Time is running out on both Homebuyer Tax Credits, check out our Open Houses this weekend, choose the one you like and we’ll take care of the rest.

There are few times in our lives when homes and the interest rates to buy them are “on sale”.  And now, an IRS Tax Credit that has been expanded to include current homeowners, as well as first-time homebuyers makes this “Window of Opportunity”  even greater for people considering buying a home.   The previous IRS Tax Credit was limited to First-Time Homebuyers with income limits of $75,000, however those have now been expanded to income limits of up to $225,000.

Most economists predict that inflation is in our future,so the best time to capitalize on rising prices is to purchase before the prices rise.  An IRS Tax Credit makes this a moment in time that spells O-P-P-O-R-T-U-N-I-T-Y for investing in a home.   And it expires April 30, 2010.

If buying a home is in your future, please log on to www.garygreene.com and select an agent to assist you in finding the home of your dreams. irstaxcreditparameters

For the most comprehensive information about the new IRS Tax Credit expansion and extension, PLEASE CLICK HERE FOR DETAILS

If you’d like to visit our January 31st, Sunday Open Houses…

You can download a copy of our full page Houston Chronicle Ad –  CLICK HERE..

To preview Prudential Gary Greene, Realtor Open Houses City Wide – CLICK HERE

In Texas, when buying real estate, there are couple of predetermined contractual triggers for a buyer to Terminate the Residential Contract.  The most common of the two is this paragraph:

Paragraph 23. provides an unrestricted buyer right to terminate.  Unrestricted means for ANY reason.  The buyer is not required to justify or explain why they are terminating.

Generally, buyers use the Option Period to have the property inspected, address any concerns and to negotiate any repair items.  Request to make changes or amend the original terms of the contract can using the TREC Amendment To The Contract.  The seller is not obligated to agree to amend the terms of the contract.  If the seller does not agree to the buyers requested amendment(s), the buyer has the unrestricted right to terminate.  The key to a successful termination is using the proper form, TREC Notice of Buyer’s Termination. (The Option Period does not give the seller the right to terminate the contract.)

The following is a snippet from the Texas Association of REALTORS® eNewletter.

Termination of contracts

After completing inspections on one of my listings, the buyer requested the seller repair several items shown on the inspection report. The seller refused to do any of the repairs. During the option period, I received a Release of Earnest Money form (TAR 1904) signed by the buyer and his agent showing the earnest money being returned to the buyer. No Notice of Buyer’s Termination of Contract form (TAR 1902) has been received by the seller or the listing agent. Does the Release of Earnest Money form satisfy the buyer’s notice of termination requirements under Paragraph 23 of the contract? Paragraph 21 of the TREC contract requires that all notices from one party to another must be in writing. TREC has promulgated the Notice of Buyer’s Termination of Contract form for use when a licensee is helping a buyer provide the appropriate notice to the seller of the exercise of his termination option. While a buyer can use any form of written notice to terminate the contract, a buyer’s agent asked to help the buyer give the appropriate notice should use the promulgated form. When the appropriate box of the form has been checked, the TREC Notice of Buyer’s Termination of Contract form makes it clear that the buyer intends to and is giving the appropriate notice to the seller of his election to terminate the contract under the provisions of Paragraph 23. While one might believe that the buyer has made the decision to terminate the contract under his termination option by sending the seller or his agent a signed Release of Earnest Money form, showing the earnest money being released to the buyer and indicating a release of all rights or liabilities under the contract, a court might not agree that this writing satisfied the buyer’s notice requirements under Paragraphs 21 and 23 of the contract. The preferred practice would be for a buyer’s agent to have a buyer who intends to exercise his termination option under the provisions of Paragraph 23 use the TREC Notice of Buyer’s Termination of Contract form and send the signed form to the seller at the address specified in Paragraph 21 or by facsimile as specified in that paragraph. The Release of Earnest Money form could be signed and included with the notice form to facilitate the execution of that form by the seller.

Practice Note: This same procedure of sending both the TREC notice and the release of earnest money form to the seller can be used when the buyer is giving notice to the seller of the termination of the contract under any paragraph of the contract or any contract addendum.

If you have any other contract related questions, fire away.  We’re here to help.

Ken Brand- 832-797-1779 / Prudential Gary Greene, Realtors – The Woodlands TX

We knew it was coming, now it’s HERE. New FHA Guidelines Announced

This morning FHA’s commissioner David Stern’s announced the new changes for FHA home loans. Basically the changes aren’t dramatically significant, but they will have an impact. Here’s a few of the highlights. And here’s the CNBC Article.

