I am currently down at Keller Williams International’s annual Family Reunion conference in Orlando, Fl.  I finished up talking with someone who has encouraged me to get back into the habit of blogging.  As the subject line denotes, I will start with the current level of activity for the Great Falls Market.

Whenever doing a search for homes in Great Falls, it is extremely important to differentiate between that part of Great Falls located in Fairfax County and that in Loudoun County.  While both in the 22066 zip code, the difference in price is typically at least $200,000 – $300,000 with the Fairfax side of the border costing more.  For the purposes of this particular entry, I will be focused on the Fairfax side.

A quick run of homes on the market will bring up a total of 112 listings.  Of this number, 10 are rentals ranging in price between $2,800 to $6,800.  Since my primary purpose here is to discuss sales, I will eliminate these from the total number of homes.  This in turn puts us a 102 active listings which will need further refinement.  I normally subtract those listings that are “to be built” homes.   My objective here is to determine how many properties are currently available for sale and are ready to move in.  A total of 24 listings show up as “to be built”.  One more property is really nothing more than a land listing.  The to be built properties range in price from $833,714 on a 1.2 acre lot on Thomas Ave. to my listing at 119 Clarks Run Rd. which is priced at $3.95 million and will be built on an 8.9 acre property.

Now with these 25 listing removed, we end up with a total of 77 homes actually move in ready.  Twenty-three of these properties are priced under $1.0 million.  Twenty-four between $1.0 – $1.5 million.  Ten between $1.5  – $2.0 million.  The remaining homes range in price from $2.199,888 (not too sure why) to an incredible home on Innsbruck priced at $8.75 million.  My whole purpose behind providing this is to show the real diversity of homes and price points available in the Great Falls market.

During the last 30 days, a total of 20 homes sold in Great Falls ranging in price from $440,000 – $3.650 million.  As of today, there are a total of 25 homes under contract ranging in price from $425,000 to $4.5 million.  With 77 homes available and 20 sold during the past month, that puts our Great Falls inventory at slightly under four months.  In normal times, anything under a four month inventory would be termed a sellers’ market!

Five Reasons You Should Sell Your House TODAY!

Selling your house in today’s market can be extremely difficult.  It is for that reason that every seller should take advantage of each and every opportunity that appears.  Each fall, such an opportunity presents itself.  This fall, that opportunity may be just too good to pass up.

Below are five reasons you should consider pricing your house to sell in the next 90 days.  Meet with your real estate agent and mortgage professional today and see whether it is the right move for you and your family.

1. Entering this time of year, the buyers are more serious.

We all realize that buyers are not quick to pull the trigger on the purchase of a home today.  There is no sense of urgency with the supply of eligible properties at all time highs.  However, at this time of year, the ‘lookers’ are at the stores doing their holiday shopping.  The home buyers left in the market are serious and are more apt to make a purchasing decision.  Less showings – but to more motivated purchasers.

2. If you are moving up, you can save thousands.

The Chicago Tribune stated in an article last week that sellers who want to ‘trade up’ should act now:

It could be a bigger house, different neighborhood or a better school district, but it comes with a higher price tag. Do the math; this might be the right time.

A home that was once worth $300,000 may now be worth $240,000 in a market where prices have fallen 20 percent.  Wow, you think, the seller is taking a bath.  But that seller may also be a prospective buyer who wants a house that once was valued at $400,000. With an equivalent market drop and a realistic listing price, that house may now sell for $320,000.  So, in effect, the person is losing $60,000 on the sale of one home but coming out ahead $20,000 on the purchase of another.

Keep in mind the spread may be even greater.  There’s a smaller pool of potential buyers for more expensive homes, so sellers may be more willing to cut their price to get a deal done.

3. Interest rates just fell again – to 4.19%.

Professor Karl E. Case, the founder of the Case Shiller Pricing Index in an article in the New York Times last month actually did the math for us:

Four years ago, the monthly payment on a $300,000 house with 20 percent down and a mortgage rate of about 6.6 percent was $1,533. Today that $300,000 house would sell for $213,000 and a 30-year fixed-rate mortgage with 20 percent down would carry a rate of about 4.2 percent and a monthly payment of $833 … housing has perhaps never been a better bargain.

