Here’s an interesting article on how being a good renter means more than you think.  A GOOD RENTAL HISTORY CAN HELP BUYERS. Thanks to Rockwell Institute * for this link.

Interest rates are still low and inventory is still high.  Sales are improving in South Pacific County though, so don’t be left looking for the right house when all the good ones are taken!  Here’s an example of what’s currently on the market in the $100,000 to $150,000 range.  Some are fixers, some are fixed.  Resi_Client_Summary2801.  This report is limited to single family, stick built homes.  There are condos, manufactured homes, townhomes, etc. with a wide range of prices and amenities.  For more information on any of these listings, just send me an EMAIL.  Or call us at 360-642-3325!

And one more article you should read before starting your search:  Making the Right Choice.

So, what are you waiting for?  Get out there and start looking.

*  If you’re thinking of a career in real estate, I’d love to help and so would Rockwell Institute.  Get more info by clicking on the sign!

October was a pretty nice month, both weather-wise and sales-wise!  16 single family homes listed with the Northwest Multiple Listing Service sold during the month.  There were also 6 vacant land sales during that period of time.  It was encouraging to me that of the sales, only two of the homes were bank owned.  There are still some great buys here at the beach and interest rates are still incredibly low per Freddie Mac’s Primary Mortgage Market Survey.

According to NWMLS, October was a month for “Tricks and Treats” in home sales.  Pending sales up, sale prices down.  To read the whole report, click NWMLS NR (Oct 2011).

As of this post, there are 336 single family homes/condos in “Active” Status.  If you’re looking for a beach home for either vacations or full time living, the inventory is high, sellers are motivated, interest rates are good, and Discovery Coast Real Estate is here to help!   And sellers, as of today there are 37 homes in pending status – buyers are out there so don’t get discouraged!

Come to the beach and dig some razor clams, stop by the office and pick up the 2012 Tide Tables too!

August 2011

And around the whole state,

KIRKLAND, Wash. (Sept. 6, 2011) – August now ranks as this year’s best month for both pending and closed sales around Washington state , according to the latest report from Northwest Multiple Listing Service. Last month’s volume of pending sales was the highest number of mutually accepted offers since April 2010 when the homebuyer tax incentive expired….  Selling prices are still below year-ago levels. Area-wide, the median price for last month’s completed sales was $236,000, about 12.4 percent less than twelve months ago. Year-to-date through August, prices for sales of single family homes and condominiums (combined) are down about 9.4 percent.

It’s still a great time to buy and if you’re a veteran, retired or active duty first time homebuyer, you’ll want to read this:  FIRST TIME HOMEBUYER GRANTS AVAILABLE.

How much can you spend on a home? So many buyers focus on the price of the home rather than what it will ultimately cost them per month.  And it’s interesting to note that the low interest rates on mortgages is what really makes things so affordable right now.

Buyers who believe we haven’t “hit bottom” with prices could be in for an unpleasant surprise if they wait too long.  If you’ve got your eye on a home and the list price is “X”, what will your monthly payment be?   A couple months later the seller reduces the price and you’re ready to make your move.  The interest rate has jumped just 1%.  Your buying power just dropped by 10.75%. 

That very reasonable and affordable monthly payment just went up, perhaps by enough that now your lender denies your loan!

So, while it’s important to watch prices, mortgage rates are an integral part of the purchasing process.  Stay in touch with your Realtor and your lender.  And remember, don’t be buying a new car right before you make an offer on the house of your dreams!

Questions?  Email me!

Boxer Play Date!

How do you avoid this situation?  Ask for referrals from your friends and associates.  Ask if they’ve dealt with a broker they felt treated them fairly and honestly, whether they were a buyer or seller.  Referrals are as good as gold and probably the broker is too!  Discovery Coast Real Estate is lucky to be on the receiving end of referrals several times a month and that’s what keeps us going when times are tough.  This is a big thank you to those of you who have referred us to your friends and families!

And now that you’ve selected that lucky representative, how can you make your house “FHA Loan Friendly”?  This handy flyer might help: FHA Flyer.  As always, your real estate broker should be able to help so take advantage of their expertise!

