Toni Bird

The American Recovery and Reinvestment Act that President Obama signed into law on February 17^th has 46.7 Billion dollars allocated to states and localities for transportation projects including building and/or fixing highways, bridges TRANSIT and rail projects.

What a great way to put people to work.

I know the pot holes in I-65 and I-459 in the Hoover area would be on the top of MY list for improving roads. Yesterday when I was leaving the office, I looked down and there was a big LUMP on one of my tires - just what I needed, right. My mind traced back to a couple of days ago when I couldn't avoid this HUGE pot hole on I-65 South. I'd be willing to BET that is what caused my tire - with only 6,000 miles on it - to fail. So, I am doing my part toward keeping someone at a tire manufacturing plant employed, but I'd rather see some work being done on the interstates! The folks at NTB were great by the way! I was in and out in an Hour. And, I got to see the Michellin Man which reminded me of the snow we got last week.

Now, back to roads.....hasn't it been 10 years or so since they started talking about 4 laning Morgan Road between Helena and I-459. I was behind a garbage truck the other day and I thought he was going to throw a rod before he got to the top of Shades Mountain. I think we were down to 2 miles per hour behind him. It happens all the time in that spot - the grade is too steep. Oh, I heard a good one the other day - Jefferson County is out of money - OMG - what a shock. Alright we won't go there. I DID notice they are building the extension from HWY 52 SOUTH to Fox Valley. So then all the people will be able to get up to the northern part of HWY 52 MORE QUICKLY. Now my question is - once they get there how are they supposed to get the next 4 miles to I-459....

They say a lot of bridges in this country are really in disrepair. I always wonder when I drive over a clunky bridge how much useful life it has.

What about some type of rail system from downtown to Hoover and Helena and other places around the city. How about a rail to Atlanta. Just sit back and read the paper while you're on your way to that meeting. That would cut down on the pollution. Automobiles are a HUGE form of pollution is the Over the Mountain area. You remember those days in summer when the air quality is so bad.

There are so many things that need to be done with that money in our own backyard. We can only hope the government with hire companies fairly and the projects will be completed without wasteful spending and fraud. I'm really tired of hearing how our elected officials just happened to get several thousands of "favors" in return for government contracts. Then when they get caught, it also amazes me that they don't seem to think they did anything wrong. Let's do it and do it RIGHT!

There is a lot to this new stimulis package. If you would like to hear about the American Recovery and Reinvestment Acts of 2009, check out my monthly on-line newsletter. If you would like to receive a copy every month, let me know at www.ToniBird.com.

I haven't looked at any news yet today, but when I do I'm sure I'll hear SOMETHING about the housing market. It is part of almost every conversation. We had some friends over for dinner Saturday night and before the night was over, the topic turned to Real Estate. Last evening at the dinner table my 15 year old asked, "what is the real story about the financial crisis". So, when your teenager is asking about the financial crisis and it's not for a paper he has to write for one of his classes, you KNOW it is in mainstream conversation.

There are people out there who want to buy a house, but they are scared. They are scared that they will buy a house and loose all their money. We have been told that our house is an investment and some people have turned it into a commodity. Others think it MUST make a certain "rate of return" or it is a bad investment.

Yes, your house is an investment, but it is also a place for you to LIVE. You also have the responsibility to take care of it - to keep it maintained. You can also personalize it through painting, landscaping, changing fixtures, adding on, etc., and IT IS YOURS. The landlord can't raise your rent or kick you out. If you live in a neighborhood with restrictions, there may be some things you can't do to the outside of your structure or pile junk cars up in the yard. Some neighborhood restrictions are a little too restrictive for some, but basically these rules won't be hard to follow if you have PRIDE in your home and take care of it. So, you have a place to live, you can do what you want to it AND your home will increase in value so when you get ready to sell it, it will be worth more.

Let's face it. Recently, what happened in the real estate market was a bubble, not something permanent. Birmingham is not nearly as bad as the rest of the county - believe me -but we have lost value in some areas. This bubble was created by removing all barriers to owning real estate. Getting a mortgage became too easy because people COULD get a house without having ANY money. Interest rates were at historical lows and some lenders started offering "creative financing" so some people were buying more house than they could really afford. Because all of a sudden, anyone could by a house, there were more buyers than houses and prices went up (remember the old supply and demand). Appreciation skyrocketed in many markets. The rush to riches through real estate came to an end because bubbles eventually burst. Now we are left with a buyer's market, instead of a seller's.

From a financing perspective, we are back to the way it was 10 years ago. A person has to save money to buy a house and they have to have money in the bank for an emergency (like enough to make a payment or two if you loose your job). They need to show that they CAN pay back the mortgage company by having a good credit history. One advantage over 10 years ago is that rates are LOW, so your payment is less and if you get a fixed rate loan your loan payment will not go up (your taxes and insurance may, but not the repayment on your loan). Can you say that the rent you pay for your apartment will not go up???? Even though you hear the banks are not lending money, there is PLENTY of MONEY out there for you to buy a house.

