Colleen Lang Woodward

I was speaking with Mark Wingart of Wells Fargo the other day and we were discussing the $7500 tax credit... I was playing devil's advocate in the matter because I really think that home buyers aren't going to realize that they are put $7500 in the hole on top of the home purchase. Just as we encounter many home sellers not realizing their home equity line was already tapped with whatever they purchased with it, so they have no equity in their home, thus people won't realize that this $7500 is a loan that they will have to pay back.

Mark's perspective, one of a lender, said well, for all those people who take out loans after they buy a home to purchase blinds, furniture, rugs, landscape which admittedly is a large percentage of people none of them will ever get a loan for 0% interest from anywhere for a 7 year period. This is true. "Free money" is the gimmick and if it draws people into the marketplace, stimulate recovery, then I guess who can't be all for that?

At this juncture however, the credit (loan) has to be paid back over a 7 year period, so if you move from your home prior to 7 years (highly common) then it needs to be paid back at that time. I just shudder a little at the thought of tagging on $7500 to the bill of closing costs, commissions, moving costs...People are already barely squeaking out of their homes with any equity and the next 7 years is not going to recover into some boom in housing prices after this...The paying back part is the real issue for me, when they go to sell prior to 7 years and have the burden of paying it back in full.

So was I ever happy when I stumbled upon the revisions that our legislature is working on and has approved so far. The main thing for me is that they are taking away that little piece of it having to be repaid and for this, we should all jump for joy. This is a true improvement and tool in place to stimulate the housing sector again.

Just to get a grasp on where we have been and where we are today in the Omaha Metro Real Estate Market (information from Omaha MLS Stats):

Year Total Listed Total SOLD % Sold Avg. Days on Market

2008 19,733 8,896 45.08 71

2007 22,132 10,698 48 68

2006 22,838 11,448 50 62

2005 20,470 11,605 56 54

2004 17,406 10,925 62 53

2003 15,940 10,709 67 50

2002 14,424 9360 64 52

2001 14,083 8984 63 55

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When going to sell your home, the first thing to understand is that just because you put your home on the market does not mean it is going to sell. I think people are shocked to see that less than half the homes listed in 2008 SOLD. What did those people do? They decided to stay put. They rented it. They went a different route other than selling it.

You can list your home at any time, but your home is only going to sell if it is offered at the right price comparative to its condition and location. If your home isn't selling and has been offered to every available buyer through agents, the MLS, all the media outlets, and marketing...Well, then its time to decide if you are going to get it to the price that a buyer will think is fair and market value OR take it off the market until the market comes up to meet your price if you aren't going to go lower because not every home is going to sell and only those that are truly motivated to sell are going to be sold.

Remember the TOP 2 places people found the home they purchased (by huge numbers ahead of 3 or 4 even)... according to the Annual Home Buyers & Sellers Survey conducted by NAR

1. Real Estate Agent (statistics don't lie- its a free service to the buyer to have an agent, why wouldn't they?)

2. The Internet

I was given a very great compliment today by a seller that I met with to give my listing presentation. She works in company relocation and after I had spent about 2 hours with her doing the staging walk through, giving her my entire marketing structure, presentation, I asked her as I always do, was there anything at all in this that has given you questions, concerns, did it all makes sense. And she did the sweetest thing by saying, "You know, you really remind me of Jody Schott. You seem so genuine and caring."

This really resonates with me because Jody was with my former company CBSHome. I listened to her speak at a few lunches and various things as she was one of their Top Producers along with about 5 others that regularly spoke for them. I was most drawn to her because in our business, I hate to say it but there are those stereotypical REALTORS that make everyone cringe. You know the types:

Used car salesmen type who asks if your ready to write an offer after every house.

The manipulator who will throw everyone and everything under the bus, regardless of ethics, to get a deal.

The one whose poo no longer stinks because he/she has closed so many deals that they treat their clients like they are so lucky to be working with them and disregard their clients for the most part and just close deals to close them.

But Jody Schott was different. She wore her heart on her sleeve and truly cared about her job, her work, her coworkers, her family, her friends, and her clients. She befriended and loved her clients. She got to know them by name, all about their kids, jobs, dogs and this is what she claimed was the reason she was so good at what she did. She cared.

So to be complimented in this way, to be as true and genuine as she, I was honored. She was a Top Producing Agent because she cared to do her best, just as I do.

My heart and wishes go out to her family, friends, clients, and co-workers as she was so suddenly taken from this world. It is heartbreaking, but she still makes a difference to people like me, who took the words and wisdom she shared to heart.

I can't have a blog about Omaha without mentioning my most favorite restaurant in town that is criminally overlooked, but secretly, I am glad it is never too busy for a spot for us : )

Ahmad, who is almost always at the restaurant when you go to this quaint, with few tables kind of restaurant, to welcome you with a smile and hello. His wife and 4 year old daughter tucked in the corner or some friend of his sharing a cup of sweet, delicious Persian tea reading the paper. Persian tapestry, art, and music all add effect. His wait staff is nothing to write home about. We have had the same flighty, airy waitress for 4 years and it still seems like her first day, but she's sweet and wispy.

We have been going for years, (10 maybe?) and we now know Ahmad by name after shamelessly showing our faces there at least once a month...He comes to greet my kids, which I do believe is the one thing that makes us stand out. My kids can eat an entire plate of his Kabob Kubideh on their own...And it's not exactly little tyke cuisine. Now seeing his daughter there, I feel a little less guilty dragging my own brood...And the high chair, that was never used except for us, with grease built up from being in the kitchen has seen more use and is used for his own , which makes us happy.

I would strongly suggest, with agreement around the table...We love his Kabob Kubideh or Jujeh Koresh...We trade back and forth between the two because they are equally delicious. I have tried almost all the other dishes and they simply don't compare!

It's quaint, it's different...Not like Indian food or anything else I have had and I love to try new foods! If your in the Omaha area and looking for the best unique restaurant in town that will make your mouth water. Go say hi to Ahmad at Ahmad's Persian Cuisine at 1006 Howard in the Downtown Old Market District.

Now that 100% financing has become a thing of the past, many of the up and coming buyers don't have it ingrained in their brains quite yet, that a down payment is needed to purchase a home...They haven't been saving and putting away for it like people did in the past, knowing they would need it if they wanted to purchase a home.

It is a good thing to bring back some investment and personal responsibility into the process, since the lending got so out of hand, but there are ways to consider finding that money needed for a down payment. It may seem like a roadblock right now, but there are options to consider:

1. FHA loans (insured by the Federal Housing Administration) require the lowest down payment: 3 1/2% investment total

2. If your a vet, then the first place to look is at a VA loan through the Veteran's Administration. Financing for qualified vets requires zero money down!

3. Some lenders allow buyers to finance their Private Mortgage Insurance, thus lessening the cost due at closing.

4. Good ole Mom & Pops: It used to be a fairly common practice to be gifted or borrow money for a down payment from family and may be the best option to consider.

The important thing to consider is that when you do not have 20% investment into the home, you will pay private mortgage insurance. Why? Because the bank is taking risks by loaning you money when you have so little investment, so until you are at least 20% owner of the home, you pay mortgage insurance to the lender. This is removed once it is proving that the home has 20% value over the loan, which can be assessed with an appraisal or talking with a Realtor to see if you are close.

Colleen Woodward

RE/MAX The Producers

Selling Real Estate for the Cure & with Heart!