Sunday, October 28, 2007

MONEY GROWS ON THIS TREE!

Let's plant two “money trees” and watch their growth. We'll plant the first by placing $20,000 in a savings account earning 5% interest, and leave it there for five years. After five years, we'll withdraw our initial investment ($20,000) plus the interest ($5,525). We invested $20,000 and received back $25,525, a 5% yield.


Now, let's plant the second tree. We'll buy a home for $100,000 and invest $20,000 (as the down payment). For the sake of argument, we'll assume that the home appreciates at 5% each year, just as the savings account earned 5% interest. At the end of five years, the home will be worth about $128,335, a $28,335 gain (that's at an annual rate of 5%).


We invested the same $20,000, and received back our $20,000 investment plus another $28,335 (the increase in value) for a total of $48,335. The rate of return is a sizable 19.3 percent! By purchasing the home, we were able to earn 5% appreciation on the entire $100,000, whereas on the savings account we earned 5% only on the $20,000 investment.


Incidentally, if we had invested only $10,000 in the same $100,000 home ($10,000 down payment - $90,000 loan), we would have received the same $48,335 in return for only a $10,000 investment - a whopping 37.04 percent return! Now you can see the obvious benefits of home ownership!

Sunday, October 21, 2007

NO DEPOSIT, NO RETURN!

When buying a home, would you consider asking the sellers to "hold" their home off the market without offering to give them a deposit? As a seller, would you take your home "off the market" for purchasers who were unwilling to give you a sum of money as a deposit?

In both cases, the answer is probably "No!" A very important message is communicated from buyer to seller by the so-called "earnest money deposit." It is understandably common for homebuyers to want to offer as small a deposit as possible when signing an agreement to purchase a home, and just as common for the sellers to want as large a sum as possible to be placed on deposit.

Here's why the amount offered can be so important. For the buyers, one way to impress the sellers with their sincerity is by offering a higher than normal deposit. Their willingness to go beyond the minimum requirements is a positive indicator that they plan to complete the purchase on time and as agreed.

From the sellers' point of view, a solid offer to purchase from buyers - when accompanied by a substantial deposit - can quickly become an attractive offer, one which is easy to accept. In a nutshell, a larger than expected earnest money deposit can yield a positive return for both homebuyers and sellers!

Sunday, October 14, 2007

THE TIME IS ALWAYS RIGHT!

Perhaps you've thought about selling your present home, but have put off that decision, thinking that now is not a good time to sell. Want some advice? Wait no longer!

Consider what happens during the "bad times." Most homeowners want to sell their homes for the highest possible price in the shortest possible period of time. So, during those periods that are perceived as "a bad time to sell a home" or a “buyers market,” those homeowners put off their selling decision until a more favorable selling climate exists.

Since the so-called "bad times" can last from a relatively short period to a couple years, a backlog of frustrated would-be sellers builds up. It is sort of like the force that builds up in a pressure cooker.

Then, finally, comes the good news: "Home sales are rising - buyers are buying!" Guess what happens? Like the pressure cooker, the lid blows right off the top. Sellers by the thousands begin to flood the market with homes to sell. The competition is incredibly fierce and prices must be competitive to generate a sale.

The best time to sell a home is when you are ready to sell. Make sure your home is in top condition, price it fairly, and employ the best realty professional available. Through careful planning, your house will sell successfully in any market!

Monday, October 8, 2007

NO TIME LIKE THE PRESENT!

How do you know when it's a buyer's market? Look at your watch. If the date is today – then it's a buyer's market! How can that be? Because a buyer can find just the right home at a favorable price 365 days of each year.


Start by defining for yourself the meaning of "buyer's market." Does it mean purchasing a home at a bargain price? Well, there are always homes available at below market prices, but be careful. While you're waiting for prices to drop, you may be faced with higher interest rates, and thus higher payments.

The reverse can happen, too. If you’re waiting for rates to drop (to match the lower home prices), inflation may suddenly increase, raising an otherwise affordable home into an unaffordable price range.