And Buyers, I’m thinking about you too.  You need a broker (agent) that will be looking out for your best interests, showing you all the homes that fit your needs regardless of which agency has the listing.  They will be prepared with all the info you need about the homes you’ll be looking at.  They will know how much you qualify since they will want you to talk to a lender before you start searching for a home.  If you haven’t done this, you’re not only wasting your time, your agent’s time and the sellers’ time but you may be disappointed when you find the house of your dreams and can’t get financing!  This can be devastating to your home buying enthusiasm. 

Ask yourself these questions and then hustle yourself to the lender of choice.  (Your broker may have recommendations based on his/her experiences with different lenders.  Beware of those that seem “too good to be true”.)

Questions:  How much money do you have in savings?  You’re going to need funds for a down payment, closing costs, inspection, etc.  If you think you qualify for down payment assistance, do you have 3.5% of the sales price of a home set aside?  Do you have family that would be willing to make a down payment gift?  There are so many different programs out there!    How’s your credit score?  Now more than ever this will affect your ability to borrow money.  (Just for fun - video about saving)

Once you’ve confirmed that you have what you need and you’ve contacted a lender to be pre-qualified, start working on your wish list!  You know what your budget is (pre-qualification) so figure out how to spend it!  3 bedrooms a must?  Need granite counters?  Garage?  Certain neighborhood or access to public transportation?  While the list will be very helpful, don’t rule out looking at homes that don’t meet all your requirements.  That two bedroom home may have a den; the counters might be ready for an upgrade anyway; the carport might be huge!  Keep an open mind and open eyes.  Pour out your heart to your agent and see what comes up.

Patience is a virtue  (The ability to wait for something without excessive frustration is a valuable character trait).  This is an unusual market for both Sellers and Buyers.  Mortgage interest is extremely low but lender requirements are stringent.  Sellers, the Buyers are out there but inventory is high, giving them a lot to compare your home to.  How does it stack up?  What incentives can you offer to make it stand out from the crowd?

And finally, remember to seek expert advice!  We’re looking out for you at Discovery Coast Real Estate!  Start your search online (84% of buyers do).

Location, Location, Location

Now that you know how much you can afford to spend, it’s time to get down to business.  Review Part 2.  I know, you’ve been looking at houses for weeks (maybe longer) dreaming of finding that perfect home.  There are so many to chose from!  Where do you start? The Long Beach Peninsula (loosely termed) has a variety of neighborhoods, homeowner associations, etc.  Finding the right fit is important because this is a big step.  Take into account where you work and play.  Do you want to be on a bus line?  Is being able to walk to town important?  Want to run the dogs on the beach without driving there?  Only you can answer these questions about location.

Along with deciding where,  you also need to separate NEED vs WANT.    Think of these points and decide whether they are WANTS or NEEDS:

• Number of  Bedrooms
• Number of Baths (full, 3/4, half?)
• Square footage of home
• Family room
• Den/office
• Garage
• Yard size
• You get the idea – keep going….

Stay flexible and remember, don’t judge a book by it’s cover.  Sometimes a home  lacking in “curb appeal”  is hiding all of the features you’re looking for.  And when you get inside, don’t dismiss a home that might not have the color of carpet or other cosmetic features that are on your list.  Keep an open mind and think of the possibilities!

When you get ready to view homes with your Realtor© print out a few of these WORKSHEETS courtesy of Freddie Mac and take them along.  A digital camera is also helpful.

This is an exciting time so  make it fun.  A trusted Realtor© can make it less stressful and more productive!  And when you’ve found the one that’s right for you, it’s time to make the offer.

YOU WANT A HOUSE AND YOU WANT IT NOW!

So you’re ready to buy a home.  Do yourself, your Realtor and the seller a favor and get pre-approved before you even start looking.  One of the worst things for a buyer is to fall in love with a house and find out that you don’t qualify.  For the seller, it can be very disheartening to think you have your home sold and you can get on with things, and then find out it isn’t going to happen.   Do I need to mention how your agent will feel after after spending time showing property, writing and presenting an offer, only to find out that everyone is disappointed?

