Ellicott City Realtor Catonsville Realtor

Open House Report for August 28 - 29: Catonsville, Ellicott City, Elkridge, and Columbia. Below are this weekend's Open Houses:

Elkridge Open Houses

Ellicott City Open Houses

Columbia Open Houses

Catonsville Open Houses

If you have any questions, please feel free to contact me.

 

Open House information has been provided by the listing agent, and is not guaranteed to be correct.

How to Get a 'Good Deal' on a House.  There will always be Buyers that are willing to look outside of their price range and make a low offer.  This happened to me recently when I received an offer on a home that was significantly below market value. 

The home was already listed well below other comps, but the Sellers were willing to entertain the Buyers' very low offer and hopefully find some middle ground that would be amenable to everyone involved.  We prepared what I considered to be an excellent counter offer, and one that most Buyers would jump at.

But we didn't hear a word.

Instead, the Buyers walked away from the deal, on to the next listing to lowball.  When I called the Buyer's agent to find out what had happened, she said "Tim, this is what these people do.  This is the third contract I've written for them, the third time it was a low offer and the third time they have walked away."

I won't comment on why this agent continues to work with these clients, or on their motivations as Buyers.  What I will do is give a little bit of advice to those who are in the market for a home.

Everyone says you can offer anything you want for a home - it's up to the Seller if they will accept it.  And this is true.  You can write an offer for a million dollar home for $1 and see if the Seller will accept it (if you can find an agent willing to write it for you, that is).

Or, if you're truly serious about buying a home, you can look slightly above your price range for a little bit more house and make a low offer.  This might be something you consider trying if you have looked and looked in your price range and simply aren't finding what you're looking for.

But if you are, in fact, serious about buying a home, be realistic, and be prepared to negotiate that offer to some extent.  Just because a Seller has had their home on the market for 87 days does not mean they are going to give you their home for 30% less than market value.  Be prepared to come up in price, or come down on concessions, or a little bit of both.  Be prepared to go back to your Lender to get approved for ever so slightly more and see if your Lender thinks it might work.  Be prepared to compromise.

When it's handled professionally, with great agents involved on both sides, a serious Buyer can negotiate a lower price on a home slightly above their price range, and come out of the deal feeling like a winner.

Market Report Monday - Baltimore County Market Update, July 2010. Click on Full Screen to view this report.
If you have any questions about this report, feel free to give me a call, or click here to request more information.

Baltimore County Real Estate Market Update, July 2010

Open House Report for August 21-22: Catonsville, Ellicott City, Elkridge, and Columbia.  Below are this weekend's Open Houses:

Elkridge Open Houses

Ellicott City Open Houses

Columbia Open Houses

Catonsville Open Houses

If you have any questions, please feel free to contact me.

 

Open House information has been provided by the listing agent, and is not guaranteed to be correct.

Featured Listing Friday - JUST REDUCED! - Huge Price Reduction on this Custom Home Nestled in the Deep Forest - Private 10 Acre Lot Backing to Rocky Gorge Reservoir

Absolutely Beautiful Ten Acre Setting, yet conveniently located, this home offers many recent Upgrades include Gourmet Kitchen, Large Year Round Solarium, First Floor Master Bedroom Suite, Inlaid Hardwood Floors, Slate Foyer. Two Floor to Ceiling Fireplaces, High Cathedral and Vaulted Ceilings throughout. A Rare Opportunity!
Showings By Appointment Only
Now Only $950,000

 

4 Bedrooms

3 and a Half Bathrooms

In Ground Pool, Pool House and Deck

Wine Cellar

Loft

Beautiful Landscaping including Stone Patios

Family Room includes Two-Story Floor to Ceiling built-in bookshelves

Fulton Elementary School

Lime Kiln Middle School

Reservoir High School

View Larger Map

Tenant Thursday - Bed Bugs in Baltimore.  Ever heard of bed bugs? Yup, they're for real, and they are a real problem.  The cost and inconvenience of removal is enormous.

Last year, one of my tenants in a multi family unit had a bed bug problem.  As an accomodation, I treated the property using a licensed professional and the property was cleared of bed bugs.  The tenant claims they complied with all of the instructions provided to them by the pest removal service.

Fast forward, one year later.  The tenant has bed bugs again.  Fortunately, it is only this one unit.  The other units in the property are bug free.

The tenant works in Baltimore City, and is in and out of the city's high rise project homes.  These homes are notorious for their rampant bed bug infestations.

