This edition of This Month in Real Estate explains the changes and additions to the Home Buyer Tax Credit Extension which went into effect on November 7, 2009.  It is for both First Time Home Buyer’s and Existing Home Buyer’s that have been in their current home for the past 5 years.  Hopefully you will qualify!

As the real estate market cools, the profit potential of home ownership has cooled as well. Here’s a strategy called “follow the builder.”

It is relatively easy to make a profit when you sell your home if the market is rising sharply like it has been in most of the country for the last three years. It becomes more difficult when a hot market slows down. It’s very difficult to make a profit on the sale of your home when prices are falling.

Is there a way to be relatively sure you’ll make a profit when you sell your home? There is under all but the most negative market conditions. In fact, I’ve seen young, energetic couples use this maneuver multiple times when they don’t even need to move.

Follow That Builder

In many areas of the country, there are builders who build hundreds of houses each year within a fifty mile radius of each other. They build entire communities or are one of three to five builders who build entire communities around big employment centers. This present you with an important opportunity.

New Community

Builders will typically sell first phases of communities for significantly less than later phases. On one hand, they need to get the cash flow moving. On the other, it is harder to sell at high prices because the community typically consists of dirt lots and construction equipment. Put the hands together and you have a great profit opportunity.

The idea is to get in on the first phase of the build out. You will purchase the home at a discount, which gives you built in equity. As the community is built up, you sell the home for a profit at a higher price. While you’re doing this, you keep tabs on the builders projects and find another location where you can do the same thing.

You’ll end up living in each house for a year or more and picking up nice profits along the way. The only real downside is you have to move repeatedly.

Tax Consequences

I’ve seen this work well for a number of people who have done it more than once. However, you need to be aware that generating profit this way can have tax consequences. You need to discuss your plans (including projected timing and profit potential) with your tax professional so that you are prepared to deal with any tax consequences.

As of November 6, 2009 30% of available listings in Marin County are in escrow.

For the month of October 2009 only 221 homes sold in Marin County, for an average final selling price of $884,000.

Of the 221 homes that sold 53 were distress sales.

The range of final selling prices was from a low of $120,000 to a high of $9,200,000.

It took these homes an average of 104 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 a mere 14% of available listings in Tiburon are in escrow.

For the month of October 2009 only 8 homes sold in Tiburon, for an average final selling price of $2,408,125.

The average original asking price of these homes was $2,703,556.

The range of final selling prices was from a low of $490,000 to a high of $6,500,000.

Of the 8 homes that sold, 1 sold at the original asking price and 1 sold for more than the original asking price.

It took these homes an average of 88 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 only 21% of available listings in Sausalito are in escrow.

For the month of October 2009 only 7 homes (1 of which was a distress sale) sold in Sausalito, for an average final selling price of $1,190,750.

The average original asking price of these homes was $1,197,429.

The range of final selling prices was from a low of $346,500 to a high of $2,925,000.

Of the 7 homes that sold, 1 sold at the original asking price and 1 sold over the original asking price.

It took these homes an average of 70 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 34% of available listings in San Rafael are in escrow.

For the month of October 2009 57 homes (8 of which were distress sales) sold in San Rafael, for an average final selling price of $728,242.

The average original asking price of these homes was $768,712.

The range of final selling prices was from a low of $140,000 to a high of $3,100,000.

Of the 57 homes that sold 8 sold at their original asking price and 10 sold for more than their original asking price.

It took these homes an average of 97 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 30% of available listings in San Anselmo are in escrow.

For the month of October 2009 only 9 homes (1 of which was a distress sale) sold in San Anselmo, for an average final selling price of $762,872. 

The average original asking price of these homes was $873,333.

The range of final selling prices was from a low of $341,848 to a high of $1,025,000.

Of the 9 homes that sold 1 sold at the original asking price and 1 sold over the original asking price.

It took these homes an average of 139 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 30% of available listings in Ross are in escrow.

For the month of October 2009 only 2 homes sold in Ross, for an average final selling price of $2,794,200 — which was a bit higher than the average original asking price of $2,745,000.

The two final selling prices were $1,588,400 and $4,000,000.

The $4M home was originally listed at $3,795,000 and closed in 21 days.