Another definition of a buyer's market may be the availability of a wide selection of homes from which to choose. Naturally, you want to have some choices, don't you? But are you aware that the inventory of available homes has been increasing significantly for a number of years?

Perhaps waiting for a buyer's market is a form of procrastination. If so, don't wait any longer. Each week many happy buyers purchase the home of their dreams, while others watch from the sidelines. Will you be a spectator too, or a player on the winning team?

Monday, October 1, 2007

Savannah Weekly Events

Events for the week of October 1 - 7 in Savannah, Ga.

Oct. 1 – 31 19th Century Glass from the Savannah Collections exhibit on display at the Telfair Museum of Art. 121 Barnard St. (912) 790-8800.
http://www.telfair.org/

Oct. 1 – Oct. 31 JEA Art Gallery Works by sculptor Carolyne Graham, photographer Carrie Kellog, printmaker/painter Grace Rohland and artist Victoria Hennie are on display in the JEA Art Gallery. Reception on Oct. 7, 3:30-5:30 p.m. 5111 Abercorn St. (912) 355-8111.
http://www.savj.org/

Oct. 1- 26 "Focus on 20th Century Art: Highlights from SCAD's Collection" SCAD Museum of Art, 227 Martin Luther King Jr. Blvd., Savannah, Ga. Second floor focus galleryApproximately 20 significant works from the college"s permanent collection are on view, including paintings, drawings and prints by Pablo Picasso, Willim De Kooning, Mark Tobey, Robert Rauschenberg, Romare Bearden, Faith Ringgold, Sam Gilliam, Bridget Riley and others. For more information, visit the SCAD Museum of Art Web site or call 912.525.7191.

Oct. 1 - Oct. 21 Savannah Collects: African Art in Local Collections Pei Ling Chan Gallery and Garden for the Arts, 324 Martin Luther King Jr. Blvd., Savannah, Ga. The Savannah College of Art and Design art history and exhibitions departments present “Savannah Collects,” featuring items such as masks, utilitarian objects and figures culled from local African art collections. A reception is scheduled for Sept. 21, 5-7 p.m., coinciding with the monthly gallery hop. Free and open to the public. For more information, e-mail SCAD exhibitions.

Oct. 4-6 Savannah Shakespeare Festival
This outdoor celebration in Forsyth Park will feature Three Quarter Ale, the Gretchen Green Dancers, Jamie Keena, The Puppet People, Savannah Children’s Theatre and a live professional performance of Henry V. Free and open to the public! For more information, call 912-651-6417.

Oct. 4-7 Artist Materials Trade Show
The latest art materials will be showcased by over 20 exhibitors, including the National Gallery of Art. Presented by SCAD, this event is free and open to the public. Friday and Saturday, 10am - 5pm; Sunday, 10am - 3pm at the River Club, 3 Martin Luther King, Jr. Blvd.

Oct. 5 Hairspray, the musical
Johnny Mercer Theater 8:00 p.m. http://www.savannahcivic.com/cityweb/civiccenter.nsf

Oct. 5-7 Oktoberfest
Live entertainment featuring Oompah bands, German food, games, fun, regional arts & crafts. Location: Rousakis Plaza, Historic River Street Savannah, GA

Oct. 5 – 6 60th Annual Junior League of Savannah Thrift Sale at the Savannah Civic Center Fri., 10 a.m.-2 p.m. and Sat., 10 a.m.-3 p.m. All items are 50% on Sat. Proceeds benefit the Junior League’s community improvement projects. For tickets, call (912) 651-6556.
http://www.jrleaguesav.org/

Oct. 5 - 6 Tybee Island Pirate Fest 3rd Annual Tybee Island Pirate Fest in the South Beach Parking Lot. Features a Pirate Invasion, Pirate Parade, Arts & Crafts Marketplace, live entertainment, costume contests, children’s activities and more. Times vary. (912) 786-5393.
http://www.tybeepiratefest.com/

Oct. 5-6 Botanical Gardens Annual Plant Sale
See many unusual plants, trees and shrubs; along with hanging baskets, ground covers, ferns, etc. The fall is a great time to plant trees and shrubs! 8:30am to 3pm at Botanical Gardens, 1388 Eisenhower Dr. For more information, call Patti King at 912-356-3591.

