Feds Cut Key Interest Rate

Here’s a little clip with some more information on the federal rate cut..

170 Brownsfell Dr For Sale In Columbus Ohio

Here’s a new listing that I thought people might want to take a look at, 170 Brownsfell Dr. Columbus Ohio 43235

Unbelievable value for the neighborhood.Former model home.Large deck that overlooks wooded area .All bedrooms over sized,fireplace,fresh paint,new floors,lease option available..

Still curious? Check out the “Our Properties” section over at http://www.realtyohio.com

Dan Glenn’s Take On The Columbus Housing Market #2

Dan Glenn’s Take On The Columbus Housing Market

Alternate Energy

Going green has been the talk of late. TV shows to radio stations have been buzzing with discussion of how to save our planet. Wind farms, solar energy, and ocean turbines have all been researched but how does the normal consumer benefit? What really produces the results needed to not only save the earth, but save us money?

On the west coast there’s been a major push by local legislatures to go green. Besides goverment tax incentives, states are also offering money back to anyone who invests in going green.

Here’s a great article from The Columbus Dispatch talking about a small community in central Oregon named Three Rivers. It’s a subdivision with large upscale homes, but there’s one differenece. You won’t see a power line or a light post. The entire community has agreed to stay off of city power and produce their own electrical needs through solar and wind power. The article is not only informational but also interesting. Seeing what other parts of the country are doing it might actually give us Ohioians some neat ideas.

Living Off The Grid: Soaking Up The Sun

LAKE BILLY CHINOOK, Ore. — Before power lines, homesteaders had no choice. They lit their lanterns, stoked their fires and packed away winter ice against sizzling summers.

Owners of about 250 homes in the Three Rivers community near this central Oregon lake are far from homesteading or camping out. But they are among a growing number of Americans who shun power lines, choosing to live “off the grid,” without commercial power.

Everyone in Three Rivers gets most of their power from dark solar panels on their rooftops or on nearby freestanding structures positioned to more efficiently capture the sun. Some supplement it with energy generated by windmills.

Solar power easily handles their computers, lights, large-screen televisions, microwave ovens, refrigerator-freezers and more.

“Ninety percent of the people here, if (outside) power were offered to them, they’d turn it down,” said Gary Sweet, a semi-retired insurance agent who moved to the high desert community a couple of years ago.

Off-the-grid living is edging into the American mainstream. It isn’t there yet, but about 180,000 homes, mostly in the West, operate on it.

National demand is soaring but has yet to be felt by the power industry, said Jim Owen of the Edison Energy Institute in Washington, D.C. In the short term, “I can’t imagine any appreciable impact on the system.”

Nonetheless, the number of people going off the grid increases by about a third each year, said Richard Perez, who publishes Home Power magazine, dedicated to the topic, and Lori Ryker, who has written two books on the subject.

Much of the growth is in California. Off-the-grid living also is growing in Texas, New Jersey and Wisconsin.

“It pretty much tracks where the best rebates are” for the cost of the equipment, said Connie Said of Home Power. She said 80 percent of the magazine’s subscribers are in California.

It’s occurring mostly in the West because of people moving into remote areas that are beyond the reach of commercial power, because of ample sun and environmental conscientiousness, and possibly because of Westerners’ traditional independent streak.

Residents in the decidedly upscale, gated Three Rivers community easily could afford the $300,000 the power company said it would cost to extend its lines 3 miles to their property 10 years ago. But they’ve decided to stay off the grid.

“With power lines come streetlights, and there go your stars at night,” said Gary Sweet. “And there are no power outages here.”

Off-the-grid residents have a guaranteed power supply at a time when the emphasis on “clean” energy is on the rise. Solar energy uses no resources to speak of, emits no pollution and is immune to energy-price increases.

Still, living off the grid isn’t cheap.

Getting a “Deal”

A lot of news, it seems, is focused on foreclosure-this, and housing-problems-this lately.

Granted, sales are off, and new home starts are down as a whole.  The rate of foreclosure in Ohio is high compared to some other areas.

 To the typical consumer, this may cause concern.  And certainly, it IS concerning when these types of statistics aren’t favorable.

However, for the most savvy consumer, these types of statistics signal something different.  They see opportunities from adversity.  The savvy consumer knows that this is the time when the ever-elusive “deal” can be found.

 Don’t get me wrong, even in the strongest of markets, there are deals to be found.  But in a market like we have right now, with inventories up and sales down (even though they are only down slightly in Columbus)… the ability to find the “deal” is a bit easier.