And, assuming you don't try to sell your house right away, your house will be worth more when you DO sell it. A basic rule of thumb is if you take care of it, a house will appreciate 3% per year. There are costs associated with selling a home, just like buying a home and those costs tend to be about 9% of the salesprice. So keep it 3 years and you are going to "break even". After that you will make a profit. We saw prices shoot up in 2005-2007, so if you bought then, these rules don't apply, because the people who owned then made more than 3% per year, but over time prices will go UP. Now prices have come down and are where they should be - it is a good time to buy.

I saw some national statistics for housing appreciation on RISMEDIA:

1970-1979 = 142% appreciation
1980-1989 = 52% appreciation
1990-1999 = 45% appreciation
2000-2008 = 42% appreciation

Source: The National Association of Realtors

Birmingham prices are not as high as some other areas of the country so we are probably a little on the low side of those numbers, however, looking at that, we can say the 3% would be conservative. Conservative would be smart for the next few years.

What else can you buy, use it for 5 years and then sell it and make money: your car, your clothes, your TV, your cell phone?

Buying a Home is a smart choice for your money. If you would like to talk more about buying a home, let me know I'd be happy to help. Contact me at www.ToniBird.com.

It snowed today in Hoover Alabama. Most people stayed inside and watched the snow come down in the morning and then went about the rest of their day as planned. It is getting to be that time of year when people start thinking about buying a house and lots of people who were thinking about home ownership last fall decided to wait a little while longer and save up for a bigger down payment. With the new tax credit for first time home buyers available, this is an even better time to think about home ownership. But where to start?

Once you've Saved up money for a Down Payment to Buy A House, Checked Your Credit so there are no glitches, and have a good idea about Where you Want to Live, the next step is to get Pre-Approved by a lender. The key here is Pre-Approved not Pre-Qualified. You want to fill out the lender's application and have them review your credit documentation BEFORE you go and look for that house.

There are hundreds of lenders out there that loan money to purchase homes in Hoover, Al or the greater Birmingham area. I have worked with several great ones and some bad. Some lenders will just ask you a few questions and they tell you - yes you can qualify for a house, but the good ones will want to verify your information before they give you an answer.

If you don't know a lender, get some recommendations from people who work with lenders everyday - such as your friendly realtor. I have several I can recommend. I wouldn't shop for a lender based on rate, I would shop based on service. Most lenders in this area are going to be competitive; you want to make sure they can get you to the closing table on the DATE YOU WRITE IN THE CONTRACT. Give me a call at 821-3312 or e-mail me at http://www.tonibird.com I'll be happy to recommend a few for you to choose from.

When you meet with the lender you will need some financial information, so plan to bring these documents:

Your W-2 forms from last year and your most recent pay stub,

Your last 2 months bank statements,

Any investment accounts you have such as a 401K from work,

The name and address of your current landlord,

Your credit card numbers, the balances and the monthly payment of each,

Information on any other loans you have such as student loans, car loans, etc.

The lender MAY need other information from you, but this will get you started and after they meet with you, they'll let you know if they need anything else. If they ask for other documentation, get it as quickly as possible. Expect them to have you sign a form saying it is OK for them to pull your credit report. Even if you have run your own, they will need to do it to make it official. They will probably charge you a fee for this - as the credit bureau will charge them a fee (even though you can pull one each year for free).

Feel free to ask questions. If you feel the lender is not willing to answer you or is too pushy - then walk away and find another one.

Once you are PreApproved, you'll be ready to shop for your house. You can get started on my website at www.ToniBird.com/listings.asp. Let me know if I can help toni@tonibird.com.

I woke up this morning at 6:20, peered out the window and there it was SNOW. They had promised us snow several times this year and didn't deliver so when my husband told me yesterday that it was going to snow today, I just dismissed the thought. But this morning, with eternal optimism, I took a peak and here it was ‘THE WHITE STUFF".

I was born in Massachusetts and have many happy childhood memories of playing in the snow. So I look forward to those infrequent occasions when we receive snow here in Hoover and today I was not disappointed.

I went back to bed until 7:30 and then arose to drink our morning coffee in the living room while we watched the snowflakes pour from the sky. It was so quiet and peaceful! It snowed until about 10:30 AM - not enough to stick on the roads, but the wooded areas are just beautiful. Here are some pictures to enjoy.

There were 16 home sales in Pelham Alabama in January 2009. This was down from a spike to 34 in December but closer to the 18 that sold in November. The average salesprice was $187,606 with sales ranging from $81,000 for a townhome in Wildewood to $377,900 for a 4 bedroom, 3.5 bath in Ballantrae. Six of the 16 homes were new construction in Ballantrae. The average days on the market for sold properties was 81. Currently there are 274 properties on the market in Pelham (down from 334 in September) which represents a 17.12 month supply.

Looking for a new home? The internet is a great place to start. Search for a home in Pelham, Alabama or the Greater Birmingham Area at my website www.ToniBird.com.