Oct. 5 First Friday for Folk Music
Featuring Tuck Brawner, Jeff Talmadge and Gary Hensley. 7:30 pm at Wesley Monumental UMC. For information, call 912-786-6953.

Oct. 6
First Saturdays for Kids This monthly program for young people includes studio art workshops (available by advance reservation only), storytelling and ac...Location: Jepson Center for the Arts, 207 W. York Street

Oct. 6 Fall Festival- "Down on the Farm"
Come out for a fun filled day, featuring low country artists. Enjoy a flower show, educational exhibits, face painting, quilt exhibits. Hot dogs and refreshments will be sold. The gardens and nature trails will be available to tour. 8:30am to 3:30pm. At Botanical Gardens, 1388 Eisenhower Dr. Call 912-355-3883 for more information.

Oct. 6 Heart of Savannah 5K Road Race and Walk
The 17th annual road race and walk is organized by the YMCA of Coastal Georgia and will be hosted by City Market. The kiddie run starts at 6pm; the 5K race begins at 6:20pm. For more information, call 912-354-6223.

Oct. 6 Starland Farmers Market
9am-1pm, every Saturday in October. Located in Starland between Bull and Whitaker and 40th and 41st Streets. Free!

Oct. 6-Nov. 3 2007 Alumni Design Show House Bartow House, 126 W. Harris St., Savannah, Ga. The Savannah College of Art and Design announces the Bartow House as its winning location for the 2007 Alumni Design Show House. Located at 126 W. Harris St., the four-story, late Federal- and early Greek revival-style home sits on the corner of Pulaski Square in Savannah’s Historic District. Boasting more than 8,000 square feet of space, the freestanding clapboard structure provides talented SCAD alumni a blank canvas to transform a historic house (circa 1839) into a design show house. Alumni designers and artists will be challenged to showcase their individual style and unique vision for their assigned rooms. Proceeds from ticket sales will benefit the SCAD Alumni Scholarship, awarded annually to a full-time undergraduate or graduate student. A portion of the furnishings and artwork sold in the house will also go toward the scholarship. For more information, read the press release or call Linda Tierney, director of alumni services, at 912.525.5865.

Oct. 7 Picnic in the Park
Savannah’s beloved outdoor affair is back! Pack your basket and join us for a memorable afternoon with music, food and friends. Free courtesy of the City of Savannah.
Phone: 912-651-6417 Location: Forsyth Parkhttp://www.savannahga.gov/arts

BRING ‘EM ON!

In a highly competitive industry like real estate, what reasons would a seller have for going it alone? Not surprisingly, the majority of unrepresented sellers choose to sell By Owner in order to avoid paying a commission.

Before traveling the For Sale By Owner route, consider the following question. Would you be willing to pay a commission if a real estate agent brought a ready and willing buyer to you?

Focusing too much on commission might be penny-wise but dollar foolish, especially when you learn that homes sold by realty professionals fetch 16% more than those sold by unrepresented sellers. 16% is roughly three times the fee that many brokerages charge for their valuable service, so it's easy to see how paying for representation is likely to put more money in your pocket, not less.

What's the explanation for the difference in sale prices? Most commonly, it comes down to the fact that unrepresented sellers are showing their home to a much smaller universe of buyers than the one that real estate agents can bring. By exposing your property to the widest segment of qualified buyers, you significantly increase your chances of a full price offer from a genuinely motivated party.

Honestly discuss your concerns about brokerage fees with an agent you trust, who will cooperate with you to create a fair and valuable relationship.