About Queen Annes County, MD

Termites cause an estimated $5 billion in property damage a year in the United States, according to the National Pest Management Foundation. Yet, many homeowners know very little about the danger that termites pose to their property. "You don't usually notice them until the damage is extensive. Termites may take up residence in a home for years-even decades- eating away at the structure from the inside out until the damage shows itself- hence the unsettling nickname "silent destroyers", says entomologist Ron Harrison, technical director for Orkin, Inc.

So how can you protect your investment from these crawly insects? Harrison offers these preventative measures:

* Keep moisture out. Use downspouts and gutters to divert water away from your home's foundation

* Store mulch, firewood, and wood chips away from home.

* Make sure shrubs, vines, and other plants aren't planted too close to the home and aren't covering vents

* Ventilate crawl spaces to reduce humidity

* Eliminate gaps and cracks in attic vents, window joints, and roof eaves.

* Remove old tree stumps and roots near home.

However, a home owner's best defense is to schedule regular inspections with a termite specialist.

The U.S. Department of Housing and Urban Development's web site provides information by state about areas most prone to termite damage. Go to www.hud.gov and search for "Termite Infestation Probability Zones".

Is FEAR keeping you on the fence about buying a home? Realtors hope a stimulus offer from Uncle Sam will help you make the move. But, as I talk to other agents it seems they're starting to notice an increased interest.

What is holding people back?
A big fear. Fear of losing their jobs, fear of the economy in general, fear of what's going on.

FEAR Is the perfect emotion!
Politicians use it all the time. In fact, I have seen special interest groups use it to the "max" to invoke a fear reaction to get an exaggerated response. I am not saying the government is using fear to prevent people from buying homes, but I am saying fear can move mountains.

Is the government helping the housing industry?
Yes, I think now, they are trying to stimulate sales for the first time homebuyer. But, it can be so confusing and people who bought before Jan. 1, 2009 are sounding off as being resentful. But they really shouldn't, because if the stimulus wasn't in place at all, their home values could possibly be falling even further. The $8000 credit helps stabilize the home values.

So who actually qualifies for the $8,000 tax credit?
The government is giving first time home buyers or people who haven't owned a home in three years, $8,000 if they buy between January 1 and December 1 of 2009. It certainly does give hope for what's happening in the housing market. It really would have helped if it would have applied to all home buyers.

Here's how the tax credit works:
1) The home you buy has to be your primary residence, it can't be a second home
2) It pays $8,000 or 10% of the purchase price, whatever is lower. If you buy a $65,000 home, you'd get $6,500.
3) The credit pays less if you are a single buyer who makes $75,000 or married buyers who make $150,000 or more.
4) You don't have to pay it back if you live there for three years or more.

Did you know you can amend this year's taxes?
If you already did your taxes and let's say you bought the home today you can go back and file an amended tax return and get the money now.

Example please..
If you owe $3,000 and buy a house, you'd get $5,000 back. If you buy a house and owe nothing on your taxes, you'd get the full amount of money.

No Down payment credit
Can't be used as a down payment because you can't get it at the closing table but you certainly can get it very soon after purchasing the home.

This is the time to buy, with historically low interest rates.

*Building Your Own, Pre-fab and Mobile Homes
If you're going with a pre-fab, or Design home type of purchase, builders say to qualify, you have to be living in the home by December 1, 2009. Mobile homes have to be on a piece of property, not in a park. If you want to build a home, you can get the tax credit, but you have to close on the sale of the home with your contractor by December 1, 2009. If you own land and are acting as a general contractor, I believe you have to be living in the home by Dec. 1, 2009. *

*Check with your accountant and state laws for building your own,to get the credit.

Guess what? I became a licensed real estate broker!! After several months and lots of expense, I have officially passed the Maryland and National broker test, said good bye to my former broker, opened up my escrow trust account, transferred my membership with the appropriate agencies, ordered my signs, stationary, cards and still have more to do. So, don't go looking for my website just yet, I am still working on that. Here's my other blog.

Why Did I Decide to Become a Broker? I love the independence, I love being my own boss, the challenge, I love keeping my own pace, making my own decisions and most of all I get to keep all of my commission. I realize there will be times, when I will have to stay in touch with my attorney for guidance, and there will be issues that will be complex. But we have a cornucopia of resources to turn to and my online friends at ActiveRain are incredibly knowledgeable. Thanks Guys.

What Was I Thinking? People say I am brave to make a change in this market and others seem to tilt their head and give me that, "Are you kidding look?" I think what people don't know about me, is where I have been, what I have mastered and accomplished and what I am made of.

The Making of a Broker Today It does take confidence, stability, conscientiousness and strong work ethics to become your own broker and boss. In fact, most entrepreneurs are very hard on themselves, work harder and longer hours and thrive in seeking new ventures.

Business Experience? I have had my own business in the past; so I do have some knowledge and experience of what it is like swimming in the big sea as a goldfish amongst sharks, jellyfish, thieves and crooks. We are in volatile times, and my theory is, if I make it as a broker and can still be standing five years from now- I will have beat the odds!!

