If you are a first time home buyer looking to buy now is the time. Prices are reasonable, New homes are hitting the market everyday, rates are down, and you may be eligible for an $8,000 tax credit from Uncle Sam you don't have to pay back! However, time is of the essence to obtain the credit! You must purchase a home by December 1, 2009 to be eligible! Even if you have owned a home before but not in the last three years you may be eligible for this program. Call or email me anytime for specifics on this deal. Don't think you have enough for a down payment? Call me! I had a buyer lock in a 30 year fixed rate on an FHA loan at 4.875% on Friday! The beauty of this FHA loan is she is only putting 3.5% down. If you are thinking of buying a home there hasn't been a better time in years! Visit me online anytime for a list of homes for sale or more information on any of these products at Albany NY Real Estate first time Buyers Also be sure to check out the new market snapshot reports I am providing free of charge with the link below. It will help you get a handle on how the the market is performing and what price you should be paying!
I met with a couple of downstate investors today who said they were fed up with the inexperienced real estate"kids" they had spoken to about purchasing investment property. It made me remember what I have always told buyers. Don't ask your agent how many homes they have sold. Ask them how many homes or buildings they have owned themselves. I work with investors all the time and I am active in the market myself. Here is a home I purchased this week. No I didn't have any inside line on this. I purchased it straight out of the Multiple Listing Service just like any buyer could have. It illustrates there is still money to be made in Albany NY Real Estate. These are actual numbers in a student rental section of Albany.
Purchase price $110,000
Taxes-$4586 (property is assessed at $158,000 so this should be coming down)
Insurance $780
Loan amount $88,000 at 6.12%
Monthly payment =$534.41+$382 (taxes)+$65 (insurance)+$38 (Water/sewer)= 1019.41
Total monthly payment at current assessment is $1019.41
Total rents will be $1950($975/unit)
Monthly cash flow=$930.59 or $11,167/Year
Total cash investment including closing costs, down payment, attorney fees, title insurance etc =$23,776.
Cash on cash return at full occupancy=$11,167/23,776=46.9%
Ok Additional outlays will include a couple of thousand bucks for paint and cosmetic updating. However the total return will still be over 40%.
Great returns are possible in Albany Real Estate! If you are interested in adding a home like this to your portfolio call or email me at Albany NY Real Estate
I work with investors often and list and sell investment property all the time. I will often run ads indicating 25% cash on cash return, etc. I always get calls or emails asking me how I figured the return. Often I am told my numbers are wrong.
I always figure the cash on cash return using the power of leverage with typical financing terms. Cash on cash return is the number one measure of investments most investors should be looking at in my opinion. Its not cap rate, its not Gross rent Multipliers, its the same measure Warren Buffet likes to use. I like to use realistic numbers and never assume a purchaser is paying cash. By taking a loan and using leverage your cash on cash return is increased. Here is an example.
Typical 2 Family purchase: (using round numbers for ease of calculations)
Sale price:$100,000
Rents:$1,200 (600/unit/month)
Taxes:$3,000 ($250 Month)
Insurance: $600 (50/Month
Water/Sewer: 480 (40/month)
Tenants pay their own heat and electric.
If a buyer pays cash the returns are as follows: $14,400 total income less $5,280 in operating expenses. Results in a net income of $9,120. $9,120 net income on $100,000 cash equals a 9.12% cash on cash return.
Now lets assume the investor buys the same property with 20% down and finances the remainder with a bank. Typical investor rates right now are at 6%. Therefore, payments on the $80,000 loan would be $479.64 or $5,755 a year.
Net income now would be $3,364. ($9,120-$5,755) However, keep in mind on this example the investor has only invested $20,000 of his own money. In this case his cash on cash return is $3,364/$20,000 or 16.8%. Remember, In this example, the investor still has $80,000 in the bank to be used for other deals.