4. You beat the rush of inventory that is coming next year.

Every year there is an increase of inventory which comes to market from January through April as homeowners put their houses up for sale in preparation for the spring market. As an example, here is the number of listings available for sale in each of those months in 2010.

-  January – 3,277,000

-  February – 3,531,000

-  March – 3,626,000

-  April – 4,029,000

You won’t have to worry about this increasing competition if you sell now.

5. You have less ‘discounted’ inventory with which to compete.

This year, sellers of non-distressed properties have been given an early holiday present. With banks declaring a suspension on the sale of many distressed properties (foreclosures), there has been a large supply of discounted properties removed from competition.  No one knows how long this self imposed moratorium will last.  However, while it does, every homeowner has a better chance of selling their property.

Bottom Line

If you are looking to sell in the near future, there may not be a more opportune time than this fall. Serious buyers, great move-up deals and less competition from foreclosures creates the perfect selling situation. Don’t miss it!

As I have been saying (and writing about) during the past two years, our local real estate market will likely be the first to return to normalcy.  This is based on the fact that our local economy continues to be a fairly strong once.  A recent Washington Post Article entitled, “In Throes of Recession, D.C. Stands Apart”.  I have also been warning that we may well see a spike up in prices for both first time home buyers and move up buyers.  This due to what I believe will be a severe lack of new homes coming into the local inventory.  Many first time buyers have been looking at foreclosures as a means of getting into the market.  This is beginning to wane as those opportunities become less and less.  While the number of foreclosures currently at 179 for Fairfax County may seem high, a total of  225 sold in October alone in 2009 compared to only 113 for September 2010.  If you or someone you know is contemplating a purchase in the near term, I would suggest they consider doing so during the next three to four months.  I fully believe that once our spring market kicks in, we may well see a spike in prices as the inventory gets eaten up quickly.  This has already begun to happen with homes located inside the beltway in Virginia with homes receiving multiple offers and in some cases offers that include escalation addenda.   We also have record level interest rates for 30 fixed mortgages.

The real estate market in Great Falls, Virginia has seen a strong upsurge in sales during the second third of 2010.  During the first four months of 2010, 42 homes sold with a price range of $525,000 – $2.805 million.  Of these, 17 were priced under $1 million, 9 priced between $1.0 – 1.25 million, 13 between $1.25 – $2.0 m and three over $2 million.

During the second four months, a total of 101 homes an increase of almost 2.5 times the first four month.  These had a price range of between $594,900 – $6.5 million.  Of these, 43 were priced under $1 million, 18 $1.0 – $1.25 million, 34 between $1.25 – $2.0 million and six over $2 million.  In addition, another 48 homes are currently under contract.  Of these second four month sales, I have had a total of  $5.3 million either sold or under contract at this writing.

Thank you so much to those who have stepped up to brighten Christmas for the children of our injured servicemen.  Twelve of the sixteen families on the list have been fully accounted for with 25 of the 33 kids ready to have a wonderful Christmas morning.  Nancy and I ran out on Friday to do our shopping for the Helmuth kids.  We simply couldn’t resist the urge to buy “any toy that makes noise” for the one year old girl.  It was a great deal of fun picking out toys we thought the twins would enjoy.  We also had to learn all about transformers for four year old Nathaniel!!

If you are still considering showing your appreciation to our vets, please take a look at the remaining names below.  Once you let me know who you would like to purchase a gift for, drop an e-mail to Santa@BobNelsonTeam.com.  We will then give you the address and contact info for the family.  Feel free to visit the websites for Our Military Kids, Operation Second Chance, Thanks USA, the Semper Fi Fund and the Yellow Ribbon Fund if you’d like to show your support to these wonderful grassroots organizations.

