Paula Kellam

The more I read about the 4th Quarter statistics the more adamant I am in sharing the news. Did you know that 90% (9 out of 10) of all listings are listed too high.

In the fourth quarter of this year, the median Days on Market for homes that were priced right and did not need a price reduction in order to sell was 24 days (less than a month!) in metro Atlanta. However, for those listings that had to have a price reduction before they could sell, the median Days on Market for those homes was 245 (10 times longer!).

The truth is that being overly optimistic about a listing in terms of price or condition or appeal is the equivalent of putting lipstick on a pig. We live in a smart world. Now matter how much we dress up a listing or advertise it....its still a buyer's market.

A buyer's market means that buyer's don't fall for marketing...or lipstick. They fall for value.... If your listing's price exceeds the value of the listing, game over. If your value exceeds your price, game on.

As The Castles By Chrissy Team starts the 2010 year, we are mastering the art of pricing. It is the single most important reason we came out Number 1 last year. Our ability to price listings accurately enough to attract offers has never had more importance. The time and money that this can save our sellers is literally saving them.

Our gift to our sellers is to price a home right and price it right the very first time. If you are considering selling your home or know someone else considering selling their home, please have them talk to us first.

We will save them thousands of dollars in a market where most sellers are losing thousands of dollars. Talk to you soon!

There are so many reasons to buy right now that I just had to share the top 3 with you. Many people actually are NOT aware of the fact that the market has SHIFTED again and its on its way back up! What does this mean exactly? Does it mean that the value of your home is going to increase 10% over night? Well....

What it means is that prices have hit bottom and stabilized, and sales are rising. In fact, sales of previously owned U.S. homes jumped 7.2 percent in July to mark the fastest pace in nearly two years. The largest increase since 1999!!!

It also means that the "housing affordability" is the highest its been in 18 YEARS!!! Yes, homes haven't been this cheap in 18 years!!!

And it also means that you have a very limited opportunity to cash in on affordable housing, low interest rates and the $8000 Tax credit. In all honesty, you need to be under contract by beginning of October to allow for your loan to close in time and still receive the tax credit! So let's start looking this weekend!

Activity will continue to increase, houses will continue to sell, likely at an increasing pace, and buyers are likely going to find the bottom of the market laughing at them in their rear-view mirrors. However, housing prices are probably unlikely to begin to rise significantly any time soon, as more foreclosure and distressed seller properties will be hitting the market.

Let The Castles By Chrissy Team find you that amazing property for you at that amazing price! Email us today at homes@castlesbychrissy.com and give us your search criteria. We would love nothing better than to look back at this time and say "Wow, you were lucky you bought in Fall of 2009!"

As your local economist of choice, we wanted to be the first to share some promising news with you!! More Americans signed sales contracts to buy homes in June than in May, the fifth consecutive month of increases, according to a report released Tuesday. Our team, Castles By Chrissy, has seen a significant pick up in activity as well!

The National Association of Realtors said its Pending Home Sales Index rose 3.6% during the month. That was 6.7% higher than June 2008. It was the fifth straight month of increases, the first time that has happened since July 2003. "Historically low mortgage interest rates, affordable home prices and large selection are encouraging buyers who've been on the sidelines," said NAR chief economist Lawrence Yun.

Low-end sales have been the strongest segment of the market, an indication that the first-time homebuyers tax credit, worth up to $8,000, is contributing to the rise. The clock, however, is quickly running out on this offer -- if you want to capitalize on this offer you need to start looking TODAY!

And, perhaps the best news is that home construction may be ready to once again boost the economy again. "The construction-put-in-place numbers that come out next month will show that housing is starting to add to the GDP," said Bernard Markstein, a senior vice president and economist with the National Association of Home Builders. I think its finally true, the bottom has hit, and you don't want to be the one to miss it! Call the Castles By Chrissy Team today and let us help you find the best deal out there!

Take care,

The Castles BY Chrissy Team
www.CastlesByChrissy.com

I'm looking for someone smart - are you that person? Do you know someone who has been waiting for the "bottom" of the real estate market to hit? Well - they've almost missed it. I might sound like a broken record at this point - but as your real estate expert it is my job to provide you with the real facts. And guess what, we have good news!

