes that closed at $1 million or greater. In 2006, there were 133.”

The news that million dollar homes are harder to sell in this market it not good for current home owners, but at the same time this can be good for those that are in the market for a high end home!!