1. FHA is raising the borrower’s upfront mortgage insurance premium from 1.75% to  2.25%.  Nobody likes to pay more, but this isn’t a deal breaker for most.
2. If a borrower’s FICO score is above 580, they qualify for a  3.5% down payment.  Below 580, borrowers will have to put at least 10%  down.
3. Maximum allowable seller concessions has been reduced from 6% to 3%, which sounds like a lot, but the reality of today’s marketplace we rarely see 6%.  Why? Because a 6% contribution usually brings the property appraisal in low, which is a no go for everyone. So this change is sort of a moot point.

Going forward.

So I think the bottom line is that we can expect changes in lending requirements for the next 18 months or so. The key to a successful purchase is patience, persistence, choosing a knowledgeable REALTOR and a loan officer that will enthusiastically solve problems find answers and process the file as quickly and efficiently as possible. Stay away from strangers

Getting we can do for you let me know. Ken Brand 832-797-1779.

The Woodlands Real Estate Report

Buyers or Sellers — Who Rules According To Months Supply Of Inventory?

According to real estate economists, 6 months supply of For Sale Inventory represents a balanced market.  A higher number means it’s leaning towards a buyers market, less of course would be a sellers market.

Here’s the thing, these numbers represent big averages across The Woodlands.  Real estate is hyper local in nature. Market conditions for your specific property, in your specific neighborhood may be different that the big average you see below.  To find out, contact a Realtor Icon and have them run an up to the minute, on-target market report for you.

December 7^th, 2009 – Months Supply Of For Sale Listing Inventory – The Woodlands TX

PRICE RANGE.  .  .  .  .  .  MONTHS SUPPLY OF LISTING INVENTORY

$000,000 – $200,000 . . . . . . . . . . . . . . . . . . . .   3.4

$200,001 – $300,000 . . . . . . . . . . . . . . . . . . . .   3.1

$300,001 – $400,000 . . . . . . . . . . . . . . . . . . . .   4.6

$400,001 – $500,000 . . . . . . . . . . . . . . . . . . . .   6.3

$500,001 – $600,000 . . . . . . . . . . . . . . . . . . . .   5.4

$600,001 – $700,000 . . . . . . . . . . . . . . . . . . . .   5.5

$700,001 – $800,000 . . . . . . . . . . . . . . . . . . . .   9.8

$800,001 – $900,000 . . . . . . . . . . . . . . . . . . . .   8.3

$900,001 – $1,000,000 . . . . . . . . . . . . . . . . . .   15.0

$1,000,001+ . . . . . . . . . . . . . . . . . . . . . . . . . .    21.0

What’s It Mean?

6 months supply represents a balanced market.  A higher number means it’s leaning towards a buyers market, less of course would be a sellers market. Things that affect salability and competitive positioning of the property include, marketing, merchandising/staging/presentation and pricing. Tweak and amplify those three factors and you’ll be one of the successful sellers attracting a qualified buyer.   Ignore one; two or three of the salability factors and the property will languish.  Before you pick a list price for your property, watch this video.

Keep in mind; while this snapshot provides a more refined picture, what is happening in your neighborhood could very well be different. (Months Supply Of For Sale Inventory is how long it would take for the current For Sale inventory to sell if no new inventory came on the market and the velocity of sales remained the same.)

Let us know if we can help you.

Our Real Estate Market Is Solid

Last week I published a fist-full of Market Data.  Bottom line.  We’re lucky to live in The Woodlands TX, home values are stable and sales are steady.

Thankfully, our office is stacked with Top Performing Realtors.  I know, you’re thinking, of course I’d say that.  But here’s the thing.

I have proof (see below).

Our agents, over the course of the entire year, have sold their listings for the Highest Average Sold Price to Original List Price.  Yep.  That’s a big deal if you’re a seller.

Check out this chart.

How Do WE Outperform Our Competitors and Net Our Sellers More Money?

We have the most muscular marketing.

We have smart, reliable, hardworking Icon Agents.

Top Performing REALTOR Icons – The Woodlands TX / Prudential Gary Greene, Realtors, Research Forest Office

New Listings Taken

Individual Top Performer, Dollar Volume – Linda Davis

Individual Top Performer, Units – Sandy Day

Team Top Performer, Listing Dollar Volume – Michele Flory & Co.

New Listings Taken – 2+

Michele Flory & Co. & Sandy Day – 3

Brad Carlson, Charles Koenig, Charlie Haynes, Brenda Malone, Linda Davis, Team Drummond, Connie Fields & Naomi Kern – 2

New Sales Written

Individual Top Performer, Dollar Volume – Julie Bell

Individual Top Performer, Units – Deborah Hall

Team Top Performer, Units – The Michele Flory & Co.

