The Gurley Team

This is an excellent blog by a fellow Realtor.  As a homeowner now and/or in the future it's important to understand the "potential" appreciation your home can have.  GREAT BLOG!I’m still surprised by the number of people who believe that home values will magically return to those of 5 years ago; and if you are one of those looking to recoup your home’s lost value, it’s not happening—ever.  How can I be so certain?  It’s pretty easy once you look at the facts. Home values have historically appreciated at a rate near the rate of inflation—once you adjust for the differences in size and discount for geographic anomalies.  However, that trend changed when we began the recovery from the “tech-bubble” of the last decade.  As the Fed encouraged easy credit (an understatement) and the mortgage industry discovered they could package and market sub-prime loans at premium prices, we saw a housing boom unlike any we’ve ever experienced.  Driven by increased demand, home prices skyrocketed, rising 10% or more per year in some of the hottest areas. And now that prices have fallen by 30% or more (60% in the worst areas), owners want to know when they’ll recoup the value lost during the crash.  Many, nearing retirement, had viewed their accumulated equity as a cushion to supplement their retirement income; others saw it as a fast track to “easy street,” and have already spent their “windfall.”  However, all want to know when values are coming back, but unfortunately they are not—not next year or the year after—not ever. To understand why I would say “not ever,” we must look at what drives home prices up.  It’s not that homes somehow become more valuable over time or that ownership rates historically trend upwards.  Disregarding the growth in the average home’s size over the past few decades and ignoring the geographic appeal of a few specific areas, home prices have increased because of inflation.  As the dollar became worth less—some would say worthless—it was necessary for home prices, along with the prices of other goods and services to follow.  When we look at the trend-line for home prices over the past fifty years, it has closely followed the rate of inflation. What that means is that home prices WILL increase in the future, but the majority of that increase will be consumed by the corresponding increase in the rate of inflation.  If we sell that home, those dollars received will have less value than those of today—given the likelihood that the U.S. will continue to experience some degree of inflation. The home prices experienced during the housing bubble we’re artificially high—the GRAPH below from Calculated Risk demonstrates just how far out of line they were—and their fall was to be expected.  The bubble prices were not based in an inherent increase in a home’s value, but were artificially driven by forces not directly related to housing; and, barring a direct attempt by the government to create another bubble, they cannot return. What we’re left with is the natural progression of housing following inflation.  Home prices will not equal those of the bubble for many years unless we experience—as some have predicted—a significant increase in the rate of inflation.  But once again, such an increase will serve only to compensate for a loss in the value of the dollar; it cannot return the losses suffered following the crash, for those dollars have been lost forever. A “recovery” in housing won’t feel like recovery at all.  The best we can hope for is stabilization and a return to the natural trend of home prices following the rate of inflation.  To anticipate a sudden and dramatic upwards movement is only wishful thinking, and it is wishing for a return to the very conditions that caused the collapse. The Housing Guru: The expert source for all your housing questions—now featuring daily updates of Today’s Housing News      

This is a great blog.  It's simple and exactly what you need to know if you are planning to refinance or apply for a mortgage in the next few months.  Taking these steps will help ensure a smoother application process. HAPPY HOLIDAYS EVERYONE! Tips for Applying for a Mortgage How To Apply In recent years the loan application process has been greatly simplified, however proper information from borrowers is still required. Most lenders today are looking for fully-documented loan applications. This may sound intimidating, however it’s not a big deal. Just take these steps: At least three months BEFORE you finance or refinance real estate get a copy of your credit report. The reason to do this is to check and see if there’s any information on your credit report which is factually incorrect or out-of-date (most negative items can stay on a credit report for seven years, 10 years for a bankruptcy). If you start looking at your credit report three months ahead you should have some time to correct errors. You can get a free credit report with no strings attached by going to AnnualCreditReport.com. Get your paperwork in order. Have in hand your last three pay stubs, your last three tax returns, and statements for all savings and checking account, mutual funds, retirement accounts, credit cards, student loans, car loans, etc. Make a file and stick the paperwork in it. You want to show ALL income and you must show ALL debts. When in doubt add it to the file. Ask some questions: Do you expect to receive “bonus” income now or in the future? Do you expect to receive “overtime” income now or in the future Will “other” income in addition to your salary continue at current levels? If you own your home and use it as a prime residence, what’s the estimated fair market value? What’s the value of all financing now secured by your current home if you’re refinancing? Treasure Coast Florida Real Estate presented by Gabe Sanders and Susan Maxwell Post courtesy of Kim Davis and Claudine Porikos, Group One Mortgage

