Kelly Gaitten’s blog

NOW is the time to BUY and SELL.  In my humble opinion - we are in a unique pocket of the real estate market right now.  Supply of homes for sale is the lowest since July of 2005!  September data for Loudoun County Real Estate indicate we had 2100 listing active on the market.  Homes are moving under contract in about 61 days.  I have had my own listings go in less time than that.  A Leesburg property listed for $419k went in 2 days with multiple offers.  We are waiting for the next "wave" of foreclosure properties which should start happening in the Spring of 2010. 

Last Friday, I attended the Dulles Area Association of Realtors Economic Summit in Ashburn.  Top Economists - including Gregg Stratton of the National Association of Realtors, spoke positively toward the real estate market for the first time in many months.

The first slide in Gregg's outline: "Financial Markets Improving, Rise in Unemployment has Slowed, Housing sales/prices up in 2009 and Positive Economic Growth in 3rd Quarter". 

As a Realtor, I have been telling you all what I see and hear out in the field.  All speakers indicated that the Metro DC area, including Northern Virginia, is somewhat insulated by the incredible job opportunities we have here.  Yes, we have been hit by the down market and unemployment, but we are recovering at a faster pace. 

I have felt the positive changes in the market for months and have shared this in my blogs and conversations.   Economists like to have data and trends so they can report the facts. Once they report you'll start hearing it on the media.  Don't wait. This is a GOLDEN opportunity if you've been waiting for change.  It's here. 

You can find Gregg Stratton's outline and more at the Dullesarea.com website.  Call or email me today if you have questions or just want to find out what your home is worth in today's market.

For a first time home buyer or anyone who qualifies who has not owned a home in 3 years, it sounds too good to be true.  But it is!  The tax credit is cash to you on next year's return, or you might amend this year's return.  As always, check with your tax advisor or attorney if you have any questions on whether you qualify.  You must close on or before 12/1/09. If you have not started the process I can connect you with great lenders, tax advisors and of course- a great Realtor (ME). 

A few myths- you can use this tax credit as your downpayment. In May, the National Association of Realtors reported that some FHA lenders are allowing you a bridge type of loan to use the credit as closing costs. This has not been perfected and all of the lenders we've spoken to say it just isn't feasible because you'd only get $5,000 of the credit instead of the full $8,000.  For more information and the full scoop go to:   http://www.federalhousingtaxcredit.com/2009/home.html

Don't miss this great opportunity!

Spring has definitely brought out the buyers.  The Government stimulus plan is doing the job. First time home buyers are taking full advantage of the $8k tax credit and I am seeing more FHA and even VA loans than ever before.  Lending guidelines are still pretty tough and some banks are making it difficult but for the most part, buyers are buying and banks are lending.  Inventory is the real issue.  Most of the lowest priced homes have sold off and I am starting to see multiple contracts on properties from the $150k range as well as in the $900k range which is an indicator of recovery.  With that, the time is still right to buy- don't miss out on the great pricing we still have.

Well, you can get a nice 3 bedroom townhouse in Leesburg for instance! I have several investor clients with cash and a few who have financed through a lender - with no issues. These clients have asked me to find an investment that doesn't need much work that they can buy for $80-90k and rent out WITH POSITIVE CASH FLOW.  

NO PROBLEM - I have it!  There are still opportunities in Loudoun for this type of property.  I have been sucessfully negotiating bank owned contracts for my investors and they'll tell you - they got a great deal.  I've been saying it since October and I'm still saying it - because it's true!  I'm busy - writing contracts and was even spotted out on New Year's day showing homes and writing contracts.  Call me - I'm never too busy to help you with any real estate question you may have.  Thank you to all of my current clients who continue to refer me to friends and family- I love it!

Short sales - not a problem.  I'm about to finish a short sale course and become a certified specialist. 

My phones are ringing off the hook and Christmas is a week away!

I have first time home buyers and investors alike calling me and we are GETTING great deals!  There are plenty out there but the low priced foreclosure inventory is quickly going away.  One of my buyers is getting a fantastic deal on a 3 bedroom townhome in Leesburg priced at $88k!  (Of course, I got it for him at less than the asking price AND with closing costs paid by the seller/bank that owns the property).

