Hello Again

This past year has certainly been a difficult time for me and my family. Things are on the upswing now and I look forward to posting and being in touch more often as things continue to improve.

Thanks for all your patience and kind words of encouragement.

The Savvy Rrealtor

Photo of the Week?

While it's a great front door, I'm not sure this photo really does this property justice. It's a very nice 4 level, $800,000 townhouse here in Old Town.

The question is, with so many buyers looking at photo's ahead of time, how much do bad photo's really hurt the seller?

In my opinion, a savvy realtor scrutinizes every aspect of the marketing of listings, and further, for anyone interested, this really is a terrific property - and I'd be happy to show you the rest of it.

Open Sunday, Feb 17, 1-4PM

Crosspointe in Fairfax Station will be open on Sunday for those of you who'd like to have a look.

See post below for more details

Crosspointe in Fairfax Station

---------- SOLD ---------

$724,900

This beautiful brick, former model home, with 4 bedrooms, 3.5 baths, a two car garage, and granite is now on the market. This property features a huge - open kitchen / breakfast area / family room with fireplace that leads out to the deck, and a sunroom off the living room! The lower level is almost completely finished with rec room, game room, another room (currently used as sleeping quarters), and a full bath. There is an almost new (8 yr. old) cedar roof and a convertable fireplace (either gas or woodburning). The water heater is 2 years old and the main furnace/AC unit is just 3 years old. Over 4,100 square feet of finished living space awaits your personal decorator touches!

Call Richard at (703) 850-7899 to arrange a tour.

Foreclosures & Short Sales

Savvy Bargains

Below are the current listings that are either foreclosures or short sales as listed in the MRIS database. I have sorted the list into geographic areas. Remember, these are dynamic links, therefore it will be noted if the property has gotten a contract or the status changes. These links are good for 30 days.

If you'd like to see any of these properties, just let me know.

Arlington & Alexandria

Alexandria in Fairfax County

Falls Church

Springfield & Burke

McLean, Vienna, & Oakton

Note: This list includes all listings from MRIS subscribers- not just Long & Foster. All information is believed to be accurate, but should not be relied upon without verification.

Family Medical Emergency

Hello All,
I'm sorry to have been away for a while, but I've been dealing with a family emergency. I thank you for all the support and promise to get back in the swing of things and start posting again this week-end.
Again thank you for your e-mail and support,
Richard

Cows as Art? I Am Not Fixated

While searching for cow pictures for my post the other day about the herd mentality, I came across this image. It is from the Glen Wexler Studio in California and I think they are just terrific. There is more about the Secret Life of Cow's here.

But you don't have to leave DC to find interesting galleries. One of my favorites is the Aaron Gallery on Connecticut Avenue. Don't forget to check out all the cool stuff downstairs, it's like a treasure trove down there, and Annette Aaron is great. I personally like the Alderman sculptures.

PMI Still Deductible

PMI can be treated as deductible interest on your taxes for another three years, till 2010. This little proviso made it through as part of the Mortgage Forgiveness Debt Relief Act that passed into law late December '08.

My question is, who decided on three years and why? Do the powers that be expect that values will rise significantly in three years - or - is it that they plan to make it easier for purchasers to ask the lender to remove the PMI premium. The later can be quite difficult, it's a a great source of income for them.

Whatever the crazy thought process's of congress, you can still deduct those PMI payments until 2010.

Foreclosure & Short Sale Listings

Savvy bargains

Below are the current listings that are either foreclosures or short sales as listed in the MRIS database. I have sorted the list into geographic areas, sort of. Please remember these are dynamic links, therefore it will be noted if the property has gotten a contract. These links are good for 30 days. If there is interest, I can certainly do other areas or update this list again mid-January.

If you'd like to see any of these properties, just let me know.

Arlington & Alexandria

Alexandria in Fairfax County

Falls Church

Springfield & Burke

Mclean, Vienna, and Oakton

Note: This list includes all listings from MRIS subscribers- not just Long & Foster. All information is believed to be accurate, but should not be relied upon without verification.

Critical Thinking v. Herd Mentality

Who are you listening to?

Robert Ashby's recent post
Who's Advice Do You Take When Getting a Mortgage,

Let’s face it, it is easy to give a 30-year fixed rate mortgage to anyone these days because that is what the borrowers have been told is the best thing for them right now (just read the news).

