By the way, did I ever tell you the story about the chicken in Iowa that won  “Best in Show”; you know, the one that was washed and blown dry. This is an image I can not get out of my mind. The problem is what do we do for an encore. If you have any ideas I am open for suggestions.

I said in the last newsletter I would have more information on the state of the real estate market in our neck of the woods, so here goes. Very little has changed we still have a slow steady growth and prices have started to rise. Boy wasn’t that exciting. The interesting news is about some of the sales statistics for our office in the market area of Westfield, Short Hills, Springfield, Summit, New Providence, Chatham & Madison. This information was compiled by “BrokerMetrics” from January1, 2009 to October 31, 2009 comparing the top ten offices covering this market area. Our listings averaged 53 days on the market and the nearest competitor was 70 and the last was at 90. Our listings sold for 93.8% of asking price and the next competitor was at 92.6% and the last office was at 85.9%. Our buyers purchased homes for 83.2% of asking price and the nearest office was at 84.5% and the last office was at 91.5%. The only category we did not lead in was total sales volume, our office was second. Not bad considering the number one office is over thirty years old and we are six years old. By this time next year our office should be number one in all three categories. I am very proud to be a part of this exciting forward thinking company.

As I am writing this newsletter congress has not yet passed a continuation of the real estate stimulus package which should include an increase of the tax credits to $15,000 and opened the program to second time home buyers. This program should bring a large boost to the real estate market.

My favorite day of the year is getting near and I would like to wish all of you a joyous and bountiful Thanksgiving. Remember don’t swallow any wishbones!   

Ellen

By the way, my summer vacation with Paul was a real hoot. If you have not experienced Middle America I strongly suggest you plan a trip that includes the “Iowa State Fair”. Hundreds of miles of corn brings you to Horse Pulling, Banjo and Fiddle contests, Weed Identification contest, every other kind of agricultural contest, Cooking, Cattle, Cow, Sheep, Swine contests and my favorite, something you can not see here in New Jersey, Chicken Washing and Blow Drying demonstration. You did read it correctly “Chicken Washing and Blow Drying. You have to call me about this because there is no way I can write about this momentous site.

I don’t know how to segway from a chicken demonstration into information about the New Jersey Real Estate Market other than to say there is definitely an up tic that has started over the last month. August has been a reasonably strong month for “The Gendel Homeselling Team” and the Keller Williams Office. I don’t want to get too optimistic, the September statistics will be very telling and I will have more to say about changes in the market in my next newsletter.

Paul (with great pride) told one of the Agricultural Judges that any number of New Jersey Beefsteak tomatoes would have taken the Blue Ribbon in Iowa; no contest.

Ellen

I usually try to offer information I feel will be of interest to my clients, past and present. This time I offer information I hope you will pass on to your friends or someone you know who may be planning to purchase a home for the first time. Most important is interest rates are still under 5.5% and second, the “First-time Homebuyer Tax Credit” will cease with homes closed  after December 1, 2009; this may change but right now it is the date set by the Federal Government. Since “contract to close” normally takes sixty days and the time to find a home usually takes thirty to sixty days the window of opportunity is closing fast. The following are some additional points of interest about the Tax Credit.

• Eligible property – Any single family residence to include co-ops & condos
• Refundable – Any unused amount refunded to the purchaser
• Income limit - $75,000 & $150,000 on joint return. Phase out on caps $95,000 to $170,000
• First time home buyer – Purchasers may not have owned a principle residence in the three years previous to purchase
• Repayment – No repayment on homes closed prior to December 1, 2009
• Recapture – If home is sold within three years of purchase, entire amount of credit is recaptured on sale

This program is scheduled to end by December 1, 2009 All indications point to this program being extended or upgraded.

If you know anyone who could use my assistance with regard to this information please have them contact me.

Ellen

Spring has finally arrived and I have said a fond goodbye to my winter wardrobe. The closets have been cleaned and now hold the light and bright of my summer clothing. Winter boots goodbye, hello sandals. This year I decided to purge my house of the unwanted and unnecessary clutter that would be thrown out if Paul and I were planning to move. I decided not to wait until the last moment when a dumpster would be the most important device in my driveway receiving the unwanted clutter collected over the last, who knows how many years. I have said au revoir to clothing, computer screens & printers, children’s toys, puzzles and games, suitcases, wicker baskets, plastic flowers, and a large amount of collectibles that would never grace a table or shelf again in my home. Our home had become a haven for eight track tapes, floppy disks, zip disks and any other kind of disk you can think of. So-long broken wicker chair, chipped vase and paperbacks read twenty years ago. By this time I’m sure you get the idea. If you haven’t used it in the past three to five years, you probably don’t even know it’s there. THROW IT OUT! My suggestion for the Spring of 2009 is do not wait until the month before you move to clean out the unnecessary, do it now, a little this month and more next month, etc. Makes life so much easier when the time comes to move.

Ellen 

Just to let you know, I do follow my own suggestions. On January 16th I told you about my 2009 Resolutions and after several weeks I have started to practice what I preach. I have gotten closer to my Banker by refinancing a construction loan, which in turn will help me save cash. I have made a special effort to clean out my e-mail and also correct my e-mail addresses for all of my clients. Being brave has taken on a whole new meaning in the hard economic times we all are facing. Pretty good, of the eight resolutions I am already working on four of them. Now comes the hard one, Embrace Change! Change in my business life is a big challenge. I have to shift my focus, I have to shift my work habits, I have to shift my marketing to better use of the Internet. Real Estate has shifted to agents who understand how to tackle tough times, agents who understand that they can no longer just hang a sign on the front lawn, sit back, watch the buyers flock to the door. Agents who are willing to train themselves to the requirements of the Real Estate Market as it now exists are the only agents who will offer the proper services required by their clients. At Keller Williams Realty here in Summit we have a minimum of four courses a month for improving our knowledge of this new Real Estate Market along with weekly discussions on what is and is not working for our clients. Keller Williams was created during a recession maybe that is why it knows how to succeed today.

