Chip and Sue Parrish | The Personal Touch

 Please join us in this FREE First Time Home Buyer Tax Credit Seminar on January 23 and January 30, 2010 sponsored by Dominion Homes.

Click on the link below to get signed up . . .

http://www.dominionhomes.com/dominion-home-school/seminars.asp

Thanks,

Chip & Sue

It's been 3 years now since our real estate market has seen numbers like these. For the first time since 2006, September saw an increase in home sales that were up 10.3% over last September. This can be a result of the first-time homebuyers rushing to take advantage of the $8000 tax credit before the previous November deadline. (see story on pg 1).

The market is also at it's lowest inventory levels for this time of year since 2004, which in turn will increase home sale prices for sellers. Compared to a year ago, the average sales price in September was $160,094, just 0.4% lower than a year ago.

All of this continues to point to our market stabilizing and still offering an affordable and healthy investment for buyers. One year ago, the month's supply was 9.10. But with the increase in sales and drop in inventory, the month's supply is now down to 7.06. This number means that if no new homes were added to the market, it would take slightly more than seven months to sell all remaining inventory. A market is typically considered balanced with around a 6.5 to 7 month supply.

Combine all of this with the fact that interest rates continue to stay low, and tax credits for buyer's, now really is a great time to find your next home, whether you are upsizing, downsizing, or 'right'-sizing! Call the Parrish Team today to find your new home today!

Central Ohio Home Sales

There's nothing short about it. Short sales get their name by the sales price falling short of what is actually owed on the mortgage. Homeowners who find themselves in jeopardy of a foreclosure will often turn to the Short Sale option in order to keep from taking a bigger hit on their credit rating as a foreclosure would have.

Based on an appraisal, the reduced selling price will reflect what the home is currently worth in today's market. Once the property is in contract, the bank must approve the sale amount. Waiting for this approval is what takes the most time and patience.

For example, once a seller signs a contract on a foreclosed home it can take 5 weeks to complete, on a traditional home sale it can take close to 7 weeks, whereas on a Short Sale it can take up to 10 weeks or more to be approved and closed.

After an offer is received on a Short Sale home, the appraisal along with a hardship letter is submitted to the bank with the sales contract. This is when the waiting starts and the 'not-so-short' of the Short Sale begins. It's this length of time that makes it hard for buyers to pursue. It is the bank who takes their time to review cases and decide on which, if any, offer to accept.

But there are some benefits to a Short Sale listing. Most importantly is that a seller may be able to avoid a foreclosure on their credit report. The lender can also benefit by getting paid something as opposed to spending money to put the home into the foreclosure process. For buyers, they are able to pursue a purchase prices that matches the current market values.

Short Sales can be tricky when there is a 2nd mortgage/lien on the home. Both banks have to approve the amount. Often times, this is when Short Sales fall apart. Some lenders will refuse to share the proceeds with the 2nd bank, resulting in another mark on the credit report for the 2nd loan not being paid.

Short Sales aren't for everyone, and they certainly aren't short, but they can be a way to try to avoid foreclosure and get as much money as your house is worth back to the lenders.