CHARMING 3 BEDROOM, 2 1/2 BATHS ON AN UNFINISHED BASEMENT WITH MORE THAN 3/4 ACRE LOT!  GORGEOUS WRAP-AROUND PORCH, MASTER ON THE MAIN, OVERSIZED BEDROOMS AND BATHS, SUN ROOM, BACK DECK, WALKING TRAILS AND MOMENTS AWAY FROM LAKE LANIER. CALL THE GURLEY TEAM FOR MORE INFORMATION ON THIS VERY SPECIAL HOME!! 770-596-5965

The GURLEY Team just listed a fabulous townhome in Collinswood Park.  It is move in ready or perfect for an investor looking to rent it.  All appliances stay, including the kitchen refrigerator, washer/dryer and stainless grill! This is a unique floor plan, offering architectural features not seen in many of the units.  Arched door ways, wainescoting, dark stained hardwoods, high gloss black accent trim, large kitchen with oversized center island, and private backyard views to the creek and woods, make this home very special! This is a short sale pending bank approval.  But, it will be worth the extra wait! Collinswood Park is a gated community located near I85 in Gwinnett.  Centrally located for almost any commute.  Restaurants and shopping of all sorts are nearby. Please call the GURLEY Team for more information, 770-596-5965.

PINCH ME! I must be dreaming. My dream starts out that I've just put a home on the market that's a short sale. My owner has mailed his "short sale" package with all his financials and we are waiting for the offer to come. Low and behold 4 weeks into this dream we receive a great offer! I've got the pre-HUD done now and it's time to fax everything in. Done. Next.... Making THE CALL. Oh, how I am dreading making THE CALL!... You know the one, to the BANK.  Knowing I'm going to be on hold for... oh say an hour, I wait until I have a break with everything else so I can sit and listen to scratchy bad elevator music, praying someone will answer my call before my ear actually burns up. Ring, ring, ring.... a few prompts and 5 seconds later I'm talking to someone live. What, really? "Hello, this is Debbie, thank you for calling __blah blah blah____, how can I help you today?"   "Hi Debbie," I stumble to say with my mouth full of spaghetti... Debbie tells me that my file has just been assigned to a negotiator (I just sent it yesterday!).  She then says with a GIGGLE... " Oh, I'm YOUR negotiator!"  So, I giggled too, wouldn't you?.   I really must be sleeping. You agree right, what are the chances I would get THE ACTUAL NEGOTIATOR ASSIGNED TO MY FILE when I dialed a 1-877 number... to a large loan servicing company?? After telling me she will be handling my file, she then proceeds to give me ALL her contact information including her direct line, email address and fax number. :)  Ok, at this point I say to her, "REALLY Debbie?" She tells me its their goal to have my file complete within 30 days AND she says she is going to call ME once a week with updates. WHAT? She orders the BPO while cheerfully telling me she is looking forward to working with me. OMG. So, I hung up the phone and thought to myself... AM I DREAMING?  Is this really possible? And, then I wonder,... is the nightmare yet to come? Stay tuned as the story continues! Signed, SLEEPING SHORT SALE BEAUTY !