But is it really? Believe it or not, the Option ARM, yes those dreaded, "evil" loan programs that place homeowners in foreclosure while making mortgage brokers rich, are actually the best solution in a "perfect world". But alas, we are not in a perfect world. As Americans, we tend to do things we shouldn’t, such as use our house as an ATM machine.

How are we to find the best mortgage program for ourselves? Friends, family, Realtors, mortgage brokers? Not likely. We are really on our own if we want to find the best solution. We must do our own research and find the "advisor" that will help us determine the best solution.

Now, be careful as you decide though. Asch’s Conformity Experiment can prove deadly in your decision making process. You see, that experiment proves that while you clearly know the correct answer, being surrounded by those answering incorrectly may lead you to answer incorrectly as well.

Do you seek out the opinions of skilled professionals who have a solid understanding of your specific situation? Option ARM's you say? Well I'd never... remember he said "in a perfect world." Critical listening & thought - it matters when you seek mortgage advice just as much as when you listen to the 11 o'clock news!

This herd mentality carries into other areas too, for example, "now's a bad time to buy" or "I'd never buy a condo". Both of these examples may be true for the 'Madding Crowd", but not everyone. As Ashe discovered, it only takes one dissenting view for critical reasoning to prevail. Everyones situation is unique, their needs, wants, & goals unique. Sadly the current thought is "don't buy, values are still plummeting" while savvy investors are grabbing this down market opportunity - the classic buy low, sell high still holds true.

Applying a critical thought processes to the mortgage & real estate market, just might lead you to an unexpected conclusion. As Ashley notes, "The best solution may be the complete opposite of what you are currently thinking."

Coming Soon, Fairfax Station, $749,900

This beautiful brick, former model home, with 4 bedrooms, 3.5 baths, a large one car garage, and granite is coming on the market in early January.

This property features a huge - open kitchen / breakfast area / family room with fireplace that leads out to the deck, and a sunroom off the living room! The lower level is almost completely finished with rec room, game room, another room (currently used as sleeping quarters), and a full bath. There is an almost new (8 yr. old) cedar roof and a convertable fireplace (either gas or woodburning).

Call or e-mail me and I can give you all the particulars.

Technorati Link

Even I can follow plain simple English directions, first cut - then paste...
Technorati Profile

Ground Breaking - Alexandria City

The best laid plans often get waylaid, and so it was with the Alexandria City zoning commission etc. But all the road blocks have been cleared and the ground is broken - in fact the foundations are in. All dutifully hidden behind a green construction drape at 3107 Russell Road. Go here to see the listing.

Scheduled for delivery in Summer '08, this luxury brick home is located on Russell Road so close to St. Stephen & St. Agnes or Alexandria Country Day you could take the kids in your night clothes, if you ever needed to! E-mail me for floor plans & location plans.

Priced at $2,200,000 this Extraordinary Property will have 6 bedrooms, 5.5 baths, a fully finished lower level, a detached two car garage, and comes loaded with luxury like travertine marble, en-suite bathrooms, a true chef's kitchen, an optional media room, and more... And with 5,500 square feet, there will be plenty of breathing room too!

FHASecure to the Rescue?

I have finally come across a client who might really be able to use this new program. I have directed him here for all the details and contact info and will keep you all posted as to the outcome. Eventhough many are upside down in the equity situation, none, that I have met so far, are in danger because their mortgage is about to explode. Meaning their interest rate is about to reset to something they can't handle. They are not happy, but they're not in danger.

I know this is a short post, but it is Christmas eve. I'll also post this link on the right sidebar and will let you know how helpful the FHA and this program are.

Yes, Virginia has Great Wine Too

Thinking of moving to DC but afraid to leave wine country - don't worry, this is wine country too! There are plenty of wine stores (carrying everything from Californian to Australian), wine tastings, and wine & cheese parties, as well as local vineyards that make great day trips.

One of my favorites is the Curious Grape - the staff is knowledgeable and the setting is very conducive to wine tastings & conversation. Just last month I had a really informative and fun evening sampling pairings of the wines and cheeses of Spain. They also offer full course dinners by renown chefs paired with wines from their collection at modest prices and offer free tastings weekly!

