About Franklin County, PA

I'm hosting an Open House this Sunday for one of my Sellers. However, in my humble opinion, Open Houses are very quickly losing their effectiveness for Sellers. With multiple pictures of most homes being published on the internet, potential homebuyers can view the houses being held open in advanced of the published Open House date. Oh well, I'll catch up on my reading on Sunday.

I do suggest, however, that Buyers, that I represent, not attend Open Houses for the following two basic reasons:

•1) It's in their interest to not have the listing agent be able to see what motivations them. Even subtle facial expressions can give away the buyer's preferences and indicate what is important to them. Little things can make all the difference when in the middle of a negotiation to purchase a property.

•2) Why wait until Sunday to see the property when I normally can get them into the property prior to the Open House. Differences in timing of even a few hours, can sometime make or break a deal. So, why put yourself at a competitive disadvantage by waiting until other buyer have the chance to see the property at the Open House.

I'm putting together a consumer friendly website for home buyers in the Franklin County, PA area. It allows potential buyers to search all available homes in Chambersburg, PA through our Multiple Listing service. The inability to obtain accurate, current, and complete information about houses in Chambersburg has historically frustrated the buying public. Additionally, I'm including links to some of the most commonly used loan programs (VA, FHA, PHFA, etc.). http://SteveSpray.net What did that old commercial say? "Try it, you'll like it!"

After showing a few houses in Chambersburg, PA this past week, it dawned on me that there are many first time home buyers that still don't understand the "First Time Home Buyers' Tax Credit" being offered under this year's Federal Government's stimulus program.

As an example, I was showing a lady, who was much my senior, a home that would be perfect for her. When I mentioned the tax credit to see if she thought she was eligible she said, "I did own my own home some years ago. So, NO - I'm not a first time home buyer." She did not understand that to be considered a first time homebuyer you only could not have owned a home for the last three years.

But time is running out. Unless the current incentive is extended, a buyer will need to have settled on their new home by November 30^th of this year to take advantage of the tax credit of $8,000. And since it does take several weeks to process a mortgage, as we say in the industry, TIME IS OF THE ESSENCE!

Do you ever wonder who is benefiting from a short sale and who is paying for it? At first glance it appears that the homeowner/seller is benefiting. The buyer of the property certainly hopes that they are--benefiting from the transaction, that is. I am told that the bank is happier short-saleing than foreclosing on a home, since it cuts their losses in the long run. That does not mean that they are anxious to give away their money, by the way, and it is not an easy sell to convince them to do so.

But what about the rest of us? What about the purchasers who saved up for a downpayment the old fashioned way and have no bank agreeing to a sort sale or loan modification to bail them out? What about you and me the taxpayer? Do we win??

My hope is that by getting folks who would otherwise face foreclosure thru a shortsale, I am helping us all.

--The community will have less vacant houses setting as targets for vandelism and deterioration.

--Banks will have to take some of the burden for contributing to this crises. (By the way, some of our local banks are not doing short sales, because they were not doing 100%+ equity financing!)

--Sellers will be able to sell to an appreciative buyer, and will then either rent, or perhaps even buy a smaller home they can afford on their reduced income.

--Prices will correct more quickly and the housing market will stabilize again, bringing jobs back into our communities. (You can't outsource building houses for Shippensburg, PA to India or China.)

While it is certainly true that this crises is going to cost us all a lot of money and more that a few sleepless nights for some, I would hope that we are, collectively learning a few home truths.

1) While you may feel jealous of the write off that a neighbor is getting in a short sale, you also can be thankful that you do not have the stress of being upside down in your mortgage, and then lost the ability to pay for you home. (If you are, perhaps you want to give me a call and see if I can help you see light at the end of that scary tunnel.)

2) Solid financial (and moral) decisions always pay off in the long run. Winning the lottery looks like a great blessing-- until you take a close look at those winners lives in a few years. Nearly 100% are no better off than they were before the big windfall, and most are in worse straits

3) Doing the right thing doesn't always seem to pay, and thieves sometimes get away with their theft, but a praying grandmother put it this way. "I pray that my grandchildren will always get caught when they do wrong. " Then they will learn to do right, and will thrive in the long run.

4) There is great value in peace-of-mind and a clear conscience. You can't put a price on them, and the savings in heartache and doctor bills to correct it ....and you CAN put THAT in the bank!

Mim