Step one should be to make sure your credit is what you think it is.  The Fair Credit Reporting Act allows you to obtain one free credit report every 12 months.  Visit the site or call 877-322-8228.  This will only take a few days to do and it’s worth waiting for.

Okay, you’ve found out that there are no surprises with your credit report.  Maybe it’s even better than you thought!  It’s time to find a lender.  There are  options: traditional lenders such as the local bank or credit union and mortgage brokers who have access to many different lenders with different loan programs.  Traditional lenders may not be able to work with you if you have an issue with your credit or maybe your income reporting.   Bottom line – shop around for the best loan package (and interest rate) for your unique situation.

The amount you have available for a down payment will be a big consideration when talking to a lender.  Whether you have the traditional 20% to put down or are looking for VA, FHA, USDA low or no down loans, don’t give up if the first lender you talk to isn’t able to help.  And don’t forget the tax credit for first time home buyers!  While the financing crisis (fiasco) has many people convinced there is no money to borrow or that they would never qualify, that may not be the case.  There are some great loans out there and you need to be pro-active to find them!  (by the way, I can help you!)

There are two rules of thumb normally used to determine how  much you can afford:

1 – your maximum monthly mortgage payment should not exceed 28% of your gross or pre-tax income

2- your maximum debt (including that mortgage payment) should not be more than 30% of your gross income

Normally, you will first get “pre-qualified” where a lender or mortgage broker will tell you how much of a mortgage you can afford.  “Pre-approval” is the written guarantee from the lender that they will grant you a loan up to a specified price (subject of course to appraisal and other conditions that will be written out).

Once your loan is approved and the interest rate is guaranteed (“locked in”) for a specific period of time, it’s time to call your Realtor and start shopping!

This post is going to be a little rambling, so please stick with me.  There’s just so much going on with the economy, real estate, and life in general, that I don’t know what to write when.  Watch this site for new innovations!  Coming soon is an interactive map that I’m sure you’ll enjoy.  What else would you like to see here?  Please let me know!

If you’re having trouble making your mortgage payments, you’ll want to check this website to see if you might qualify for some assistance: http://www.financialstability.gov/makinghomeaffordable/refinance_eligibility.html

Reverse Mortgage lending limits was just increased to $625,000.  Remember when I wrote about the fact that you can buy a home using a reverse mortgage?  Now you can buy a really nice home!  They’re not just for the house you’re in now – you can sell your home and use a reverse mortgage to buy a new home.  Interested?  Contact me!

Are you a first time homebuyer?  Maybe you don’t have much to put down?  Your credit is less than perfect?  An FHA loan might be just what you need to get you into a home.  Check out FHA Loans and then contact me to help you find a home.  And I’ll pay your half of the escrow fees if you purchase a home through me between now and June 1, 2009.

Now for a cat break:

Jake & Elwood in a rare, brotherly moment……

Don’t forget about the huge price reduction for Coastal Ridge.  $425,000 for a luxury 2 bedroom, ocean view townhome high on the hill of Discovery Heights in Ilwaco. Subject to bank approval, this is over $100K less than the asking price just a few days ago!

NEWS FLASH:

Beach Clean up sets records for Volunteers and Garbage Collected. Be a part of the solution!   Grass Roots Garbage Gang

CLAM DATES ANNOUNCED!

Fishery managers have tentatively scheduled three razor clam digs on morning tides in late March, with additional digging opportunities planned for April.

The Washington Department of Fish and Wildlife (WDFW) will open four beaches for clam digging if the Washington Department of Health certifies that razor clam samples tested for marine toxins are safe to eat.

If approved, Twin Harbors and Mocrocks will open March 27-29, while Long Beach and Copalis will open March 28-29 only. All digging on those beaches must be completed by noon.

Even though thousands of diggers came out for the February opener, enough clams remain for several more digs, said Dan Ayres, coastal shellfish manager for WDFW.

And finally, news from the Long Beach Visitors Bureau about yet another scam.