It took these two homes an average of 33 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 31% of available listings in Kentfield are in escrow.

For the month of October 2009 only 4 homes sold in Kentfield, for an average final selling price of $3,258,500.

The average original asking price of these homes was $3,478,500.

The range of final selling prices was from a low of $784,000 to a high of $9,200,000.

Of the 4 homes that sold 2 sold for more than their original asking price and the other 2 sold for less.

It took these homes an average of 56 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 only 20% of available listings in Greenbrae are in escrow.

For the month of October 2009 only 7 homes sold in Greenbrae, for an average final selling price of $749,714.  (Only 1 of these homes was a distress sale.)

The average original asking price of these homes was $779,286.

The range of final selling prices was from a low of $330,000 to a high of $1,385,000.

Of the 7 homes that sold 3 sold over the original asking price and all others sold for less.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 an encouraging 38% of available listings in Fairfax are in escrow.

For the month of October 2009 only 7 homes sold in Fairfax, for an average final selling price of $708,857.  (Only 1 of these was a distress sale.)

The average original asking price of these homes was $760,429.

The range of final selling prices was from a low of $504,000 to a high of $1,100,000.

Of the 7 homes that sold, 1 sold at the original asking price, 2 sold over the original asking price and the other 4 sold for less.

It took these homes an average of 80 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 an encouraging 37% of available listings in Corte Madera are in escrow.

For the month of October 2009 only 8 homes sold in Corte Madera for an average final selling price of $702,413.  Two of these homes were distress sales.

The average original asking price of these homes was $756,613.

The range of final selling prices was from a low of $408,000 to a high of $1,250,000.

Of the 8 homes that sold, 1 sold at the original asking price and all others sold for less.

It took these homes an average of 114 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

As of November 6, 2009 an encouraging 42% of available listings in Petaluma are in escrow.

For the month of October 2009 6o homes sold in Petaluma for an average final selling price of $439,140.

The average original asking price of these homes was $481,687.

The range of final selling prices was from a low of $165,000 to a high of $935,000.

Of the 60 homes that sold, 2 sold at their original asking price and 18 sold for more than their original asking price.  26 of these 60 homes were distress sales.

It took these homes an average of 114 days to sell.

To see everything that is currently available for sale through our MLS, click here.

To learn more about this area, visit my website or feel free to contact me directly.

The Senate & House have overwhelmingly approved to extend the $8,000 First Time Home Buyers tax credit and also expanded it for up to $6,500 for existing homeowners who have owned their home for at least five years. Existing homeowners have a higher income threshold too opening this tax stimulus up to a whole new group of home buyers. The President is expected to sign the bill tomorrow. This extends the stimulus until April 30, 2010 for having a property under contract with a mandatory closing by June 30, 2010. There is a one year extension for military serving overseas at least 90 days during that period. This is excellent news for the Clarksville TN – Ft Campbell KY real estate market that has experienced great success from the current stimulus already!

I am now on Facebook. If you want to stay up to date with my current listings, activities and home selling and buying tips, go to my Facebook Page.

A picture really is worth a thousand words.  You can see in the first chart that the peak of the average sales price in Marin County was in September 2007–a bit of conundrum being that also in September 2007 is when the banks turned off the “free money faucet” so there were the fewest sold homes in that same month.

We all know what happened after that.

So while more than 80% of surveyed economists agree that the recession over, they also warn that recovery will be painful as those without jobs will likely remain without jobs for quite a while.

Residents of Marin County used to think that we were somewhat immune to the woes of the rest of the world, we are consistently seeing about 25 – 35% of all sales in Marin County are distress sales of some form.

What all these reports don’t show is that many of the purchases are cash purchases.  I even had a buyer who is currently living China, returning home to Marin in a few years, buy their home sight unseen because they felt that this is the bottom and now is the time to buy.

Of course they had me and relatives here with their feet on the ground to help them with photos and videos, but I thought that was pretty remarkable.

I, for one, am optimistic.

As of October 9, 2009 an encouraging 31% of available listings in Fairfax are in escrow.

For the month of September 2009 only 6 homes sold in Fairfax for an average final selling price of $745,167.

The average original asking price of these homes was $787,833.

The range of final selling prices was from a low of $525,000 to a high of $1,076,000.