I've checked with the Baltimore County Department of Health and was referred to the Maryland Department of the Environment who told me to again check with the Department of Health.  I've given up, and am checking with my attorney.

In the meantime, I'm interested in your opinion - in this scenario, who should undertake the expense of this second infestation?

Howard County Homes on Acreage.  If you are looking for a home in Howard County, and would like the privacy and serenity of owning several acres, you first have to determine what a ‘acreage' means to you, what's available in the area, how much you should expect to pay, and what you can get for the value.

In Howard County, to me, a large lot is one that is at least 5 acres.  There is not an overabundance of these properties available, and where you would like to be in the County plays a large role in what you will find and how much you will pay.

In Western Howard County, the homes on acreage will be more expensive, and more remote, with further driving distances to commuter routes, shopping and conveniences.  Fulton and Highland offer a few properties that have large, private lots, as well as a shorter commute to both Washington DC and Baltimore than Western Howard County communities.  Fulton and Highland have the unique appeal of being close to Maple Lawn, a planned development that provides true one stop convenience with retail, business, medical and conveniences all in one nearby location.

When looking at Howard County homes on acreage, if privacy is of importance to you, consider reviewing the neighboring properties to see if any new construction, be it commercial, residential or agricultural, could affect your peace of mind.

Other appealing amenities of Howard County homes on acreage is that some of the homes back to parks, reservoirs and forest preservation areas.  You may even have walking trails and fishing right in your own back yard.  Further, many of the homes have been custom built and offer unique architecture that you wouldn't find in a tract home.  As you search, note that some properties may allow you to keep horses or other animals.

Howard County Homes on Acreage

Howard County Community Report

Howard County Public Schools

Mortgage Rates are Low - What on Earth Does that Mean if You Would Like to Buy Instead of Rent.  You see it on the news, you see it in the paper, you see it on the internet...mortgage rates are low.  In fact, they are lower than they have been in recent years.  Today's average mortgage rate for a conventional fixed 30 year mortgage is just 4.4%.

But what does this mean?  I think most people who would like to buy instead of rent are confused about how to translate this rate into actual dollars and cents saved over the long term.  Below, I've tried to give the simplest guide I can to explain what these low mortgage rates mean, and how if you are renting, you can leverage these low rates to save money both now and over the long term.

For this example, I will use one of my Single Family Home listings in Parkville:  8109 Conduit Road.  Currently, this 3 Bedroom 1 Bath Renovated Home is listed for $210,000.  Veterans have zero down financing options available, but most buyers would need to select an FHA loan, which requires a 3.5% Buyer contribution to get into the home.

To get down payment funds, you could access your savings, potentially borrow from your 401(K) as long as you have discussed it with your lender, or receive gifts from family members to get to the 3.5%.

A common misconception is that you have to have your 3.5% down payment plus closing costs.  With an FHA loan, you have to have 3.5% of the negotiated sales price in the deal, and the Seller can contribute up to 6% toward your closing costs, which should cover the rest needed.  For our example, the estimated funds to close amount is $13,929.  Of this amount, you would have to have $7,350 of your own funds to qualify for an FHA mortgage for this home, and the Seller could contribute to the rest.

As far as the payment goes, your payment on an FHA 30 year fixed loan at a final negotiated sales price of $210,000 would be $1,380.  This includes your mortgage principle, interest, tax and insurance.

Looking at what's currently available for rent in the area, 3 and 4 bedroom townhomes are running at approximately $1300 - $1500.  If you would like to buy instead of rent, for the same monthly rent payment of a Parkville townhome, you could have the advantage of owning your own single family home, along with all of the tax advantages and equity benefits that come along with homeownership.

If you would like to buy instead of rent, and have any questions about the financial benefits of owning a home that I've discussed here, or about anything that I've discussed here, please don't hesitate to contact me.  I love working with first time buyers and guiding them through the process.

 

 

*These figures are approximate, and based on today's mortgage rates only.  Your lender can give you exact figures once you have completed and submitted a loan application.

Market Report Monday - Howard County Real Estate Market Update, July 2010.  Real Estate Market Statistics for Howard County, July 2010. Includes median price, closed listings, pending listings and days on market for Howard County, MD.

Howard County Real Estate Market Update, July 2010

Open House Report for August 14-15: Catonsville, Ellicott City, Elkridge, and Columbia.  Below are this weekend's Open Houses:

Elkridge Open Houses

Ellicott City Open Houses

Columbia Open Houses

Catonsville Open Houses

If you have any questions, please feel free to contact me.

 

Open House information has been provided by the listing agent, and is not guaranteed to be correct.