Kids Still in Need of Gifts

Weissmiller Family (Adopted by the Moran and Vamvakias families – Thank you Mary and Don)

• 12 yr old girl: in-line skates (size 6-7)
• 7 yr old girl: roller skates (size 1)

Jensen Family (Adopted by the Grimes family – Thank you James and Susan)

• ·         13 yr old girl: Ipod Touch
• ·         9 yr old girl: Wii gaming system
• ·         6 yr old girl: Littlest Pet Shop toy house

Fulkerson Family

• 18 yr old boy: laptop computer for his school work and for college next year  (A  big thanks to Shiner Roofing and Siding for offering to purchase the laptop.  Again my thanks Kevin.)
• (A short note about this one.  It seems that the Fulkerson boy is a senior in high school.  He had come home from school and accidentally left his car door unlocked.  Someone actually stole the laptop out of the car from the son of an injured vet.  I realize this is a large item to be requesting.  I’m imagine he would be happy to receive a good condition laptop if nothing else.)

Thank You to Those Who Have Agreed to Purchase Gifts for the Families Below

Bellis Family (Adopted by the Hoernig family – Thank you Laura and Family)

• 14 yr old girl:  electric guitar, JC Penney’s gift card
• 11 yr old boy: football, Tennessee Titans merchandise, JC Penney’s gift card
• 6 yr old girl: Barbie doll, furreal electronic dog, JC Penney’s gift card

Broesch Family (Adopted by the Heil family – Thanks Tim)

• 15 yr old girl: art supplies (paint brushes, charcoal pencils), iTunes gift card
• 7 yr old girl: books, craft supplies, a Barbie doll

Brown Family (Adopted by Knight Point Systems – Thank you Lindsey)

• 7 yr old boy: Xbox 360
  
• 1 yr old girl: Disney princess toys/merchandise

Christiansen Family (Adopted by the Christianson family- Thank you Vickie and Family)

• 9 yr old girl: Girl Gourmet Cake Bakery
• 4 yr old girl: Girl Gourmet Cupcake Maker

Deen Family (Adopted by the Matthews family and Collingswood Nursing Home – Thank you Catherine)

• 16 yr old girl: iPod
• 15 yr old boy: video games
• 14 yr old boy: video games
• 9 yr old boy: board games
• 3 yr old girl: educational toys teaching the alphabet and numbers

Helmuth Family (I can’t resist.  Adopted by the Nelson Family. 

• 3 yr old boy: Transformers, action figures, books
• 1 yr old girl: any toy that makes noise!  (I love this one)

Loper Family (Adopted by the Borland Family – Thank you Dodie and family)

• 12 yr old girl: digital camera
• 11 yr old boy: remote controlled cars
• 10 yr old boy: nintendo dsi
• 7 yr old girl: American Girls doll

Sherrill Family (Adopted by the Copito family – Thank you Debbie and family)

• 14 yr old boy: new sports bag (for carrying sports equipment to practice)
• 11 yr old boy: new sports bag (for carrying sports equipment to practice)

Hall Family (Thundercat Technology)

• 8 yr old boy: gameboy

Holsey Family (Adopted by the Grossmans.  Thank you Jackie!)

• 15 yr old boy: gift cards to Footlocker and Macy’s

Pointer Family (Adopted by the Heil family – Thanks Tim)

• 13 yr old boy: ripstick skateboard

Williams Family  (Adopted by the Smiths – Thanks Laura and Gene)

• 14 yr old girl: gift cards to Barnes & Noble or AMC Theaters

• 6 yr old girl: Barbie doll, clothes (pants size 6x, shirts size 7)

According to data from the National Association of Realtors, pending home sales were up 3.7 percent in October, compared to September, and up 32 percent when compared to October 2008.  This was the biggest annual increase in history.  Keep in mind that October 2008 was a historic low so we should not be surprised by the huge increase.

Pending home sales — which equates to the number of contracts signed but have yet to close — rose in all sections of the country except the West.  They were up 20 percent in the Northeast, 11.6 percent in the Midwest and 5.4 percent in the South, but down 11.2 percent in the West.

Part of the surge is probably attributable to buyers rushing to take advantage of the government-subsidized first-time home buyer’s credit, which was set to expire at the end of November but now has been extended through April.  Also, the bulk of sales still are coming from cheaper houses, with little movement in houses costing more than $250,000.