For three straight months inventory has been declining - that's what we want to heart! We had too much supply and now its going away.

The number of annual home sales has gone up for the last two months! We also want to hear that! That means demand is increasing!

As the following chart illustrates, indeed the market has corrected. While it is quite possible that the market will continue for a time to "over correct," the important point to realize is that no one can ever predict or time the floor-until after the fact when opportunity has been lost. Don't let your friend miss this opportunity! Send me their name and I will explain this graph to them and how time is of the essence.

Now is the time to buy and the reasons are many:

• Real estate remains one of the most stable long-term investments with relatively modest fluctuations in annual gains.
• The extensive housing inventory in most markets is providing great choices for investors.
• Mortgage money is available to financially stable buyers and interest rates remain attractively low.
• Real estate investments tend to bring a greater annual return on investment (ROI) than stocks, gold or commodities, because they are leveraged (buyers put 20 percent down, and receive appreciation on the entire value of the property).
• Just as the late 1980's and early 1990's provided a massive opportunity for real estate investors to make great buys and build wealth, the current market will do the same. Smart money is already back in the market buying up the distressed properties.

Let me help you make a great investment - now.

You can also check out www.CastlesByChrissy.com for more information on the market and Cobb County real estate, including Marietta and Smyrna.

I hope you are enjoying this Friday as another week comes to an end. Yet another tumultuous week in the stock market, ending with interesting news from the Housing Market. Yes, the New Housing Starts Report is in and numbers are down (surprise, surprise). There are not too many builders wanting to start building projects when buyers are sitting on the fence. As a result, housing starts are at an all time 17 year low - WOW.

Again, the question always goes back to "What does that mean for Main Street or You?" In my blog to you last week I discussed the reasons why you would want to buy in market like today. This week I promised to address reasons why you may want to sell in a market like today....and after today's report you may think there really is no reason.

Well, obviously if you are moving out of state - maybe due to a career move, maybe to move closer to family, maybe to move farther from family. These are all "have-to" sell type scenarios. Thankfully, The Castles By Chrissy Team can help you do just that - quickly and efficiently.

But what if you happen to fall into the category where you don't have to move right now. You're thinking basically lies in the area of - it would be nice to have a shorter commute, it would be nice to have an extra bedroom, it would be nice to live in a neighborhood with lots of children, it would be nice to have a basement for your husband to hang out, etc, etc. Should you wage your bets and try to sell now or do you wait 2-3 years and hopefully let the market rebound. The math is really simple and when you see it laid out in front of you, you may understand why now is better than ever.

Say you live in a $250,000 home and you want to buy a $500,000 home. The market is down 5% right now - so you can expect to sell your current home for $237,500, which then means you can expect to purchase your new home for $475,000. This is approximately a $12,500 savings to you.

Or you decide to wait it out for 2-3 years and thankfully the market rebounds and appreciation is up 5%. Your $250,000 home can sell for $262,500 but now you are paying $525,000 for your new home. Essentially this move is costing you an extra $12,500 to move.

Doesn't it make more sense to sell for a small loss and realize a large gain versus sell for a small gain and buy at a large loss? The numbers only increase in your favor in higher price ranges. So the answer is a big YES, YES, YES!!! Go ahead and take a small loss - your return will be so much better!

The other big factor is we actually don't know what is in store for us over the next 2-3 years. We hope the market rebounds, but what if it doesn't for more like 5-7 years? What if interest rates start to creep up? What if the value of your home actually falls below what your payoff is?

Again, doesn't it make more sense to sell now while things are still relatively stable? Your ARM hasn't expired yet and your home value is actually still pretty good?

I definitely admit that selling now may not be the best scenario for everyone. That is what I am here for - I am your real estate expert. This shifting market is not new to us and we have mastered the tricks of selling in a market like this. Please use us as a resource. I would love to set up a consultation with you to discuss what might be your best options - free of charge!

Call 770-974-1540 today or email at Homes@CastlesByChrissy.com. Please check out www.CastlesByChrissy.com for more information on real estate in Marietta and Smyrna...And have a Happy Weekend!