Last night Aunt Faigela and I decided to not cook but to get a bite to eat at a nearby restaurant. Nothing extravagant, just a simple meal - not even desert, thanks to our latest diet. Having these very occasional no-frills nights out gives us both a break from the routine and a chance to just talk. What promised to be a nice night out almost turned into something else: panic.
Babsie, the waitress, took our order. Babsie is a long time member of the staff at this restaurant and we've gotten used to her rather dour manner. Half-way through our meal she came to our table and asked how everything was. Fine, we answered. Then Babsie started talking about the economy, how no one could afford a house (music to my ears you can be sure). As a matter of fact, said Babsie, even eating out in her restaurant was a luxury no one should or could afford anymore. But, said Faigela, we felt the value we received was good: very decent food at a moderate cost. Yes, countered Babsie, but it's still too expensive, no one can afford it anymore.
After finishing our meal - yes, we did enjoy it - we paid up. Before leaving, I glanced around at all the other waitresses. Each was counting on the paycheck and tips generated by folks like us that, while being sensible and frugal, still chose to ignore the Babsies of this world.
Thank goodness Babsie doesn't have a television audience. But, then again, maybe she does.
January 30, 2009
January 29, 2009
Waiting for Spring
These past couple of weeks or so there seems to be a bit more interest by Buyers. Everyone is seeking a bargain, of course, but enquiries about different types of properties have come across my desk with more frequency.
I'm mostly hearing from three types of Buyers: Those working on a limited budget, those seeking foreclosed properties and those seeking investment properties.
Budget conscious Buyers are doing their homework - getting their mortgage pre-approvals in order before the search begins. There is so much inventory right now they have choices. Banks are hungry for their business if they are qualified Buyers. The Coldwell Banker Mortgage division is very competitive and many locally based banks (those not caught up in the flim-flam mess) are doing a relatively brisk business, too.
Foreclosure bargain hunters are a mixed-bag. There are those looking that know that some properties that may fit their needs might just happen to be foreclosures. Others are under the impression that banks are giving the properties away. Not so. Fair market value still rules. That is why banks, once they take over a property, have it appraised and then put into the Multiple Listing system ASAP. They, like every Seller, want the most attention given to a property as possible. Those late-night infomercials offering "special lists" of foreclosed properties are, for the most part, print-outs of multiple listings information and/or lead-ins for taking courses to "make it rich with no money down" in today's real estate market. Right! Switch channels and the same company may be selling potato peelers or Commemorative Inaugural Coins.
Bottom line: Foreclosed properties sell for market value, often need work and rarely are move-in mansions selling for pennies on the dollar.
Next are the investors. Unlike the "investors" of the 2000-2006 era, these are serious, practical folks. They are seeking both residential and commercial types of buildings and there is plenty for them to choose from. Those contacting me are given the "Rule of Ten" talk (see past articles). For the first time in several years, I am again advising my clients to look at investment property.
The one question that each type of Buyer asks me is this: "Should I wait until spring to see where prices go"? My answer is this: By following this method of buying a home or investment you may be waiting until a lot of other Buyers make their move. If you have the ability to buy now, figure what you think the market price may be in 4-6 months and make an offer based on that. A savvy Seller just may say, "Yes".
I'm mostly hearing from three types of Buyers: Those working on a limited budget, those seeking foreclosed properties and those seeking investment properties.
Budget conscious Buyers are doing their homework - getting their mortgage pre-approvals in order before the search begins. There is so much inventory right now they have choices. Banks are hungry for their business if they are qualified Buyers. The Coldwell Banker Mortgage division is very competitive and many locally based banks (those not caught up in the flim-flam mess) are doing a relatively brisk business, too.
Foreclosure bargain hunters are a mixed-bag. There are those looking that know that some properties that may fit their needs might just happen to be foreclosures. Others are under the impression that banks are giving the properties away. Not so. Fair market value still rules. That is why banks, once they take over a property, have it appraised and then put into the Multiple Listing system ASAP. They, like every Seller, want the most attention given to a property as possible. Those late-night infomercials offering "special lists" of foreclosed properties are, for the most part, print-outs of multiple listings information and/or lead-ins for taking courses to "make it rich with no money down" in today's real estate market. Right! Switch channels and the same company may be selling potato peelers or Commemorative Inaugural Coins.
Bottom line: Foreclosed properties sell for market value, often need work and rarely are move-in mansions selling for pennies on the dollar.
Next are the investors. Unlike the "investors" of the 2000-2006 era, these are serious, practical folks. They are seeking both residential and commercial types of buildings and there is plenty for them to choose from. Those contacting me are given the "Rule of Ten" talk (see past articles). For the first time in several years, I am again advising my clients to look at investment property.
The one question that each type of Buyer asks me is this: "Should I wait until spring to see where prices go"? My answer is this: By following this method of buying a home or investment you may be waiting until a lot of other Buyers make their move. If you have the ability to buy now, figure what you think the market price may be in 4-6 months and make an offer based on that. A savvy Seller just may say, "Yes".