Caution though.  Not EVERY foreclosure home, HUD home, or similar type situation is a good deal.  It DOES make a difference what agent/brokerage you use when evaluating these potential diamonds-in-the-rough.  It also makes a difference what type of loan product you utilize, what home inspector, and what other forms of due diligence you perform.

Careful consideration must be paid to current trends, potential pitfalls, and property conditions.  Not all loan products will work for all properties.  For example, a traditional FHA loan will not work with a property that needs work prior to it being lived in.  FHA has a different product, called a 203k loan, that is more suited to this type of owner-occupied acquisition.

And, as with anything else when an opportunity presents itself, there will be plenty of others who will be on the lookout for those same diamond in the rough properties.  So it is imperative that savvy consumers be prepared to move quickly once they find a property that fits the criteria of a “good deal”.

June 2007 Home Sales

 If you hadn’t seen this little statistic, I thought it might be interesting to post about. The numbers for June’s home sales are out, and well they are down, but not as bad as some of the areas around the nation.

Light, Light, Light…

Natural light in a home can play a major role with the feeling of the house . If a house is too dark, it can feel like a dungeon. If a home is too bright it can be overwhelming. Getting the right amount of light to enhance your quality of life is something to strive for. You should think about sky lights, more windows, anything to help brighten a room and make it feel comfortable to you.

Here’s a great article by CNN. It has some interesting things to think about, and most importantly some pictures to look at…

Let There Be Light

Interest rates aren’t everything…

Well… when I hear some people bragging about how low their interest rate is on a loan, I always want to ask them “Can I see your closing statement?”

If current market rate is around 6.250% on a 30 years mortgage and you are getting 5.750% for the same loan, “you’ve paid too much”.

There is no free lunch unless you’ve stopped by your mama’s house. But your mama doesn’t offer mortgage loans…

When you shop for a loan, first look at your rate, then at your closing cost.

Let’s compare two loans: one at 6.250% with no points and one at 5.750% with 2 points (rule of thumb: 4 point = 1.000% rate reduction, 1 point = 0.250% rate reduction; 1 point = 1% of the loan amount).

It’s a $150,000 loan. You paid appr. $2,500 in closing cost and got 6.250%. Your payment is $923.57/mo. Or you can get 5.750% and pay $5,500 for it ($2,500 plus 2 point/$3,000). Your payment is $875.35; you just saved yourself $48.22 per month. And you paid $3,000 for it. What does it mean? It means that you will not see any savings in the first 5 years and 2 months living in the house. Why? Take $3,000 and divide it by $48.22, you’ll get 62.2 months. That’s how long it’ll take to recover this “investment”.

Statistics tells us that average American family stays in one house from 5 to 7 years. People move for different reasons: bigger family, smaller family, work transfers, etc. When I bought my first house I thought I’ll stay there forever. But 4 years later I found myself in a new home. If you are like me, you just lost money (as I did, but to my defense I wasn’t a loan officer back then).

Now imagine that you didn’t give away $3,000 to the bank but added it to your down payment instead. Each thousand reduces your monthly payment approximately $6.

So you would save additional $18 per month and if you decided to move in the next 4 to 5 years you’ll get your $3,000 back as equity in your home. Correct me if I’m wrong but I think this is a better way to invest money in real estate.

Interest rates aren’t everything…

Connected

This seems as if it’s going to be the first post on here so I thought I might submit an article that is as broad a topic as any. Technology.

I have loved technology for a long time, beginning my life in computers with the old commodore 64 machines (anyone else remember those?). Real estate is an industry in which keeping up to date, keeps you in the game. Technology has had such a profound effect on our day-to-day lives it’s amazing. So here’s something I have found very useful in my pursuit of integrating technology into my real estate career.

The smart phone:

This can be annoying or a great asset depending on how you look at it, but there is no denying that this tool is a necissity in the real estate business. For example I was in Chicago all wednesday but I obviously still had clients and things to take care of. Instead of logging on to my email and taking care of problems, I spent a significant amount of time contacting clients and other agents via email from my phone.

The smart phone can also be bad in that your never really done with work. I get emails at 3am, and yes I can still hear the beep of a new message. But I love my phone none the less. Here are a few things you might have not though of, but might be interested in.

1. Google email/calendar sync. You have the ability to sync your email, and calendar with the online services Google provides. I use a produced called goosync that connects my phone to my online production tools.
2. I also use Google maps. I do know Columbus pretty well, but yes there are even times that us agents get lost and need a bit of help. Well download the mobile version of Google maps and you won’t ever be lost again. Add GPS (if your phone supports it) and you have instant data on where you actually are (great for all of us men out there who don’t want to admit we are lost).

So there are a few thoughts for the day. You never know what new and interesting services you might find out there, but being productive is what it’s all about and the smart phone definitely helps.