Of the 6 homes that sold all sold for less than their original asking price.

It took these homes an average of 94 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

As of October 9, 2009 a mere 6% of available listings in Tiburon are in escrow.

For the month of September 2009 only 7 homes sold in Tiburon, for an average final selling price of $2,246,429.

The average original asking price of these homes was $3,069,857.

The range of final selling prices was from a low of $580,000 to a high of $5,880,000.

Of the 7 homes that sold (1 of which was a distress sale) 2 sold over their orignal asking prices and all other sold for less than their original asking price.

It took these homes an average of 256 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

As of October 9, 2009 an impressive 52% of available listings in Novato are in escrow.

For the month of September 2009 57 homes sold in Novato for an average final selling price of $514,896.

The average original asking price of these homes was $543,678.

The range of final selling prices was from a low of $103,500 to a high of $1,225,000.

Of the 57 homes that sold (28 of which were distress sales) 4 sold at the original asking price and 17 sold for over the original asking price.  All others sold for less.

It took these homes an average of 120 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

As of October 9, 2009 only 20% of available listings in Mill Valley are in escrow.

For the month of September 2009 24 homes sold in Mill Valley for an average final selling price of $1,082,292.

The average original asking price of these homes was $1,191,152.

The range of final selling prices was from a low of $340,000 to a high of $2,900,000.

Of the 24 homes that sold (3 of which were distress sales) 1 sold at the original asking price, 1 sold over, and all others sold for less.

It took these homes an average of 67 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

As of October 9, 2009 only 21% of available listings in Kentfield are in escrow.

For the month of September 2009 only 5 homes sold in Kentfield for an average final selling price of $2,552,000.

The average original asking price of these homes was $2,672,800.

The range of final selling prices was from a low of $1,190,000 to a high of $4,500,000 (which, by the way went on the market at $3,650,000 and sold to a cash buyer, closing in only 17 days).

Of the 5 homes that sold, all but the one listed above which sold well over asking, sold for less than their original asking price.

It took these homes an average of 123 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

As of October 9, 2009 only 25% of available listings in Greenbrae are in escrow.

For the month of September 2009 only 6 homes sold in Greenbrae for an average final selling price of $1,029,454.

The average original asking price of these homes was $1,120,083.

Of the 6 homes that sold all sold for less than their original asking price.

It took these homes an average of 72 days to sell.

To see everything that is currently for available for sale on our MLS, click here.

For more information about this area visit my website or feel free to contact me directly.

When asked to write a guest blog for Prudential Professionals web site, the first question that came to mind is ‘what to write about those interests people’.  I posed this question to my friends on facebook and got enough ideas to start my own blog!  So I think I will.  Meanwhile, the first suggestions where ‘what area in the Clarksville – Ft. Campbell market is selling the most’ and ‘what is the average list price, selling price, and square footage’.  This data can be readily accessed by your real estate agent through their MLS on Realtracs.

The hottest area we are seeing movement in continues to be the area known as number 76, described as the St. Bethlehem/Dunbar Cave area.  In August of 2009 there were 739 listings in that area, 202 of them newly listed in that month.  The pending sales (aka. Contracts accepted) were numbered at 124.  The number of new listings and pending sales were twice the amount for the area with the 2^nd highest rank in those categories.  This area is close to Ft. Campbell, the Industrial Park, downtown, shopping, dining and the interstate.  No wonder it’s been Clarksville’s ‘hot spot’ for the last several years as far as growth is concerned.

The average list price over the past 6 months is $156,496 with the average sales price being $154,059.  That is a difference of $2,437 or 1.5% less than list price.  So when clients or customers come to an agent and say “I know homes are selling for 10% less than list price”, that is just not so for the most active area of Montgomery County’s real estate sales.  The average size of homes sold over the past 6 months averages 1803 square foot, 3.21 bedrooms, 2.03 full baths, and .36 half baths.  This activity is evidence that our market is driven by Ft. Campbell and first time homebuyers.  These are the clientele that have kept Clarksville’s real estate market thriving while the majority of the nation’s markets have suffered severe setbacks.  October’s issue of “Realtor” magazine headlines “Catch the Wave! Prepare Yourself for the Housing Recovery”  If this is what the nation’s housing market should be preparing for then I suggest Clarksville – Montgomery County’s housing market to be preparing for a housing boom!  Visit my web site at www.listwithlaurie.com to view listings in middle Tennessee as well as relevant community links and my upcoming inaugural blog.