New Sales Written – 2+

Michele Flory & Co. – 7

Deborah Hall – 6

Brad Carlson – 5

Julie Bell, Team Davila & Your Woodlands Township Team – 3

Melanie Aubrey, Linda Davis, Team Drummond, Becky Riggins, Jenny Roltsch & Karen Upp – 2

New Sales Written – $400,000+

Julie Bell – 2,500,000+

Michele Flory & Co. – $1,70,000+

Deborah Hall – $1,500,000+

Brad Carlson & Your Woodlands Township Team – $900,000+

Courtney Foster – $800,000+

Sheri Jennings – $500,000

Linda Davis & Team Davila – $400,000

Closed Sales

Individual Top Performer, Units & Dollar Volume – Lisa Lane

Team Top Performer, Units – Michele Flory & Co.
~~~~~~~~~~~~~~~~~
Thanks for reading. Let me know if we can help: Ken Brand 832-797-1779

If you’re the curious type, I share stuff on Facebook. Join me.

NAR Frequently Asked Questions – Homebuyer Tax Credit Changes

Homebuyer Tax Credit Changes

National Association of REALTORS® Government Affairs Division
500 New Jersey Avenue, NW, Washington DC, 20001

Here are some of the most frequently asked questions on the changes to the Homebuyer Tax Credit

Question: Existing homeowner credit: Must the new house cost more than the old house?

Answer: No. Thus, for example, individuals who move from a high cost area to a lower cost area who meet all eligibility requirements will qualify for the $6500 credit.

Question: I am an existing homeowner. On October 25, 2009, I signed a contract to purchase a new home. I have lived in my current home for more than 5 consecutive years and
am within the new income limits. I will go to settlement on November 20. If President Obama has signed the bill by the time I go to settlement, will I qualify for the new $6500 tax credit?

Answer: Yes. The existing homeowner credit goes into effect for purchases after the date of enactment (when the bill is signed). There is no reference to the date of contract for the new credit. The provision looks solely to the date of purchase, which is generally the date of settlement.

Question: I am a first time homebuyer but was not within the prior income limits at the time I entered into my contract to purchase on October 30, 2009. I will be covered,however, by the new income limits. If the new rules have been signed into law by the time I go to settlement, will I be eligible for a credit?

Answer: Yes. The new income limitations go into effect as soon as the President has signed the bill.  The income limit and other eligibility rules will look to your status as of the date of purchase, which is the settlement date. So if the new rules have been signed when you go to settlement, you should be eligible for the credit (or a portion of the credit if you’re within the phaseout range).

Question: I am an eligible existing homeowner. I have a fair amount of equity in my home. I have found a home with a nonnegotiable price of $825,000. Will I be able to use any of the $6500 tax credit?

Answer: No. The $800,000 cap on the cost of the purchased home is firm at $800,000. Any amount above $800,000 makes the home ineligible for any portion of the credit. The $800,000 is an absolute ceiling.

Question: I owned my home for 10 years, but sold it two years ago year and have been renting since. If I purchase a home, will I be eligible for the $6500 tax credit if I meet all the other eligibility tests?

Answer: Yes. Because you lived in the home for more than 5 consecutive years of the previous 8, you will qualify for the $6500 credit. For example, Say John and his wife bought a home in 2000 and lived there until 2008 when he got a divorce. Whether John has been renting or bought in the interim, he WOULD INDEED be eligible for the credit because he owned a home and occupied it as his principal residence for 5 consecutive years out of the last 8 years. The keyword here is “consecutive.” As long as he lived in that house for 5 years straight what he did since 3 years doesn’t impact eligibility.

Question: I am an eligible first time home buyer. I entered into a contract to purchase on November 1, 2009. Do I have to go to closing before December 1? How does the extension date affect me?

Answer: You do not have to close before December 1. Once the legislation has been signed, it will be as oif the Nov 30 date had never existed. Therefore, so long as the contract settles before April 30

(or July 1, worst case), the purchaser will be eligible for the credit.

~~~~~~~~~~~~~~~~~~~

If one of our Icon Agents can help you, give us a call.  281-367-3531

Down Load the .PDF – NAR Frequently Asked Questions – Homebuyer Tax Credit Changes

Download the .PDF – NAR Issue Brief, Homebuyer Tax Credit

The Woodlands Real Estate Report

Months Supply Of “For Sale” Listing Inventory – November 3^rd, 2009

Buyers or Sellers — Who Rules According To Months Supply Of Inventory?

