Lisa Mancha

Lisa Mancha

The real estate market on Cape Cod is currently flooded with incredibly low priced homes. Which as a real estate agent, I must say, it is quite exciting. First time homebuyers are now able to find properties that are easily affordable within their own community.

The challenge being, that the majority of these bargains are distressed properties such as bank owned (reo) and short sales. I know that the terms can be confusing so let me explain a bit more about the dynamics of it.

Foreclosed property is considered a distressed property because for some reason, the owners of the property have been unable to keep up with the mortgage payments and the bank has given notice that the property will be "foreclosed" on and sold at auction. If the property is not sold at auction it becomes a REO, Real Estate Owned by the lender, also known as a "bank owned".

A Short Sale is a distressed property being offered for sale by the homeowner, but at a much lower selling price than what they actually owe their lender. The seller's lender is accepting a discounted payoff to release an existing mortgage. This situation may have come about because the seller may be in default in payments and is attempting to avoid going through the foreclosure procedure, or has already been notified by the bank that foreclosure proceedings have begun. This can also occur when the seller may have lost a considerable amount of equity in the properties value and they have come to an agreement with the bank to settle out the mortgage by selling the property at a considerable discount.

In either case, many buyers are of the mindset that the best thing they can do is wait the situation out, as surely the prices will continue to drop. There is also an inclination to think that the banks are in a great hurry to offload these properties and will accept near nothing in an effort to clear it's inventory. I would like to introduce another view of the situation. In regards to the bank owned properties, the longer these properties sit on the market, the more value they lose. A bank owned property is shut down and shut up leaving it empty and vulnerable to continuing degradation to the property. It can be subjected to vandalism, moisture issues, pests, frozen pipes and so on, the list is truly endless.

I have seen many a property come onto the market in acceptable condition and within months be in need of major repairs due to the lack of attention. If you are a buyer in the market waiting to see how much more the price will drop on a specific property, know that the potential savings you are hoping to gain on a foreclosed property can quickly be eaten up with the unfolding deterioration of the vacant property.

If you are a buyer with interest in a shortsale, you may be tempted to think waiting for an eventual foreclosure would bring the home onto the market for an even further discounted sale price. You need to understand that the condition you view the property in at the time it is offered as a short sale, may not necessarily be the condition the home is made available in after foreclosure proceedings. Often times the distressing emotions of the situation can be unburdened onto the property itself by the homeowners. I have seen situations in which the home owners have removed everything within the property right down to flooring, windows, decking and even the trees in the yard. Or the utilities have been left on creating moisture issues, water damage and even septic failures. It is sad to say, but these things can and do happen and are very expensive when they occur and with a REO property most banks do not offer any sort of guarantee or incentives in regards to the condition of the property. It is a situation best described as caveat emptor, "let the buyer beware"!

My advice when looking at bank owned and short sale properties is to find a realtor whom is familiar with the process of working with bank owned and short sales that also possesses keen negotiating skills. They are worth their weight in gold. Once you have chosen an agent you feel confident with, find the property that you love and focus your strategy for further savings on the negotiations of the sales price. This strategy will help to avoid the risks of not only having the home you fall in love with fall into further degradation, but also having another savvy buyer come along and purchase the home while your waiting for a price drop.

Call me today and and see what Cape Cod bargains are out there waiting for you to take advantage!

I arrived at work today greeted by Spike and Millie, our patron Canadian Geese. I was glad to see them back after their long winter break from Cape Cod.
I have to say that when they are waddling around the pond out back of the Jack Conway Office in Hyannis where I work, it brings great relief, as I know spring has arrived!
Another interesting thing about the arrival of Spike & Millie is the sudden bolt of activity in the real estate market. True to form, houses and condos are being plucked from the market and into the lives of their happy new owners. Yes, spring is arriving and the real estate market is certainly showing it!
With all the media gloom and doom I confess, I too was holding my breath wondering what this spring market, one of our busiest times in real estate, would bring. Not so amazingly, as in true form, the market is on the move!
I suppose that the incredible incentives being offered now by the government make it all the more attractive of a time to buy. President Obama's signing of the economic stimulus package has indeed brought some wonderful gifts to the market. Many first time home buyers who purchase a home between January 2009 and December 2009 are eligible for a tax credit up to 8,000!
It really is an amazing time we are in, interest rates are incredibly low, the inventory is currently in great abundance and the incentives are at an all time high. Much like Spike and Millie... change is in the air! I am feeling quite optomistic that the real estate market is really going to bloom this spring right along with the crocus and daffodils.

Call me Today to find out what's happening in the Cape Cod Real Estate Market. 508-534-5524 or come find me at http://www.capecodseasideproperties.com

I had a great time showing properties this past weekend on Cape Cod where I work as a Realtor for the Jack Conway Real Estate Company's Mid Cape Office. My Clients had picked out their favorite properties to view, and lo and behold there were a few I could not show them!

I was quite excited to see, that a few of these homes were pending sale. I must confess that I felt an internal smile rise up within me. I could only show 5 out of 8 listings! That means that 3 of those properties were on their way to sold! The spring market it seems, is picking up steam.

As of today march 27, 2009, 400 Single Family Homes are pending sale, 10 Multifamilies, and 107 Condominiums, just on little old Cape Cod.

Now let's think about that, 517 people, today, are saying "I am buying that property, I am taking the plunge and making a wise investment now". To me that is a clear indication that consumers are getting savvy. They understand that there has never been a better time to buy. With record low interest rates, tax incentives, and an abundance of impressively priced houses, it is time to invest in the future.

Real estate, no matter the market, is never an unwise investment. The media is telling us that homes have been quickly losing equity, but what they don't tell you just as loudly, is what goes down, must come up. No matter the market you buy in, you will eventually profit from a real estate investment. The key ingredients to your investment is... time.

The "time" it will take you to make a profit from your investment depends on the "timing" of your investment. Whether the real estate market is in the upswing or the downswing you will eventually see an increase. It is in the down swing that the truly wise investments are made, because it will take less "time" to see the profit from your investment.

The smart consumer is buying when the market is down. Unfortunately many are waiting for the media to tell them that the bottom of the market has been hit. If your waiting for such an announcement, unfortunately, it really won't arrive until that time has come and gone.

I know alot of people are waiting on the fence, trying to predict that pivotal moment in time. I can say that by looking at today's Cape Cod market alone, 517 people have decided it is now. We might just be looking behind us at the bottom.

If you have decided the time is now to invest in your future, call me and let's discuss your real estate goals. But I must tell you up front of course, that I can show you anything on Cape Cod,... Depending of course, on whether it's Pending!

Call me Today to find out what's happening in the Cape Cod Real Estate Market. 508-534-5524 or come find me at http://www.capecodseasideproperties.com