Yes, it needs some work and yes, it's "as is" so be aware that these properties need some elbow grease.  My client has only minor repairs to make and already has a signed lease with a renter that more than covers the mortgage payment.  There are now only 3 in that neighborhood available and the prices are going up slightly due to the demand.

Yesterday's rate cut will not immediately affect mortgage rates but my investor mentioned above is getting a very good rate of 7.125% and that's on investment money with great credit and 20% down. Rates are decent. The Fed is trying to stimulate the economy with an influx of cash so why not take advantage?

First Time Home buyer? I have several lenders that offer EXCELLENT packages and rates for first time buyers with little or no money down. 

Maybe you are are a regular buyer who just wants to move? We can help there too.  General real estate is moving - it really is despite what you hear in the media.  Don't believe the hype - get the real info from someone who is out here every day writing contracts.

If you have been considering investing in a rental property or a home for yourself - NOW is the time. 

I can be reached at 703-966-7036 or via email at kelgaitten@aol.com.  I'm never too busy to help you- I welcome your calls and inquiries!

Mehwish and Sajjad

My clients, Mehwish and Sajjad had a very good idea what they wanted when we started our search almost 3 months ago.  Armed with some thoughts on location and amenities they wanted and needed- they had got an FHA approval with their lender, Wesley Burdette from Access Capital Mortgage.  Once we figured out what they wanted to spend per month on a payment, we went house shopping!  We looked at several short sales and a few foreclosures. We stopped at new home communities in South Riding, Stone Ridge and Braddock Corner and a few in Herndon as well.  Mehwish wanted a new home, Sajjad wanted an end unit town home wherever they ended up.  We found a fantastic home in Faulkner's Landing, Ashburn.  These are Beazer homes that are 2 years old. The community is selling in the low $300's.  My clients actually got a price below their budgeted amount and we got the seller to pay 3% in closing costs!  Short sales can be scary but I have successfully sold plenty and have also listed short sales and navigated the way for my clients in all cases!  Congratulations to my friends and Clients, Mehwish and Sajjad - many happy years in your new home!!!

Loudoun County continues a slight upturn in market recovery.  Days on market decreased January through September.  In October it dropped again to 90 days.  We have not seen days on market that low in over 13 months.  There are still alot of foreclosure and short sale properties on the market.  I am seeing multiple contracts on the very low or well priced properties and they are going under contract at a faster pace.  Stay tuned for updates.

1008marketstats

Update from the DULLES AREA ASSOCIATION OF REALTORS:

Today the NAR Directors approved a Four Point Housing Stimulus Plan which will be delivered to Congress  as soon as possible.  The following are highlights of the plan:
    1. Make the $7500 first-time homebuyer tax credit available to all buyers and eliminate repayment requirements. The credit's limited availability and repayment requirements severely limit the credit's use and effectiveness.
    2. Make the 2008 FHA, Fannie Mae an Freddie Mac loan limits permanent.  New rules for 2009 will reduce them.  Now is not the time to limit mortgage affordability.
    3. Get the Treasury relief program back on track and target more funds to mortgage relief.  Create a federal mortgage interest buy-down program to lower rates to 4.5% or lower and stabilize home prices.  The proposal calls for a short-term government buy-down ofr mortgage rates to at least 4.5%, or lower for a 30-year fixed rate mortgage (down from current rates of approximately 6.04%).  This homebuyer incentive would apply to the purchase of all new and/or existing homes sold up to to $1 million in price.  There are a number of ways in which the government ultimately could decide to structure and fund this program, which could be addressed as part of the stimulus packages currently being discussed in Washington.
    4. Permanently bar banks from engaging in real estate brokerage and management.  The banks have proven they have enough to do to simply manage the loan process. 

I have been trying to order ceiling fans for the past week. The Lowes.com website gets stuck once you try to move past the shipping and I got a timeout error.  I finally called the store and the store manager- Rick helped me get the fans and lighting that I needed delivered - next week.  Thank you RICK!!!

We just had a wonderful new roof put on the house - Alpha Rain from Warrenton, VA did a great job!  Brandy, the owner was great and delivered everything he promised!  Roof is done, copper gutters just went on and after a month, the roofers don't live here anymore!  YAY!!!  See photos below. I highly recommend this roofer and will refer him to family, friends and clients!