Jeff Pearl

One evalation I always consider when showing buyers houses is: How much can I buy a lot for and build this house for? Many times list prices are so far above what they should be, it's not hard to pass on many houses. For example, a 3 level Colonial built in 2005 on a 3 acre lot is listed for $849,000. Ok, well maybe it was a former model with loads of upgrades, maybe they finishd the basement, spent $50,000. in landscaping, added a deck and patio. If buyer wants to see it, I'll research and show it even though is appears to be way overpriced at first look. We get there, it's a basic model with no obvious and expensive improvements, which confirms to me that it is definately overpriced. ( Some agents and sellers think that because their house is close to town, airport, shopping, has a mountain view, etc that is worth several thousand more). I happen to know the area and the builder, and know this house can be built new right now for under $350,000.00. Even adding for well and septic $50,000.00, 3 acre lots are everywhere for 135-175,000., clearing, driveway, permits, misc, power, throw in $50,000.. So that adds up to $625,000. max to own this house brand new. So when I compare that to the same house, 5 years old, listed for $849,000.00, I'm going to seriously consider building. Even it it was listed for only $749,000.00, It's still worth building new. It might take 3-6 months, but if you can wait, it would be worth it to many buyers.

Many builders have been sitting on lots, holding off on building because they couldn't compete with all the foreclosures and short sales. I think it's time to start thinking about buying land and building again. Many builders are looking for work and offering great deals right now just to try to keep their employees and/or sub contractors working.

Virginia's Shenandoah Apple Blossom Festival (edit/delete)

After Easter, you and your kids might want to check out the Winchester VA Shenandoah Apple Blossom Festival. Next weekend will be busy with parades, firetrucks, floats, celebrities, singers, sports figures, food, band, etc, etc. Several thousand people visit Winchester VA each year during Apple Blossom. Check their web site for schedule of events http://www.thebloom.com I'll be working doing security and traffic control Apr 29 and 30th so will only be doing real estate by cell phone most of those 2 days when I have time.

After Easter, you and your kids might want to check out the Winchester VA Shenandoah Apple Blossom Festival. Next weekend will be busy with parades, firetrucks, floats, celebrities, singers, sports figures, food, band, etc, etc. Several thousand people visit Winchester VA each year during Apple Blossom. Check their web site for schedule of events http://www.thebloom.com I'll be working doing security and traffic control Apr 29 and 30th so will only be doing real estate by cell phone most of those 2 days when I have time.

Jeff,

I hope the spring market is heating up for you. From my Presidential Mortgage Update email you can tell things keep changing for better and worse on home financing. The good news is that rates have stayed low and defied notions that they were heading up. Mortgage insurance companies are offering better options at 95% to steer buyers from the now more expensive FHA program. We still have the ability to offer the condominium “limited project review” for owner occupants putting down 20%. I have saved a number of condo transactions that other lenders could not close with this option. Higher conforming loan limits locally for FNMA and FHLMC will also likely expire in September, time to motivate buyers between $625,500-$729,750 loan amounts. Presidential Mortgage has offered me a fair compensation program in response to the Federal Reserve’s LO pay rules that started 4/6. Many loan officers are leaving the business or shifting firms because of this and the new licensing requirements and costs. I am happy where I am and feel I can best serve my customers and referral partners at Presidential Bank Mortgage. In house processing, underwriting and closing remains one of my strongest selling points. I appreciate that you keep me in mind for your clients financing and look forward to talking soon.

PS-We have some very good open house sheets and other related material now. I would be happy to show you some samples for your next open house.

Regards,

John Melnick II

Senior Loan Officer

11320 Random Hills Rd. Ste 100

Fairfax, VA 22030

703-460-5510-O

703-303-6434-C

703-277-2882-F

www.MelnickMortgage.com apply online

Jeff,

I hope the spring market is heating up for you. From my Presidential Mortgage Update email you can tell things keep changing for better and worse on home financing. The good news is that rates have stayed low and defied notions that they were heading up. Mortgage insurance companies are offering better options at 95% to steer buyers from the now more expensive FHA program. We still have the ability to offer the condominium “limited project review” for owner occupants putting down 20%. I have saved a number of condo transactions that other lenders could not close with this option. Higher conforming loan limits locally for FNMA and FHLMC will also likely expire in September, time to motivate buyers between $625,500-$729,750 loan amounts. Presidential Mortgage has offered me a fair compensation program in response to the Federal Reserve’s LO pay rules that started 4/6. Many loan officers are leaving the business or shifting firms because of this and the new licensing requirements and costs. I am happy where I am and feel I can best serve my customers and referral partners at Presidential Bank Mortgage. In house processing, underwriting and closing remains one of my strongest selling points. I appreciate that you keep me in mind for your clients financing and look forward to talking soon.

PS-We have some very good open house sheets and other related material now. I would be happy to show you some samples for your next open house.

Regards,

John Melnick II

Senior Loan Officer

11320 Random Hills Rd. Ste 100

Fairfax, VA 22030

703-460-5510-O

703-303-6434-C

703-277-2882-F

www.MelnickMortgage.com apply online

Presidential Mortgage is local loan service nationwide.