Do You Plan to Hire Agents? Ahhhh, I have seen how other brokerages are set up and I am not keen on the responsibilities and risks involved when agencies have many agents. So, for now I am staying small, I really don't want to take the risks. Although, I am recruiting a couple of my family members to acquire their RE license, so I can offer dual agency. Besides, there are so many benefits to being your own broker, even if it's for your own personal real estate investments.

Where's Your Office? For now, I have renovated a room in my house as my office in Queenstown, Md. I have a temporary sign designating my agency and can't wait to see the sandblasted sign I am having made. One day, I will move my office to a commercial location, but there are advantages to working at home. And who knows, since the big change in real estate transferred over to the internet, most customers and clients hardly ever go into a real estate office. Everything is done online and I am very comfortable and tech savvy. But, just in case, I will have a satellite office if I need to meet clients for whatever reason.

Well, gotta go, I have a settlement in ten days and I am busy working with my buyers on the eastern shore and across the Bay Bridge. Please pass on any comments, suggestions, lessons to be learned and anything else.

Now that we have the first quarter statistics for the Stevensville, MD market, let's look at some of the revealing and not so revealing numbers.

A total of 8 homes have sold in the Stevensville area. It has taken anywhere between 4 - 6 months to sell. The average price is a number that can be greatly skewed by the sale of a $1 million dollar home, so we'll leave that statistic alone. The Average Sale Price as a percentage of Average List Price over the 3 month period ranges from 85% - 90%. It's called a contract sales price. It does NOT take into account factors such as closing costs or closing help (if any). In other words, sellers should expect to get between 85% - 90% of their asking price. The most compelling statistic in the Stevensville, MD market is the number of homes that have come on the market in the $250,000 - $299,999 range. At the beginning of the year, there were 136 active listings in Stevensville. At the end of March, there were 160 active listings. That's an increase of 24 active listings for the year. Consequently, there were 15 active listings between $250,000 and $299,999. At the end of March, there were 23. That's an increase of 8 active listings in that price range. Doing the math, 33.33% of the increased active listings that have gone on the market in Stevensville, MD are priced between $250,000 - $299,999.

If you're a first time home buyer you should take a serious look at the numbers here. The interest rates for loans are outstanding, the first time buyers credit is out there, and there has been an influx of active listings in a great price range.

Source: Metropolitan Regional Information Systems, Inc (MRIS)

Never forget that freedom is not free. There are many men and women who are sacrificing for us at this very moment. Some have made the ultimate sacrifice, while others are recovering from injuries sustained fighting overseas. Here's one way you can help these heroes: http://www.anysoldier.com. Thank you to all the men and women at Fort Meade, The Naval Academy, Andrews Air Force Base, and everywhere around the globe for your patriotism and sacrifice.

Rich is a licensed assistant to Michelle Bowman of Keller Williams Select Realtors in Severna Park, Maryland. To learn more about Michelle Bowman, including contact information, please visit her website at www.michellebowman.com.

Market Statistics for Stevensville, MD in March 2009:

Number of Homes Sold - 2

Average Sold Price - $312,345

Median Sold Price - $312,345

Average Days on the Market - 164

Average Sale Price as a percentage of Average List Price - 88.63%.

Source: Metropolitan Regional Information Systems, Inc (MRIS)

I'm not a big fan of Average and Median Sold Price Numbers. Many variables can skew the data. A large sale ($1-$2 Million Dollars) can raise the average sold price but not be characteristic of what's going on throughout the entire market. In March, 2 homes sold. One was in the $250,000 to $299,999 range and one was $350,000 to $399,999.

We know that the market has significantly slowed down but it bears repeating with the help of numbers. As you can see, it took an average of 164 days to sell these 2 homes in Stevensville, MD. Both homes took over 120 days to sell. The main theme I want to say here is that homes are still selling! No matter how "bad" the media or others say the housing market is houses will sell. It may take close to 160 days in Stevensville, MD to sell them, but houses are selling.

So what's the 88.63% mean? Well, it means that a house, in March 2009 in Stevensville, MD, sold for 88.63% of the original asking price. In other words, if a house is listed for $100,000 it sold for $88,630 in March. It's called a contract sales price. It does NOT take into account factors such as closing costs or closing help (if any).

All this adds up to the simple fact that we all know....it's a buyer's market. If you're a seller, you need to be prepared to understand that you may not receive the full price you're looking for and you may need to entice buyers with incentives. If you're a buyer, you're looking at great deals with great interest rates.

One last thing to mention - we get it. Michelle and I understand that there are sellers who have put a lot of blood, sweat, and tears into their home and we want to help them, realistically, get all they can for the price of their home. If you're a buyer, we understand that you're sitting and waiting for the bottom of the market to hit before you buy. Question is, when will you know when the market bottoms out? Answer is, when the market makes a comeback and it's too late for great deals!

Never forget that freedom is not free. There are many men and women who are sacrificing for us at this very moment. Some have made the ultimate sacrifice, while others are recovering from injuries sustained fighting overseas. Here's one way you can help these heroes: http://www.anysoldier.com. Thank you to all the men and women at Fort Meade, The Naval Academy, Andrews Air Force Base, and everywhere around the globe for your patriotism and sacrifice.

Rich is a licensed assistant to Michelle Bowman of Keller Williams Select Realtors in Severna Park, Maryland. To learn more about Michelle Bowman, including contact information, please visit her website at www.michellebowman.com.