Leverage when used effectively can allow you to build a larger portfolio of properties and significantly boost your returns. If you have questions call or visit me online at Albany NY Rental property
It was a pleasure and honor to be named as one of the few independent brokers to the top 100 Real Estate agents in the 2/27/09 addition of the Capital District Business Review. I couldn't have done it without the loyal support, friendship, and referrals from all my past clients and friends. So thank you! The last time I looked there were roughly 3,600 active real estate agents in the capital region. Our market is extremely competitive. 2008 was a good year but I don't think it was a particularly great year. I think we have room for vast improvement! As I look forward to 2009 I have made significant changes and implemented numerous systems to improve efficiency and overall customer service. 2009 has started out strong and will hopefully remain that way. I am Looking forward to a truly spectacular 2009! Thanks again for your support and referrals! As always if I can help you in anyway even if it has nothing to do with real estate please let me know!
Sincerely,
Kevin Clancy
518-861-7016
kevin@clancyrealestate.com
http://www.clancyrealestate.com
Be sure to check out this month's Newsletter, click here
To Search Thousands of MLS listed homes, click here
To see Kevin's Bio, click here
To see Hot Listings, click here
For Buyer's Articles, click here
For Seller's Articles, click here
There appears to be a huge misconception about Short Sales. There are many many short sales listed for sale in our local Multiple Listing Service but not many people very familiar with the process. I submitted an offer for a buyer a few weeks back on an advertised "short sale" only to be be told it was unacceptable on a Saturday. The agent didn't know who the bank was and there is no way she could have contacted the bank on a Saturday. Short sale are a tedius process but if handled correctly the process goes much much smoother. Here are some typical requirements of a good short sale package. Note many of these should be obtained and put together before the home is even put on the market. Also it is important in my opinion to keep the lines of communication open with the bank. Every bank is different but the following are typical elements for a short sale packet
1)Authorization to allow me as your agent to negotiate and discuss your situation with the bank
2)A hardship letter
3)Recent pay stubs
4)Recent bank statements
5)Recent tax returns
6)A broker price opinion (BPO)
7)Pictures of any home damage or deferred maintainance
8)Area economic news (Layoffs, unemployment,etc)
9) Copy of the current listing showing Days on Market
10)Estimated HUD-1
11)sales contract
Present this info to the bank in a complete package the process will go much much smoother. For more info visit http://www.albanynyshortsales.com
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Albany NY realtor, Albany NY Real Estate, Albany NY homes, Albany NY Real Estate Agent Full Service Albany NY real estate brokerage and Albany real estate appraisal Http://www.clancyrealestate.com
Kevin Clancy has been providing real estate brokerage and appraisal services to the Capital District for over 18 years. He is a New York State licensed real estate broker, Insurance broker, and general certified appraiser. Kevin is a HUD approved broker and started his career specializing in the sale of HUD homes. Kevin's appraisal experience ranges from vacant land and single family homes to multi-tenant office buildings and retail centers. A graduate of Siena College with a degree in marketing, Kevin obtained an MBA from the University at Albany in the Spring of 2005. A portion of this degree requirement included an in-depth research paper on residential real estate in the Capital Region. During his career Kevin spent several years evaluating residential and commercial real estate throughout the northeast. This includes more then an estimated 10,000 residential homes in the Capital District. This is more homes than a typical Realtor will evaluate in an entire career! For a thorough evaluation of your home prior to listing, Kevin's experience speaks for itself. Kevin's past experience makes him the perfect choice to meet any of your Capital Region or Albany Area real estate sales or appraisal needs. Services include full service and discount brokerage, appraisals, property management, and general consultation services. Need a home? Search thousands of homes at Albany NY Home search or our main site at Albany NY Real Estate for appraisals visit us at Albany NY Real Estate Appraisals If you Need an Albany NY Realtor for buying a home in Albany NY or Selling a Home in Albany NY give us a call!
Remember its not about me! Its about you! Let me be your exclusive buyer representative and mention you want the free 13 month home warranty. I will provide a free home warranty on the property for 13 months after you purchase it to take the worry out of home ownership! This offer is only available for a limited time so hurry!
