James Gaudiosi with Wells Fargo just informed me that the first time home buyer tax credit is extended for military and certain other federal employees serving outside the U.S.  Myself and I would have to believe most Realtors were not aware of this stipulation in the tax credit legislation.  Please see below for the specifics.

Members of the U.S. military and certain other U.S. federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and qualify for the credit. Thus, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2011. If a binding contract is entered into by that date, the taxpayer has until June 30, 2011, to close on the purchase. Members of the uniformed services, members of the Foreign Service and employees of the intelligence community are eligible for this special rule. It applies to any individual (and, if married, the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010.

In many cases, the credit repayment (recapture) requirement is waived for members of the uniformed services, members of the Foreign Service and employees of the intelligence community. This relief applies where a home is sold or stops being the taxpayer’s principal residence after Dec. 31, 2008, in connection with government orders received by the individual (or the individual’s spouse) for qualified official extended duty service. The credit is still allowable even if this happens during the year of purchase. Qualified official extended duty is any period of extended duty while serving at a place of duty at least 50 miles away from the taxpayer’s principal residence (whether inside or outside the U.S.) or while residing under government orders in government quarters. Extended duty is defined as any period of duty pursuant to a call or order to such duty for a period in excess of 90 days or for an indefinite period.

If you know of anyone whom meets the above criteria and would appreciate the level of support provided by myself and the Bob Nelson Team, please give me a call or drop an e-mail.  I will be more than happy to help them out.

Join us for dinner at

The Old Brogue in Great Falls

Monday, March 29th

Seatings at 5:30 PM and 7:30 PM

Reservations Highly Recommended

(703) 759-3309

Approximately 90% of your dinner bill

will be matched and donated to this month’s charity.

Lift Me Up! Therapeutic Riding

Door Prize Drawings will be held

Also Ask About Our Buy a Vet Dinner Donations

Hosted by

The Bob Nelson Team

Previous Co-sponsors Include:

Bob Nelson

Knight Point Systems

Terry Nelson – Mercury LLC.

Kevin Shiner – Shiner Roofing and Siding

James Gaudiosi – Wells Fargo Home Mortgage

Danny Ott – Wells Fargo Home Mortgage

Chris Melnick – LSA Title Services

Gary Kaihara, DDS

The Old Brogue

Previous Door Prize Donors include:

Golds Gym

Dominion Title

Adeler Jewelers

Casa Noble Tequila

Elite Fitness Concepts

Campbell Mechanical

PF Chang’s Restaurant

Great Falls Design Build

Lodgecliffe Bed and Breakfast

As many of you have already heard, I have changed the name of our monthly events to Military Appreciation Mondays. This month’s event to be held on Monday January 25th at the Olde Brogue in Great Falls, Va. and will be supporting the group Thanks USA. This wonderful organization, the brainchild of two local teenagers provides college scholarship money for the children and spouses of our veterans with priority going to the families of those vets who have sustained injuries. Please come out and show your support.

As always, you need do nothing other than come out and enjoy dinner and a fun event. Myself and my co-sponsors will each be donating ten percent of your tab to Thanks USA. In addition, we will be selling door prize chances for a variety of items to include, but not limited to: jewelry from Adeler Jewelers, gift cards for PF Chang’s restaurant, gift baskets, a one year service contract for your heating and air conditioning system, etc.

We are again inviting several servicemen and women who have served in Iraq and Afghanistan. A minimum donation of $25 to Thanks USA, earns you privilege of buying dinner for one of our vets. If you would like to buy dinner for a vet, please e-mail or give me a quick call.

Whether you sign up to buy a vet dinner, purchase door prize entries, or simply come eat dinner your presence goes a long way towards helping raise funds for the organization and showing that we all respect and care about our veterans.

We are again doing two seatings (5:30 and 7:30) to accommodate the overwhelming response we have had to the last four events. Please be sure to make a reservation early since the Snuggery portion of the Old Brogue has filled up for both seatings in the past. Call the Brogue at (703) 759-3309 to do so. Invite your friends and let’s try to fill the entire restaurant this time around!! The only cost to you is your dinner.

If you know them, please be sure to thank my co-sponsors:

The Old Brogue

James Gaudiosi – Wells Fargo Home Mortgage

Kevin Shiner – Shiner Roofing and Siding

Danny Ott – Wells Fargo Home Mortgage

Chris Melnick – LSA Title Services

Gary Kaihara, DDS

and our door prize donors:

PF Chang’s Restaurant

Dominion Title

Adeler Jewelers

Campbell Mechanical

Elite Fitness Concepts

Golds Gym

Daily Real Estate News                                                                                                      November 23, 2009

Driven by the home buyer tax credit, existing-home sales showed another big gain in October with a strong uptrend established over the past seven months, according to the NATIONAL ASSOCIATION OF REALTORS®.   At the same time, inventories have continued to decline.