My final resolution is Growing in my personal life to seek out the important events no matter how big or small and enjoy them to the fullest with the trivial left behind, soon forgotten. This is a lesson taught to me by my Grandson Joshua who many of you know fights every day, loves every day and gets dressed every day to face the challenges ahead of him just to enjoy the smallest of pleasures.

Ellen

The bidding strategy can take on many faces. Now is the time to rely on your Agent. He or she should prepare a comparative analysis of similar homes in the area that have sold in the last three months showing the list to sale ratio. This will help you establish your opening offer. I hope you have seen a sample offering (Contract), remember it will only become a contract when accepted by both parties, and the checks have cleared the bank. The agent should be present the offer in person; you will have a much better chance for a favorable outcome. Quite often the terms you offer may be as important as the price. Price alone does not always bring a proposal together. Terms most often keep an offer to purchase from coming together. Remember the process of offer and counter-offer is a delicate skill and a qualified professional will be your greatest asset.

Once your proposal has been accepted all of the leg work begins, most of which will take approximately twenty days, mortgages, inspections, deposits, negotiation of inspection issues are some of the important steps that have to take place.

I will address these items in the next blog.

 Ellen

You have established the groundwork required to become a smart buyer of real estate, you know how much you can spend, who will handle your legal requirements and you have selected the agent who best understands the criteria you have established. LET THE SEARCH BEGIN!

It is very rare to find the home of your dreams on the first day of your search. In fact your agent is getting the most out of this day. He or she is finding out what items on your list of wants really rise to the top, by the second time out most of the properties should be more in line with your comfort level thus allowing you to zero in on the properties you would consider to purchase. Now is the time to take full advantage of your agents experience in the market. Questions about location, schools, transportation and anything else important to you should be asked. Information with regard to the physical structure will be answered in a “Seller Disclosure”, remember most agents do not have the credentials needed to discuss the construction of a home, most serious flaws are discovered by a licensed professional Home Inspector.

When you have selected a home to purchase the preparation of a contract and then strategy of negotiation takes over. This will be discussed in my next blog.

Ellen

I tried to think; what is the single most important thing to do before you venture into the real estate market place? The answer, interview all potential agents before you ask one to represent you. Remember you will be discussing one of the most important purchases you will ever make and you want someone who will take your interests to heart. Today many people start their search on the Internet. They see a property they think meets the requirements they have established then call the listing agent to see the property. Do you think the listing agent will secure for them the best price and terms or will they have the interests of the seller, who hired them, as their primary responsibility? The State of New Jersey has established a set of rules, which allows an agent to represent the buyer only. This is explained in a” Consumer Information Statement”. Referrals are nice but do you always like all of your friends friends. An interview is a must. A professional in the real estate business has spent years studying the local market to be best prepared to offer the information you need to make your selection.

Now that you have selected an agent to represent you the process can begin. Get mortgage pre-certification, you cannot purchase a home without showing the seller that you are willing and able to purchase the home they have loved for many years. The agent should have asked the questions needed to help them establish search criteria for you in the communities they are familiar with. During the initial days of your search you should establish a relationship with a real estate attorney. Do not wait until you have made a purchase to first find a lawyer who you may find does not meet your requirements. If your agent does not offer you a copy of a contract of sale, ask for one. This is a very important document that you will be signing so you should be somewhat familiar with one, know the fine print

We will talk more about this process the next time I sit down and write about what I love to do, help people settle into the home of their dreams.

Ellen

As I sat at my desk preparing for my appointment with a new buyer I started to jot down some of the services that I perform as a Buyer’s Agent. I was amazed when the number of steps needed to close on a property started to reach 100, I stopped when I reached 114. Although some were redundant they were all part of my responsibility to my client. I don’t think I could explain all of them right now but a few stand out from the rest and I thought they would make interesting topics in this blog. The steps broke down into four categories: 1. Getting to know you. 2. The Search 3. The Negotiation 4. Taking you to Closing. For today lets start with number 1. I like to know what your life style is like and there is no better place to start than with a visit to your home. If you live out of the area I would like to see pictures of your home. Next I would like to know why you are moving (need more space, family increasing, time to pare down, etc.). Now the most important question, “what must you have in your new home and what item would make you not buy a particular property? I have to stop now so that I will be on time with my appointment so if you have any comments I would like to hear from you. In the next blog I will continue with the other categories.

Ellen 

Here I sit in Summit New Jersey listening to my potential buyers say I’ll wait for the bottom of the real estate market before I make a purchase. How wonderful they are that they can determine the exact time, the exact day, the exact month; most likely by the time they make this decision we will be six months into recovery. I suggest they read an article written by Kathleen M. Howley of Bloomberg News and published in the Newark Star Ledger. “The worst U.S. housing recession since the Great Depression may end this year as inventory of homes declines on a drop in new construction.” Since Summit, Short Hills, Chatham & New Providence (all approx. 25 miles west of NYC) New Jersey has a limited amount of new construction, may be the reason we are experiencing a much higher degree of activity in our office. Several paragraphs into the article it stated, “Sales of previously owned homes in the U.S. rose from a record low last month”. Kathleen indicates that this turn has been fueled by significantly lower asking prices coupled with reduced inventory of new and existing homes on the market. I think it is time to ask my buyers to look closer at their crystal ball, maybe the time has come.

 Ellen Gendel