January 14, 2009
Lessons from the Butcher
Working my way through the isles at the local Stop & Shop today turned out to be both relaxing and instructive. I love looking for mark-downs and using coupons for the essentials. For me, it’s like finding buried treasure or a couple of dollars in the pocket of just-washed jeans – an unexpected surprise.
Most times I shuffle through the store concentrating on what I need to pick up and little else. At the big stores, much of the time, the employees seem as anonymous as we are – both of us just doing our jobs. That’s the trouble with the big guys. The store promotes their branding so much that we forget who actually runs the place. Lately, I’ve tried to get to know the folks at the supermarket a bit more, even if just to say hello or thanks. Sure, I know Ellen; and Donna is a familiar face. But the others…?
Today was different. I found a few bargains, but came away with much more.
The meat department had lots of good sales going on today. Maybe Wednesdays are The Day. Tired of chicken, I decided to look for something else. A sign advertised boneless pork chops at only $1.99 lb., but the bin was empty. The butcher was busy in the back (at this market lots of what goes on is very open to the public’s scrutiny – a good thing) so I got his attention and asked about the special on the pork. No problem, just give him a few minutes and he’d have some more packages made up for me to select from.
So, it turns out there was no shortage as I had feared – just an unexpected demand. As a matter of fact, said Oscar, the butcher, because there was so much pork available right now they could sell it for less than chicken. Same thing with some cuts of beef, he said. No, prime rib wasn’t on sale for $1.99 lb. but, then, again, the demand for prime rib had slowed recently. Only a few of his customers asked for it. Oscar figured it had something to do with the economy. But, was the bargain stuff any good, I asked. Sure, said Oscar, and, because it’s not so expensive the whole family can enjoy it or you can have a few friends over for dinner. So, I can do more for less? Yep, and you can add some seasonings and make your own “specials”. So, by not buying the fancy stuff I can still eat well and not go broke? Yeah, haven’t you heard of supply and demand, man? I have, Oscar. Thanks for the tips.
Now, could this apply to buying a house: avoid the high-end fancy stuff, get down-to-earth prices on solid, decent homes and add the right touches to make it your own? In the words of Oscar, Yeah, haven’t you heard of supply and demand?
Most times I shuffle through the store concentrating on what I need to pick up and little else. At the big stores, much of the time, the employees seem as anonymous as we are – both of us just doing our jobs. That’s the trouble with the big guys. The store promotes their branding so much that we forget who actually runs the place. Lately, I’ve tried to get to know the folks at the supermarket a bit more, even if just to say hello or thanks. Sure, I know Ellen; and Donna is a familiar face. But the others…?
Today was different. I found a few bargains, but came away with much more.
The meat department had lots of good sales going on today. Maybe Wednesdays are The Day. Tired of chicken, I decided to look for something else. A sign advertised boneless pork chops at only $1.99 lb., but the bin was empty. The butcher was busy in the back (at this market lots of what goes on is very open to the public’s scrutiny – a good thing) so I got his attention and asked about the special on the pork. No problem, just give him a few minutes and he’d have some more packages made up for me to select from.
So, it turns out there was no shortage as I had feared – just an unexpected demand. As a matter of fact, said Oscar, the butcher, because there was so much pork available right now they could sell it for less than chicken. Same thing with some cuts of beef, he said. No, prime rib wasn’t on sale for $1.99 lb. but, then, again, the demand for prime rib had slowed recently. Only a few of his customers asked for it. Oscar figured it had something to do with the economy. But, was the bargain stuff any good, I asked. Sure, said Oscar, and, because it’s not so expensive the whole family can enjoy it or you can have a few friends over for dinner. So, I can do more for less? Yep, and you can add some seasonings and make your own “specials”. So, by not buying the fancy stuff I can still eat well and not go broke? Yeah, haven’t you heard of supply and demand, man? I have, Oscar. Thanks for the tips.
Now, could this apply to buying a house: avoid the high-end fancy stuff, get down-to-earth prices on solid, decent homes and add the right touches to make it your own? In the words of Oscar, Yeah, haven’t you heard of supply and demand?
January 13, 2009
Good buy or good bye!
This morning several brokers and I previewed some of the newest offerings of homes just listed for sale. It was surprising, in a way.
With some Buyers beginning to make serious enquiries about properties as well as getting a firm picture of their financial health and abilities, now should be the time for Sellers and their agents to put their best foot forward.
What was visible today were homes still being over-priced and / or homes not even close to being ready for market.
With inventories of housing of every description being plentiful, Sellers must price their home on current values - not on wishful thinking. If not, Buyers are more than willing to wait until the right home comes along at the right price.
With some Buyers beginning to make serious enquiries about properties as well as getting a firm picture of their financial health and abilities, now should be the time for Sellers and their agents to put their best foot forward.
What was visible today were homes still being over-priced and / or homes not even close to being ready for market.
With inventories of housing of every description being plentiful, Sellers must price their home on current values - not on wishful thinking. If not, Buyers are more than willing to wait until the right home comes along at the right price.
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