Existing-home sales – including single-family, townhomes, condos and co-ops – surged 10.1 percent to a seasonally adjusted annual rate of 6.10 million units in October from a downwardly revised pace of 5.54 million in Sept., and are 23.5 percent above the 4.94 million-unit level in Oct. 2008.  Sales activity is at the highest pace since Feb. 2007 when it hit 6.55 million.

Tax Credit Fuels Surge

Lawrence Yun, NAR chief economist, was surprised at the size of the gain. “Many buyers have been rushing to beat the deadline for the first-time buyer tax credit that was scheduled to expire at the end of this month, and similarly robust sales may be occurring in November,” he said.  “There is still a large pent-up demand that can be tapped before the tax credit expires. Our recent consumer survey further shows that 13 percent of successful first-time buyers had a previous contract that was canceled or fell through. There likely are many more buyers who were attempting to purchase but simply ran out of time,” Yun said. (Four of my current first time home buyers can personally attest to this!)

Historically low interest rates also are boosting the market. “Mortgage interest rates last month were the third lowest on record dating back to 1971,” Yun noted. According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 4.95 percent in Oct. from 5.06 percent in Sept.; the rate was 6.20 percent in Oct. 2008.  Last week, Freddie Mac reported the 30-year rate dropped to 4.83 percent.

Inventory Declines

NAR President Vicki Cox Golder said strong demand by first-time buyers is creating some unusual conditions. “In parts of the country, especially in Southwestern states but also in Florida and suburban Washington D.C., we’ve been getting many reports of multiple bids in the lower price ranges with foreclosed properties getting absorbed quickly,” she said.  “In fact, low-end inventory has become very tight in many areas and in some cases buyers are becoming more aggressive. In this kind of environment it’s important to work with a REALTOR® who can walk you through the process and help you negotiate a satisfactory deal,” Golder said.

Total housing inventory at the end of Oct. fell 3.7 percent to 3.57 million existing homes available for sale, which represents a 7.0-month supply at the current sales pace, down from an 8.0-month supply in Sept. Unsold inventory totals are 14.9 percent below a year ago.

“The supply of homes on the market is now at the lowest level in over two-and-a half years – we’re getting closer to a general balance between buyers and sellers,” Yun said. The last time the relative housing inventory was this low was in February 2007 when it also was at a 7.0-month supply. (Note: Some zip codes in Northern Virginia have been running as low as a 1.4 month supply! In a normal economy this would be considered a strong sellers’ market. That said, we are seeing prices being bid up by as much as 5-10 percent in those areas.)

“In the second half of 2010, if home values show consistent stabilization or even a modest increase, then home sales could remain at normal healthy levels because consumers would no longer be worried about a price over-correction,” Yun said.  He added that low home prices also are contributing to extremely favorable affordability conditions. “With the abnormal drop in home prices over the past few years, the price-to-income ratio has fallen below the historic trend line,” Yun said. “This is adding to the buying power of the typical family, with affordability conditions this year at the highest on record dating back to 1970, but prices are beginning to flatten and are poised to rise next year.”

Single-family home sales rose 9.7 percent to a seasonally adjusted annual rate of 5.33 million in Oct from a pace of 4.86 million in Sept, and are 21.4 percent above the 4.39 million-unit pace in Oct 2008. Existing condominium and co-op sales surged 13.2 percent to a seasonally adjusted annual rate of 770,000 units in Oct from 680,000 in Sep, and are 40.8 percent above the 547,000-unit level a year ago.

I have recently teamed up with Our Military Kids and Operation Second Chance in an attempt to bring some holiday cheer to our injured service members and their families.  We’ve compiled a Christmas Gift Wish List for the families of our brave veterans.  I’m hoping everyone will check out this list and consider purchasing one item, serving as Santa for an individual child or even sponsoring an entire family.  The latter is a great option for a small company or office to consider.
The list below will be posted until Christmas and will be updated over the next few weeks.  Give me a call or drop me an e-mail (santa@bobnelsonteam.com) to let me know how you would like to brighten a family’s Christmas day.  Once you have done so, we will give you the full contact info for the family to allow you to send your gift(s) directly to them.  I would also encourage you to click on the links above and visit the two websites to learn more about these wonderful grassroots organizations.

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

Fulkerson Family

• 18 yr old boy: laptop computer for his school work and for college next year

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)

Weissmiller Family

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

Williams Family

• 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)

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

Jensen Family

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

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

• 13 yr old boy: ripstick skateboard

Existing-home sales bounced back strongly in September with first-time buyers driving much of the activity, marking five gains in the past six months, according to the National Association of REALTORS®.

Existing-home sales—including single-family, townhomes, condominiums, and co-ops—jumped 9.4 percent to a seasonally adjusted annual rate of 5.57 million units in September from a level of 5.10 million in August, and are 9.2 percent higher than the 5.10 million-unit pace in September 2008. Sales activity is at the highest level in more than two years, since it hit 5.73 million in July 2007.

