B. Shannon Pyatt

Everyone has heard all of the negative media with housing market, if you have a TV, then you are well aware of how bad the market is. Well at least where they are located it is, but if you happen to live in Columbus Ohio or even Cleveland for that matter, well I have some more positive news just for you! According to the lastest market reasearch conducted by REALTOR magazine and PMI mortgage insurer the following areas are expected to see a drop in their home prices by 2011.

• Miami
• Fort Lauderdale
• West Palm Beach, Fla.
• Orlando
• Tampa, Fla.
• Jacksonville, Fla.
• Riverside, Calif.
• Los Angeles
• Santa Ana, Calif.
• Sacramento
• San Diego
• Las Vegas
• Phoenix
• Providence, R.I.
• Detroit

However, the following cities that are most likely to NOT see a drop in pricing are the following (which includes our wonderful capital city Columbus!)

• Cleveland
• Pittsburgh
• Columbus, Ohio
• San Antonio
• Houston
• Dallas
• Fort Worth

So don't buy into all the negative media, we are not like the rest of the country here in Central Ohio and we are proving it more and more each day!

This seems to be the ultimate question in a real estate market like we are in today. Now, I can't speak for the entire country, however things here in the Columbus Ohio market are rather lets say unique. The government has been enticing buyers from all over to come out of the wood works to buy homes and you know what here in Central Ohio, IT'S WORKING! But don't think its that easy, the buyers are here now, the home prices are low, the incentives are fantastic! So why are we not seeing our listings flying off the shelves? Why are the Realtors complaining about selling their clients listings and the sellers are complaining that no one wants to buy there home?

It's simple a few years ago and for many, many years now home buyers used the #1 Rule of Real Estate... Location, Location, Location. Now it has changed and the new #1 Rule of Real Estate is Price, Price,Price!! Our team has been primarily working with buyers here in Central Ohio and there's not a day goes by that I don't have to call a client of mine that wants to see a home and tell them, I'm sorry that home is already in contract or that home has 4,5, even more offers on it and its only been on the market for 3 days! That's right 3 days on the market and the homes are in bidding wars. Thanks to the banks they are offering incredible deals on homes in the Columbus Ohio area, as a matter of fact just yesterday I showed two homes that both had more than 3 offers a piece on them. How is this possible you wonder? Well the banks have an abundance of foreclosed properties that they just simply need to get rid of and therefore they are pricing these homes well below market value to drive interest of the buyer, create bidding wars and ultimately sell the home and fast!

While this is excellent news for the buyer, it is not good for the seller. As the bank owned homes go into contract and close and more people become happy home homeowners, the seller who just wants to re-coop their money is sitting on the sidelines watching their equity evaporate. I'm sure it will all level out but right now why not take advantage of this market, if you don't someone will, I promise you.

Have you been keeping up with the news regarding the housing market recently?

If you have even turned on a newscast all you are hearing is that "sellers are desperate to sell" and that you can "steal the home, just make any old offer"

I am here to tell you, that might be the case in certain other areas of the country, but if you are person looking to buy a home in Columbus Ohio, you have got another thing coming. With the big push on the $8,000 tax credit for first time home buyers, the OHFA down payment assistance and new build companies offering to pay your down payment for just a little "sweat equity", the homes are not lasting long. Not only are they not staying on the market, but if they are priced correctly, they are getting multiple offers (yes you heard that right, multiple offers). So if you think you can walk in with $100,000 to spend on a home for sale in Columbus Ohio and think you are going to get it for 20 or 30% below list price, chances are it ain't gonna happen, especially if it is a HUD home or a short sale (that's a whole other blog topic there). Point is, be prepared to fight for a home if it is under the $125,000 range in the central Ohio area and if it is in really good shape be prepared to pay above list price for it.

This is an excellent time to buy a home in Columbus and the surrounding areas, but don't think your gonna steal the home, because that is just not the realistic truth.

The homebuyer confidence is certainly growing here in Columbus Ohio. We are having more and more buyers coming off the fence. So much in fact that now we are starting to see multiple offers and bidding wars on most foreclosed and bank owned homes here in the Central Ohio real estate market. With the 2009 stimulous $8,000 tax credit being offered to first time home buyers, the creation of additional funds to pay your down payment from OHFA here in Columbus Ohio and our USDA (rural development) 100% financing, buyer's are certainly deciding to jump off the fence. But are they going to wait till it's too late? According to Columbus Ohio Association of Realtors president Gary Parsons, some buyers that are waiting for the "bottom" of the market, might be waiting too late. Home sales in Central Ohio for March 2009, rose 21% from February according to the latest statistics from the CBR. When you combine all of the factors around that are shifting our market, we certainly feel that Columbus Ohio is on its way to recovery and quickly. There were 1,360 homes sold in March of 2009 in the Columbus Ohio real estate market and the average price rose to $143,000. These are all signs of now is not only a good time to buy a home, its a great time to buy a home! If you have decent credit standings, a good job and a little bit of money saved up for a down payment and you live in the Columbus Ohio housing market, you should immediately contact a Realtor and ask them how you can take advantage of this great opportunity. We have been seeing clients gaining anywhere from 10-40% equity on a home in this market, which your a first time home buyer, that means that you will have made quite a bit of money off your home, once the market fully rebounds.

So you have been looking online for homes, going to open houses each weekend and finally the thought enters your mind that you just aren't going to find what you are looking for, unless you build it from the ground up with everything that you want. Before you jump in the car and head down to the local new builders office and sign the paperwork, do yourself a big favor, get a Realtor to represent you! This is more than a good idea, its an absolute necessisty. You need someone who understands how the process works, someone to teach you all the little catches that builders can throw into your contract and most importantly someone who will stand up for your best interests. What most people do not understand in this process is that the builder rep, works for the builder (their boss, their company) and could really care a less about you as a client. A Realtor on the other hand, is hired specifically by you to respresent your best interest only. They will ensure that the builder, the builders lender nor the title company (all linked to the builder) are being honest and not trying to put you into a situation that is not in your best interests. You may or may not know, that almost every new build company out there is tied to their own lender and their own title company, therefore NO ONE is looking out for what is best for you, unless you have hired an agent to do so. Below you will find a real life example of things that have happened recently to a client here in the Columbus Ohio area who purchased a new build (we'll call him Bob), make sure it doesn't happen to you to, hire yourself a real estate agent and get that piece of mind, not to mention it doesn't cost you anything to be represented, all commissions are paid for by the seller.

1. Bob went into contract on a new home and had an appraisal done on it only to find that the home was not worth what the builder was trying to charge him. The builder expected the client to pay the additional money by the way of cash to make up the difference. When Bob explained he did not have the money to do so, the builder tried to raise his interest rate so that they (the builder) could re-coop the money they lost.

2. Bob also discovered that the builder was not going to pay the closing costs associated with the loan (typically in a buyers market, the seller or builder will pay this fee). The builder said that they were not going to allow this and therefore would let a perfectly good buyer walk away over a mere $2,000.00

3. Bob was also told by the sellers title company that he was to receive a certain amount of money back at the closing, which was an incorrect number. The title company did not wait for acceptance of the HUD 1 settlement statement from both the lender and the Realtor before disclosing this incorrect information to the buyer, potentially costing Bob lots of money.

Luckily, Bob was represented by a Realtor and the builder did not get away with any of this. However, had Bob not been properly represented, he would have seriously been taken advantage of. New builds can be great for buyers and you can get a fantastic home for the money, however make sure you have someone to fight for you in your corner first.

Remember, Always consult a Realtor for any home purchase, you owe it to yourself!