Last month I did a wine tasting / gallery hopping tour of the Dupont art scene. We hit four galleries and had different wines at each! Gold Star Events sponsored the evening and you should check them out - they do everything from gallery showings and singles wine tastings to discounted theatre tickets and over 35 mixers.

This Metro area won't leave you high and dry... or thirsty!

What are Fanny & Freddie Thinking? - Update 12/19

Now, or certainly before February 1st is the time to purchase, because mortgage money is going to get more expensive.

What are they thinking? Even as the Chief Executive and the Legislature are cobbling together a quasi-bailout/reform bill, Freddie Mac & Fannie Mae are doing everything in their power to make borrowing more difficult.

Fannie Mae has introduced what they call an Adverse Market Delivery Charge which is an additional fee of .25%. Freddie Mac has already followed suit. Another fee to be added to the buyers' closing costs. According to the Fannie Mae website,

"This charge will ensure that we remain a fully available secondary market partner to our lenders by providing long-term commitments they can rely upon to provide borrowers with steady and reliable access to mortgage financing."

They've also rolled out a declining market area! Fannie Mae has designated the entire area as such and if your appraisal comes in w/ the label 'declining market area' you will have a rough row to hoe. Seems there will be a 5% decrease on the LTV (loan to value) ratios, or your down payment. Simply put - to get the loan you could have gotten with a 5% down payment - you will now need 10%.

To make matters worse, borrowers with less than 680 FICO scores will be charged a premium ranging from .75% to 2% depending on their score.

One thing is certain - these costs will be passed onto the consumer. My lender network is continuing to process the implications of all this - but I can tell you one thing right off the bat... making it more difficult (read more expensive) to obtain mortgage money will certainly make the market recovery more difficult. Why should the borrowers of tomorrow pay for the mistakes of some shady lenders and real estate agents of yesterday? In my opinion - this is just the beginning of the true sub-prime fiasco "cost"! As one of my associates quite elegantly put it,

"our purchasers/borrowers are being punished for the sins of unscrupulous lenders and agents who talked past clients into purchases/loans that they could not afford."

Please stay tuned - I'll keep you all posted....

Closing Costs - Show Me the Numbers

I have noticed in reading some questions on Zillow and other Q&A sites that there is a lot of confusion about closing costs, down payments, and the difference between the two.
So I started a post about the closing costs associated with purchasing. I had intended a line-by-line breakdown exactly as it would appear on the HUD-1, but thought I should ask you.
Are you interested such a post? Let me know what you think - see poll at right.
Thanks for your input...

DC on a Skinny Wallet

We had a terrific time Saturday evening. We started out at the Hopper exhibit at the National Gallery.
Then we went to Belga Cafe for a snack and glass of wine. I love the Kazen Kroketten (cheese croquettes) and the Belgian french fries.
My friend Chad introduced me to his online table reservation service OpenTable and it's great. You earn credits and get discounts for booking through them, sweet!
Then it was off for a night time driving tour of the monuments and sights. In nicer weather I like to do a walking tour.
A great time in DC certainly doesn't have to break the bank.

Existing Home Sales Up - 16%

Existing Home Sales Up!
This confirms what we have been seeing! Amid all the National press to the contrary, the housing market (especially in large Metro regions) is showing signs of recovery. The number of "Under Contract" or pending sales is up 16%.

"The improvement in the Northeast reaffirms a trend apparent for some months now that shows signs of recovery, noteworthy because that was the first region to slump, and the gain in the West indicates some easing of interest rates for jumbo loans,”

Read entire article here

As Lawrence Yun points out, "Despite over-exaggerated negative coverage on the housing conditions, many local markets are actually seeing price increases..."

Open House, Sunday, Dec. 9th, 1-4PM

Alexandria - Overlook - 3br/3.5ba

PRICE REDUCED...

Now $529,900

Gorgeous brick end unit, townhome that's wired for the 21st century and loaded w/ deluxe features. Three level bump-out! Crown and dentil moldings, tray ceilings, private decks, huge open spaces, loads of light, end unit w/ extra windows, a huge open flow kitchen/breakfast area/family room, and garage parking as well. Just minutes form 395, 95 & DC there is also an Express Metro Bus to the Pentagon (11 minutes). A beautiful Zen-like garden and owners "secret" garden w/ spa await the new owners.