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by Randy Rabney
If you’re willing to invest some money, it can give you a big return. Your solid wood cabinets can look great again. Sand them and re-stain or paint. Replace the old hardware with stainless steel or nickel knobs and handles. Consider replacing beat up appliances. A great kitchen can sell a house.
You will be surprised at how affordable granite, marble or other stone counters can be if you go to the right vendor. Replacing your old countertop can be accomplished quickly and can make a huge difference in how an older kitchen will show. This, in combination with updating the cabinets, may make you want to stay in your home! When you take on this project, don’t forget to put in a new under-mount sink as well. Your kitchen will look great. You can likely do your full kitchen “upgrade” for around $4,000-$5,000, depending on how much counter space you have. We have great resources and would be happy to direct you and even help with your choice of materials.
If you don’t want to go this route, some buyers are fine to do the work themselves and are just concerned that the space is right.If your kitchen clearly needs a remodel, price accordingly and make sure that your kitchen is immaculate. Remove all clutter from the countertops, even if it’s inconvenient. Put the dish drain and appliances away when the house is being shown. Your house should look like a model home so that when a buyer walks in, they can see themselves living there.
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YOUR ASSIGNMENT If you want you want more information about preparing your home for sale, you can visit our website at www.NJisHome.com and download our fr*ee Seller’s Guide at the bottom right. |
I’m sure that you’ve heard it said that the kitchen is the heart of the home. Sell Now! Buy Now!
March 24th, 2009Why is it a wise decision to sell now or buy now?
We recently attended a conference presented by Jeffrey Otteau, a well known expert on the NJ housing market. Below is an overview of what we learned in combination with what we know being experts in our marketplace.
With hindsight, we realize that the economy began it’s contraction during the fourth quarter of 2007. This was the point in time when home sales really began to slow down and prices began to fall at a faster pace. Several things brought us to this point. From 2000-2005, NJ income rose 16% while housing costs rose 88%. This was very unhealthy, even though for the sellers, it was a party! As of the end of 2008, the pace of home sales had slowed by 50%. Right now, we are seeing home prices drop by 0.5% per month in our area. In other areas, they are dropping at a greater rate. The expectation is for them to hit bottom sometime during the second half of 2009 or early 2010. With this in mind, a buyer who is in the market right now not only has a wide choice of inventory and reasonable prices, they also have mortgage rates that are incredibly attractive! By later in 2009, these mortgage rates are expected to be history.
For a seller who is trying to decide whether to sell now or wait a year or two “until the market comes back,” here is Otteau’s projection: If you wait, you will net 10% less than you will by selling today. The drop of 0.5% per month is expected to be in place for at least the rest of this year, followed by a lengthy flat period while the unsold inventory slowly sells off. This will keep home prices flat for the next two to three years. It is only after the inventory declines that we will see the beginning of a recovery. At that time, we will see an approximate increase in home prices of 3% per year. By 2014, prices will be back to where we are today!
Buy now! Sell now!
YOUR ASSIGNMENT
We are now at the beginning of the 2009 Spring market. There are many lovely and wonderfully priced homes coming on the market each week in all price points.
We would be happy to send you some listings if you are considering a move up, down or sideways! If you have questions about your particular situation, please feel free to contact us for a confidential assessment of what a move would look like for you financially.
(646) 734-9077
The State of the Market: Why Now is the Time to Buy
March 24th, 2009
While a recent real estate industry report indicated that home prices will continue to decline 1% per month, the good news is that January sales in the area increased 9% from the December level. That same report predicts that prices will begin to level off during the 2nd half of 2009. That’s why the savvy buyer should be out there looking at the opportunities now.
While it feels like a scary time to do anything that involves spending money, the reality is that with the mortgage rates so low (the average 30 year fixed rate loan is now at about 5.04%) and home prices now back to affordable levels, the time to buy is in fact now. Real estate remains the best investment.
Here is some national data that may interest you… (statistics according to the National Association of Realtors):
1970-1979 - real estate appreciated 142%
1980-1989 - 52% appreciation
1990-1999 - 45% appreciation
2000-2008 - 42% appreciation
Like every investment, there are ups and downs. Even if you buy now and it is not the exact bottom of where the prices will fall this year, the resulting appreciation in the years to come will clearly compensate. Where else can you earn these percentages on money that is primarily not yours AND get a tax deduction besides? Don’t miss this opportunity.
Homes under contract during the past month (since February 1, 2009):
Maplewood 22
Milburn 10
Montclair 25
South Orange 10
West Orange 15
YOUR ASSIGNMENT
We are now at the beginning of the 2009 Spring market. There are many lovely and wonderfully priced homes coming on the market each week in all price points.
We would be happy to send you some listings if you are considering a move up, down or sideways! If you have questions about your particular situation, please feel free to contact us for a confidential assessment of what a move would look like for you financially.
(646) 734-9077