"Kevin Clancy is by far one of the best if not the best real estate agent
in the Capital District. He is knowledgable about the field, his website
is exceptional and he makes himself accessible to his clients.
But most importantly, Kevin has a high standard of integrity ... simply
put his integrity is not for sale. Good or bad, he will tell you what you
need to know to make an informed decision. In a competitive market such as
this one, finding an agent that gives it to you straight is hard to find.
We highly recommend his company and we always welcome the opportunity to
tell others to use his services. Thank you again Kevin for your patience,
tenancity and professionalism. It was a breath of fresh air to work with
you."
Thomas and Ingrid Williams
Troy, New York
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When I listed my property for sale with Kevin, I didn't really expect or need to sell it. I gave Kevin a "walk away" price with my minimum to let it go.
Less than 1 week after listing the property, Kevin came back with 4 different offers. This guy knows the market! All of the offers were viable, and all were well over my walk away number. He kept in touch with me along the way, but did all of the negotiating on my behalf. The house went for higher than the listing price, and almost 20% more than my original "dream" number for the house. In today's market no one could ask for more than that.
I have bought and sold numerous properties in the past, but never have I dealt with someone so attentive, helpful, and full of good advice. Kevin's experience is evident, and I am grateful for his assistance during this process. He made it easy. I highly recommend Kevin and Clancy Real Estate.
Amy P.
Rexford, NY
6/27/2008
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"While looking for our first home, my wife and I worked with a few different realtors during our search. Kevin was, without a doubt, the best realtor "Kevin is a true professional who simply gets the job done! He's a valuable asset to anyone's team." October 27, 2007 Top qualities: Great Results, Personable, High Integrity Bob Eberle, NYREIA -------------------------------------------------------------------------------- Top qualities: Great Results, Personable, High Integrity Charis Ng -------------------------------------------------------------------------------- Top qualities: Personable, Expert, High Integrity Paul Gallagher
that we encountered and the reason we chose to utilize him exclusively!
Kevin is a tireless worker, an active listener and just a true professional.
Kevin knows the real estate market and all the financial complexities that
come with buying a home (which made him a tremendous resource for us as
first-time/inexperienced buyers).
If we are in need of his professional expertise, we will certainly use Kevin
again and we highly recommend him without reservation."
Tom and Denise D, Clifton Park, NY
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hired Kevin as a Real Estate Agent in 2006, and hired Kevin more than once
"I highly recommend Kevin. I listed a house with him and he brought me 3 offers within the first 2 weeks. He keeps me updated frequently and is a full-service expert in his field. He also recommended an excellent lawyer for the closing. I am very pleased and satisfied with Kevin and will definitely use him again for any future real estate transactions. Kevin Clancy is the owner of Clancy Real Estate. Alway deal with the owner! Thanks again, Kevin for helping me sell that property so quickly." October 23, 2007
hired Kevin as a Real Estate Agent in 2007
"Kevin has always offered me great advice. He knows value and where to find it. Kevin is an agent who understands how to work with investors... which I rarely find." September 30, 2007
hired Kevin as a Real Estate Agent in 2006
"Kevin made the process easy, and his knowledge and experience greatly helped us through the sale, from listing to contract to closing. In fact, his negotiations specifically resulted in a sale price higher than the listing price. We recommend Kevin to anyone looking to sell a home in the Capital District."
Jim M.- Director of a Commercial Real Estate funding company
"... Kevin has a great understanding of the market and more importantly how to position his clients. Great service, a professional approach and an intimate understanding of the local RE market. I highly recommend his firm."
Dear Kevin, As a first time home buyer, I really appreciated your patience and diligence. Through every step of the process I felt like you were there holding my hand. You followed up with members of my purchasing team (attorney, broker, etc.) and even called to check on me while I waited for my financing to get settled and the closing date to arrive. You exhibited professionalism and did a great job representing my interests whenever a challenge developed, such that I worried very little, knowing that you were on my team. This was the first of many real estate purchases for me and I look forward to working with you in the future.
Sincerely, Michele B., Albany, NY
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