Homeowner Equity Rising Again

The good news is - CoreLogic, a leading real estate industry data and analytical service, reported earlier this month that 1.7 million U.S. homeowners are now ‘above water’ again.  Of course, nobody likes or wants ‘negative equity’, but unless you were trying to sell or refinance your home it didn’t make a lot of difference – except mentally. 

The bad news?  Over 21 million homes with a mortgage are still underwater.  That’s around 10.4 million homes, according to CoreLogic.  3.9 million of them are properties with first and second mortgages. They have an average value of $296,000 and the average amount of negative equity is $80,000.

The worst states? Nevada, where 52.4% of all homes are underwater, Florida has 42.4%, Arizona is at 34.9%, Georgia at 33.0%, and yup – Michigan is at 31.9%.  These 5 states represent over 32% of all underwater homes nationally.

 

If you'd like a free market analysis on your property, you can contact me through my web site, www.RealEstateMich.com.

 

graphic courtesy of nattavut/freedigitalphotos.net

The First Robin of Spring

Here in SE Michigan the '1st Robin of Spring' usually means warmer, nicer weather. Not today.

For the last couple of years, the weather on St. Patrick's Day has been in the 70's. In fact, for the last two years, I've been able to get my first round of golf for the year played on March 16th or 17th. Not this year. It appears that our local groundhog prognosticator, Woody the Woodchuck (who resides at the Howell Nature and Conference Center) and the nationally known Puxsatawny Phil have both misled us. Early Spring, indeed.

It was still great to see a relatively plump robin in my serviceberry tree this morning, even though we had a light snow overnight. And Spring often means that home sellers are getting ready to list homes. If that's you, consider calling me for a frank discussion on price trends and market dynamics. I'd love the opportunity to help you with your real estate needs.

photo courtesy James Baker, freedigitalphotos.net

Brighton Trail Race, 3/23/13-No Frills All Thrills

On Saturday, March 23rd, the Brighton Area Road Striders (BARS) will host their annual race, the No Frills All Thrills Trail Run at the Huron Meadows Metropark in Brighton.

This year, the race changes from a 5 mile distance to an 8K (4.97 miles).  New this year is the 'Half Thrills' 4K event (2.48 miles) if you're not in shape to go the full distance - or if you just want to finish earlier and get back to the refreshment table before the 8K'ers come in.

The race is professionally timed, offers unique awards and has been a staple on the early season trail running circuit for many years.  The park offers gently rolling hills with heated rest rooms.  A metropark pass is required to get into the park and you can buy either a daily or season pass on the day of the event.  Season passes are good for all Huron Clinton Metroparks in SE Michigan through 12/31/13.

Starting in 2010, BARS began donating most of the race proceeds to Girls on the Run of SE Michigan, and plan to continue that effort again in 2013.  Girls on the Run is a program for 8-12 year olds that uses running to teach girls about their personal power and the importance of being active and healthy.

For more info on this event, see the race web site at http://nofrillsallthrillsrace.com.  You can find out more about Girls on the Run at http://girlsontherunsemi.org, and visit the BARS running club web site at http://www.BrightonAreaRoadStriders.org.  BARS also has a weekly run, Wednesdays at 6:30 pm, beginning at the Brighton HS Fieldhouse.  Check their website for updates as they run from downtown Brighton once a month, too.

So let's get out there and run!

Livingston County Home Show - March 22nd-24th

If it’s time for the Livingston County Home Show, Spring can’t be far behind – regardless of the weather.

Show hours are 5-9 pm on Friday, March 22^nd, 10am – 8pm on Saturday, March 23^rd, and 10am – 4pm on Sunday, march 24^th.  It will be at the Howell High School Field House, and admission is only $6/person, $5 if you’re a senior (60 or older).  On Saturday, from 11:30 am – 3pm, the show will also feature the popular ‘Taste of Livingston’.

There are workshops and demonstrations at various times and of course, plenty of contractors and vendors to see.  If you’re planning a home project, this will time well spent.

The show is hosted by the Howell Chamber of Commerce.  Get more info at:

http://www.livingstoncountyhomeshow.com/hours.htm

Change Your Smoke Detector Batteries Saturday March 9th

We all know that it’s a great, easy to remember time to change your smoke detector batteries when we adjust our clocks to ‘Spring Forward’.  But so many of our devices are now ‘smart’ and change time automatically that we may overlook changing the batteries in our smoke detectors.

Even if you have hardwired detectors, the battery backup is essential for times when you may lose power.  And why wait?  Who wants to hear the annoying chirp-chirp of a smoke detector?

While you’re at it, consider upgrading your protection to a combination smoke-carbon monoxide detector.  They start as low as $33, and if you’re already using a separate plug-in model CO2 detector, you can reclaim some outlet space and get rid of those clunky looking devices, too.  It’s a much cleaner look to have the combination ceiling detectors.  In any case, you should have a CO2 detector on each floor of your house and within 15 feet of the bedrooms to insure that everyone will hear it if it sounds while you’re sleeping. 

Many fire departments will donate and install smoke detectors for free to struggling families.  Don’t overlook neighbors, senior citizens or fellow church members that may be having a tough time financially.  Fires are devastating, and a smoke detector is your front line of defense.

Homeowners - A Property Tax Appeal Guideline

For those of you that are homeowners and who haven’t yet subscribed to my real estate e-newsletter (why not?), here’s some great information for appealing your property tax assessment that you probably missed seeing.  I get numerous calls every year about this very topic – this year they started in January.

State Senator Joe Hune (22^nd Senate District) has put together a very informative brochure that you will find useful if you want to make an appeal.  First, you have to appeal to your municipal Board of Review.  Don’t forget to make an appointment for this!

 If you fail at the local level, you can appeal to the State Tax Tribunal.  The brochure correctly states that you do not need an attorney to do this, but my anecdotal evidence over the years seems to point to a higher success rate when you are represented by either an attorney or a Certified Public Accountant (CPA).

Follow the format in the brochure to be as well prepared as possible. 

Editor Note: Because I have shifted web platforms, the link to the guide is no longer available. Feel free to contact me by email and I'll be happy to send the guide to you.

And if you'd like to subscribe to my newsletter, click on the 'Join My Mailing List' button on the right side of this blog.

First Time Buyer Programs

First time buyers are finding the combination of a USDA Rural Development loan and a Michigan State Housing Development Authority (MSHDA) $3,000 grant a great combination.  First time buyers for purposes of the MSHDA grant have a few stipulations, but you can review the program outline here.

Not all locations are approved for the USDA Rural Development (RD) program.  Your lender or real estate agent can check to see if the house you are interested in qualifies by its location.  All homes in Livingston County qualify, even if they're located within the cities of Howell or Brighton. Please note that RD has its own buyer qualifications, too.

If you write an offer on a property and are using Rural Development, be sure to increase the usual time to close, as the offices handling those loans typically have a backlog of up to 28 additional days.  Again, your agent or lender can guide you on current backlog times.

Affordable homes are flying off the market, so it makes sense to have a game plan in place.  Get pre-approved, know what type of loan you're going to use, and be prepared to write that offer with the most information you can get.  A good lender and a great real estate professional can help you get there.  And feel free to call me if you have questions.