Laurie Bowers Campbell

Whatever happened to the full service Realtor? There are so many discount Realtors, offering discount service that the true full service Realtor has been facing extinction. In this challenging market, can you really afford a discount Realtor or to be a discount Realtor? Fortunately both the consumer and these part-time, sometimes, discount Realtors are now becoming a dying breed. They both realize this model does not bide well in today’s marketplace. Personal attention has become important again.
That being said, I come back to my original question… “What ever happened to the true full service Realtor? Some of you may be saying, “I am right here” or “My Realtor is full service.” Can this really be true? When was the last time your Realtor (or you) presented an offer in person? Of course the large number of short sales and bank owned properties make this near impossible, but on a conventional sale does your Realtor (or you) present in person? Fax machines, e-mail, Blackberry, text messaging, e-Fax…does anyone ever talk to anyone anymore. Does anyone meet with the Seller and Seller’s agent face to face to “make the deal work”? As a Realtor that learned to present in person whenever possible, I still continue that practice. Unfortunately, I find it more difficult to follow that practice as the Seller’s agent does not find it necessary to represent the best interests of their client and meet face to face. I can think of several deals that have been “saved” by being personable and working with a person, not a piece of paper. Details can be explained and worked through instead of fought through. Everyone starts on the same page, therefore the entire negotiation moves more quickly and productively. All parties realize that everyone is after the same goal, a fair deal for all.
The electronic age has definitely created a shift in the way we conduct business, but we do not need to depersonalize it. I find it disheartening how so much of the younger generation cannot leave a proper voice message. Forget written communication, unless of course it is a text- message full of text lingo. The only way they know how to convey the use of humor is with a “LOL” or  emoticon. People skills, presentation skills and just plain talking to people have become a dying art. Real estate is not sales, it is a people business. Once you lose the ability to relate to a person and build lasting relationships, you lose the ability to build and grown your business.
As you make the “shift” in today’s world and use all this wonderful technology, social networking and short cut communication, remember to “keep it real”. Talk to your clients, fellow Realtors and anyone else you want to build a relationship with. Pick up the phone and make a lunch or coffee date with that past client. What about that colleague you think of often but haven’t seen in awhile. Do that once a week and watch your business bloom. After all, real estate is a conversation. Let’s talk.

Real Estate in the Southern California bedroom communities of the Hemet – San Jacinto Valley has been red hot all year long. The community in South West Riverside County region of the Inland Empire have been dominated by Short Sale Listings and Bank Owned Sales for the entire year. It is not uncommon that once a home for sale is listed on the MLS that offers start to come in within 24 hours. Although the exception and not the rule, as an REO Listing Agent I am no longer surprised when I see offers come in on my listings in less than an hour after I publish them to the MLS. OK, maybe not surprised – but it does continue to amaze me.

With the decrease in inventory there is definitely an increase in competition for properties in the Hemet – San Jacinto, CA Valley. When we have a good house, one that hasn’t been abused too badly, in a good neighborhood there won’t be a lack of buyers, in this real estate market. The Excellence in Real Estate Team at Allison James Estates and Homes just recently closed a sale that generated 21 offers in the 72 hours the seller required us to keep the home listed in the MLS and on the market, before they would consider an offer.

With the competition this fierce it is critical that buyers have their financing done right the first time. I want to take this opportunity to do a “Shout Out” for one of my local lenders, Ms. Hilary Wilkinson with Patrion Mortgage, the mortgage division of Altura Credit Union.

Ms Wilkinson and her team at Patrion Mortgage bring something besides unsurpassed service to the table – they bring me confidence that when they say they can fund a loan – it gets funded. When they say they can fund a loan in 30 days, it only takes 30 days! In my business that’s HUGE. Hilary does not make excuses – she doesn’t have to because she produces results.

Perhaps what I like best about working with Hilary is that she doesn’t just pre-qualify her borrowers she takes it the extra step and assembles their loan package for a full blown under writer pre-approval.

Hats off Hilary, and thank you for your continued dedication to your profession. It makes me proud to know you and work with you.