Lawrence Yun, NAR chief economist, said favorable conditions matched with a tax credit are boosting home sales. “Much of the momentum is from people responding to the first-time buyer tax credit, which is freeing many sellers to make a trade and buy another home,” he said. “We are hopeful the tax credit will be extended and possibly expanded to more buyers, at least through the middle of next year, because the rising sales momentum needs to continue for a few additional quarters until we reach a point of a self-sustaining recovery.”

Even with the improvement, Yun said the market is underperforming. “Despite spectacular gains in the stock market, principally from the financial sector recovery, most of the 75 million home-owning families have more wealth tied to their homes. Home values could soon turn consistently positive and help the broad base of middle-class families, but we are not there yet,” he said.

Conditions for First-Time Buyers
Early information from a large annual consumer study to be released on Nov. 13, the 2009 National Association of REALTORS® Profile of Home Buyers and Sellers,shows that first-time home buyers accounted for more than 45 percent of home sales during the past year. A separate practitioner survey shows that distressed homes accounted for 29 percent of transactions in September.

NAR President Charles McMillan said affordability conditions remain historically high. “Potential first-time buyers can take heart in that affordability conditions this year are the highest on record dating back to 1970, but with the first-time buyer tax credit scheduled to expire at the end of next month, people could hold back from entering the market,” he said. “Our read is that housing overshot on the downside because homes are selling for less than replacement construction costs in much of the country, and the home price-to-income ratio has fallen below the historical average.”

Inventory Falls
Total housing inventory at the end of September fell 7.5 percent to 3.63 million existing homes available for sale, which represents an 7.8-month supply at the current sales pace, down from an 9.3-month supply in August. Unsold inventory totals are 15.0 percent below a year ago.

“The current housing supply is the lowest we’ve seen in two and a half years,” Yun said. “If we could continue to absorb inventory at this pace, home prices would return to normal, modest appreciation patterns next year.”

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 5.06 percent in September from 5.19 percent in August; the rate was 6.04 percent in September 2008.

Home Sales Breakdown
The national median existing-home price for all housing types was $174,900 in September, which is 8.5 percent lower than September 2008. Distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes in the same area.

Single-family home sales rose 9.4 percent to a seasonally adjusted annual rate of 4.89 million in September from a pace of 4.47 million in August, and are 7.7 percent above the 4.54 million-unit level in September 2008. The median existing single-family home price was $174,900 in September, which is 8.1 percent below a year ago.

Existing condominium and co-op sales jumped 9.7 percent to a seasonally adjusted annual rate of 680,000 units in September from 620,000 in August, and are 9.7 percent above the 561,000-unit pace a year ago. The median existing condo price was $175,100 in September, down 11.7 percent from September 2008.

Here’s the region-by-region picture:

• Northeast: Existing-home sales increased 4.4 percent to an annual level of 950,000 in September, and are 11.8 percent higher than September 2008. The median price was $234,700, down 7.0 percent from a year ago.
• Midwest: Existing-home sales jumped 9.6 percent in September to a pace of 1.25 million and are 7.8 percent above a year ago. The median price was $147,600, which is 1.0 percent below September 2008.
• South: Existing-home sales rose 9.0 percent to an annual level of 2.06 million in September and are 10.8 percent higher than September 2008. The median price was $153,500, down 7.6 percent from a year ago.
• West: Existing-home sales surged 13.0 percent to an annual rate of 1.30 million in September and are 5.7 percent above a year ago. The median price in the West was $219,000, which is 15.0 percent below September 2008.

Wow, has this been an awful lot of fun. Robert and Reagan just continue to grow and become more enchanting with each passing day. I had an opportunity to spend about two hours with them last Sunday, both before and after the open house at their home. The most gratifying part of the whole interaction was to see their faces light up when I came into the room. They are just so happy to see me, and of course I just crack up laughing whenever they smile.  And oh, watch out when they laugh.  The hardest part is trying to equitably divide my time between them.

I can only imagine how Marie and Bob feel when either Nancy or I show up. Well, it is our job to spoil them isn’t it. We just get them all excited and wound up, and then leave up to their parents to settle them back down. Not only am I proud of the wonderful babies, but I am so excited to see how happily Bob and Marie are dealing with parenthood.

Attached are several photos of the babies. As you can see, Reagan is now sitting up all by herself. Robert tends to need a bit of support, but that will likely only be for another few days. I hope you enjoy the photos.

The Great Falls Optimists will be hosting the 25th Annual Spring Festival this Sunday (May 17th) from 11:30 – 4:00 in the Great Falls Village Center.  The event includes the children’s treasure hunt, an adult treasure chest, moon bounces, and much much more.  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.