According to real estate economists, 6 months supply of For Sale Inventory represents a balanced market.  A higher number means it’s leaning towards a buyers market, less of course would be a sellers market.

Here’s the thing, these numbers represent big averages across The Woodlands.  Real estate is hyper local in nature. Market conditions for your specific property, in your specific neighborhood may be different that the big average you see below.  To find out, contact a Realtor Icon and have them run an up to the minute, on-target market report for you.

November 3^rd, 2009 – Months Supply Of For Sale Listing Inventory – The Woodlands TX

PRICE RANGE.  .  .  .  .  .  MONTHS SUPPLY OF LISTING INVENTORY

$000,000 – $200,000 . . . . . . . . . . . . . . . . . . . .   2.9

$200,001 – $300,000 . . . . . . . . . . . . . . . . . . . .   3.9

$300,001 – $400,000 . . . . . . . . . . . . . . . . . . . .   5.0

$400,001 – $500,000 . . . . . . . . . . . . . . . . . . . .   6.6

$500,001 – $600,000 . . . . . . . . . . . . . . . . . . . .   6.5

$600,001 – $700,000 . . . . . . . . . . . . . . . . . . . .   7.3

$700,001 – $800,000 . . . . . . . . . . . . . . . . . . . .   8.3

$800,001 – $900,000 . . . . . . . . . . . . . . . . . . . .   8.9

$900,001 – $1,000,000 . . . . . . . . . . . . . . . . . .   14.9

$1,000,001+ . . . . . . . . . . . . . . . . . . . . . . . . . .    26.1

What’s It Mean?

6 months supply represents a balanced market.  A higher number means it’s leaning towards a buyers market, less of course would be a sellers market. Things that affect salability and competitive positioning of the property include, marketing, merchandising/staging/presentation and pricing. Tweak and amplify those three factors and you’ll be one of the successful sellers attracting a qualified buyer.   Ignore one; two or three of the salability factors and the property will languish.  Before you pick a list price for your property, watch this video.

Keep in mind; while this snapshot provides a more refined picture, what is happening in your neighborhood could very well be different. (Months Supply Of For Sale Inventory is how long it would take for the current For Sale inventory to sell if no new inventory came on the market and the velocity of sales remained the same.)

Wanna keep with everything? Click the “FAN” button and Facebook will keep you in the loop.

An UnTrue Story – Effective January 15, 2010

Official “Buyer Search-MLS” Announced

In an ever evolving quest to provide it’s members with innovative tools and systems, the National Association announced the nation wide roll out of their mandatory Buyer Search-Multiple Listing Service.

The new system will provide buyers and buyers agents all the same protections, conveniences and broadcast benefits that property sellers and listing agents have enjoyed for decades.

The rules of engagement for Buyers Search-MLS will require members to adhere to the same strict Code of Conduct currently in force. Per policy and procedures with Active Listings, when working with buyers, all members must have an executed Exclusive Agency Buyers Representation Agreement and submit the Buyer Profile Data to their BS-MLS within 5 days.

Powered By Your Local Association and GWHIZ

The National Association, in concert with State and Local Associations, also announced sketchy details of their lifetime service contract with Google.

This shiny new service will be dubbed GWHIZ – Google Worldwide Home Information Zenith.

Google will provide a suite of borg like powerhouse services, including these innovative tools:

• Google Wave
• Google Docs
• Google Voice
• Google Maps/Earth
• Gmail
• Google Android
• Youtube
• Google Search
• Google Chat
• All Google tools will integrate seamlessly with Twitter, Facebook, Youtube and Wordpress.

Everyone Wins.

Like the Homes-For-Sale MLS allows prospective buyers to browse, dream, research, collaboratively locate and buy real estate, GWHIZ will allow sellers to browse and collaboratively contact registered buyers.

Service benefits include:

R E A D   T H E   R E S T   O F   T H E   S T O R Y    H E R E

We Texans in general are fortunate.  Generally speaking, our economy has held firmish.

Last September, Hurricane Ike threw a fisted beat down our way.  Next, Wall Street Greed, kicked us and you and everyone we know in the ribs and the teeth.  Around here it completely sucked until late January.

Real Estate sales numbers should roll in strong and hot, compared to last year, for the next 5 months.

Here’s what happened in September.

If you’d like a clean one, you can click to download The Sales and Listing Real Estate Report – September 09 / The Woodlands TX.

Any questions about anything, let me know:  Ken Brand 832-797-1779.

PS.  We’re pretty proud of this too:-)