     First-time homebuyers continue to drive the real estate market to the benefit of trade-up or repeat buyers. As discussed earlier, this increased activity appears to be a direct response to the $8,000 first-time buyer tax credit. In April, first-time buyers accounted for 40% of all home sales and the trend is expected to spur more activity in the coming months. According the Lawrence Yun, NAR chief economist, “Since first-time buyers must finalize their purchase by November 30, 2009, to get the credit, we expect greater activity in the months aheead, and that should spark more sales by repeat buyers.”
A recent change this month allows qualified first-time home buyers to use the tax credit to help pay closing costs on FHA loans, to buy down the interest rate or make a larger down payment.
Existing home sales rose for the third straight month, building on gains in the previous two months. More repeat home buyers are entering the market indicating rising confidence in the market conditions. Home prices edged up 0.2% over the previous month, adding increasing signs for market stabilization. In spite of this, home prices are still lower than the same time a year ago. Foreclosures and short sales, which accounted for 45% of April sales, continue to skew the median price downword, as these properties are sold at a larger discount in comparison to traditional sales. Distressed sales, however, are helping the makret trim off considerable stock of unsold homes in areas with large inventory overhangs. There are currently on 183 foreclosures on the market in Fairfax County, down considerable from previous months.
THIS MONTH IN REAL ESTATE VIDEO

I encourage anyone with a little vision to come on by my open house this Sunday, April 26th from 1:00 – 4:00 to take a look at my listing located at 807 Clear Spring Rd. in Great Falls.  Simply click on the link to see additional details about this fabulous opportunity.

Hope to see you there!

My current listing at 807 Clear Spring Rd. offers an fabulous opportunity to purchase a home with over 6,000 square feet of living space on two levels.  Sit on the front porch and enjoy the idyllic setting proved by the nearly 3.2 acres of land.  Break out your best mint julep recipe to watch the world go by out front while the kids play in the Keebler Elf style treehouse situated in the backyard play area.   I don’t know it for fact, but several neighbors have said the Mother Teresa occasionally strolled the property’s trails that wandered through the trees out back.  You may be able to feel her presence when viewing the “Peace Pole” that stands next to the treehouse.

Inside, the home boasts six bedrooms, five full bathrooms and two half baths.  The top quality gourmet kitchen was remodeled by the current owners and includes all new cabinets, appliances and much more.  The living room, dining room, and cozy family room make for a perfect flow for all your parties.  The maid’s quarters/Au-pair suite with private entrance is situated adjacent to the kitchen.  The remainder of the main level includes four bedrooms and three full baths.

The entire lower level (except for two closets) was also fully remodeled by the current owners.  Your guests will love the two room in-law suite which includes large closets, access to a private patio and a totally remodeled bathroom with steam shower.   Who could ask for more?  Also found on the walk-out lower level is an abundance of space for a home theater.

In this day of some Realtors willing to do anything for that next sale, I have to relate a funny story.  As all my clients know, I approach each and every one of them as someone who will help my business in the long run.  No Realtor is going to make their business on one sale.  On the other hand, they can certainly ruin their reputation by pressing forward a sale that would be detrimental to a client.

Two weeks ago I had the great pleasure of meeting Gene and Laura Smith during an Open House at my listing at 807 Clear Spring Rd. in Great Falls.  I believed we had made a special connection and immediately realized that these were two people with whom I could be long term friends.  While the Clear Spring property was not quite what they were looking for, we did run out and take a look at a number properties over the next several days.  We actually found the perfect home for them in Reston on that Wednesday, put an offer in on Thursday and had a ratified contract the following Sunday.

Needless to say, Gene and Laura were thrilled with the home, but were also a bit reluctant to trust this new guy they had just met.  When it came time to do the home inspection, I told them I had the perfect inspector in Steve Messerschmidt with Home Pro Services.  Although Laura was comfortable with me at the time, she did ask if they could select the inspector.  This of course is their perogative, but I truly believed there wasn’t a better inspector for them in Northern Virginia.  Laura went ahead and contacted thier contractor friend, Taylor Smith (no relation), for suggestions on who they should use.  Taylor apparently strongly endorsed Home Pro Services.  Laura then called Home Pro and asked for their most experienced inspector with a knowledge of Deck Homes.  One guess who they recommended.  Steve did his typical 4 hour inspection and uncovered a few items that I am certain noone else would have even considered looking at.  My thanks to Steve for a job well done in support of these wonderful folks.