I can appreciate this. This is an excellent blog to help my Buyers.  I love the statement that buying a home is a lot like shopping a TJMaxx.  What you see is all they have... it's what the inventory is at the moment.  Leave the store and most likely it won't be there when you return! Maybe you have not found "your" house.  You have been out looking on Open House days and with your agent at scheduled appointments.  So far, there is nothing for you.  I want you to hang on to hope. No two houses are identical.  Even if built by the same builder and at the same time, each house is on a different lot.  At minimum, the view is slightly different and the address is not the same.   We might have to see a lot of houses that seem similar to find "your house". Thousands of homes sold last year in your area. Shopping for a house is a bit like shopping at Winners or TJ Maxx.  What you see is what is in stock.  Unless you are dealing directly with a builder, there is no inventory of available houses waiting for the stock to go down before they come to the market.  It also means that a better house may be available next week or may never be available.  What we know is that just because we didn't find something this week does not mean that there will never by anything right for you.  Each day new houses come up for sale on the MLS®.  We are going to look at them until we find "your house". Bidding is a requirement.  Buying a house is a bit like going on EBay.  You have to put in an offer for the house to be in the running to get it.  If you don't get it, then we keep shopping.  I want you to really like the house but not love it so much that you have to get it at all costs.  What do you think is a reasonable offer and have you any flex for a counter offer?  Pre-determine your maximum.  Stay cool in the offer - counter offer process.  This may mean that at some point you walk away from the house.  Okay, so this just means that we are back shopping. Self-qualify.  Each time we see a house, think: "Is this right for me?  What do I have to have?  Is there something that bothers me but that I can live with?  Should I adjust my list of "must haves and nice to haves"?   Think again about the neighbourhood.  "Am I prepared to go further out of the centre of town and get more house for the same or less money?"  "Am I willing to renovate in order to live closer to the centre of town?"  After a few visits, we will rethink your requirements and narrow the search. Don't give up.  When we moved to Ottawa, my husband wanted to live in an older centrally located neighbourhood.  We spent the entire summer looking for a house.  I was ready to pack up and go back to 'home'.  I rethought my criteria several times.  First it was the sticker shock, then it was the crumbling condition of old houses, then it was hot water radiator heating and so on.  It was just too much.  At one point I was on the bus (yes, public transportation) going to work.  Suddenly, tears sprung from my eyes.  I was overwhelmed - no friends, no house and a new job.  I had my one day of tears and then we were out continuing the search.  Three weeks after the bus meltdown, we found a house. There is a lot of stress in moving. Don't Get Stuck in Your Thinking Photo Credit:  Stuck Accordian Bus by: http://www.flickr.com/photos/allie-in-wonderland/2102492616/ Valerie Zinger  email: vzinger@royallepage.com  (613-723-5300) Royal LePage Gale Real Estate,  Ottawa, Ontario, Canada  

My Dad told me when I entered into Real Estate, "don't ever chase the money."  Thanks Dad for that advice.  It's made my work life very fulfilling... even in the hardest of times.I'm not sure that could make it any plainer than this: The Best Realtors Help People Some call it karma, others say the idea is related to the Golden Rule. Whatever the case, I'm finding it increasingly more evident that when I put my own needs/wants on the back burner, listen as hard as I possibly can to my clients and then try to help them get what they want... that is really when life is good. Being successful in business is just a by-product of this mindset. I'm a Realtor but try it for yourself in your line of work. Whether you are here in Louisville, Kentucky or across the globe in Nepal. (Hello!) Take the next week and put others first. At the end of the week look back and see how it turned out for you. I predict you'll be happy with the results.

This is helpful information in explaining the difference between a short sale and a foreclosure.  The GURLEY Team is primarily working with both these types of transactions these days.  Most banks are processing short sales much more effeciently now. If you are in a situation in which you need to sell your home and owe more on it than its worth, call me.  My team and I are highly proficient in helping clients in these situations. WE CAN HELP YOU.  770-596-5965.As of this week, a recent study by the real estate data provider, CoreLogic, has revealed that about 11 million US homes are occupied by owners who owe 15% or more than the current appraisal value of their home.  This amounts to an alarming 23% of American home owners. This tells us that an even larger number of Americans are "underwater" on their mortgage in some capacity. Amidst the recent real estate bubble, millions of Americans have found themselves facing the question of whether to fall into foreclosure or attempt to sell their property through a short sale.  The next question is usually "which is better for my credit?"  First, It is important to know the difference between the two processes.  Although there may not be one with any ultimate advantage over the other, this will help you decide which process which is right for you. A short sale is only possible when your lender agrees ahead of time to accept less than the amount owed on the loan.  Not all lenders will agree to negotiate a short sale, especially if you are not currently very behind on your loan or have other cash assets.  If you know your loan will become delinquent in the future, (i.e. unemployment payments running out, job ending)having a short sale in anticipation could be helpful - but depending on your individual situation, a short sale could be just as damaging to your credit as a foreclosure. A foreclosure will occur when you are indeed behind on mortgage payments.  The amount of allowed payments missed before the final foreclosure will vary according to your state.  These late payments can very negatively affect your credit and regulations state that you'll likely need to wait 24-72 months to apply for a new home loan. (One advantage for short sellers is only needing to wait about two years to re-apply for a mortgage loan.) There is some debate about whether short sales will harm your credit any less than a foreclosure, but the fact is, neither will help you to obtain good credit.  Bad credit can get in the way of renting a new apartment, buying a newer downsized home, or even getting a new car or new job.  In order to secure your future after a short sale or foreclosure, it will be imperative to assess your individual situation with complete financial and credit counseling. ☺ MattToll Free: 888-NCFIXER (623-4937)Toll Free Fax: 888-FAX-4020 (329-4020)Local: 860-282-6181330 Roberts Street 4th FloorEast Hartford, CT 06108 credit repair company