No doubt you’ve heard the news: the housing market hit a rough patch this summer. Sales of existing homes declined at a rate that took many by surprise, sending pundits into a “what’s next” tailspin.

As the prognosticators pondered, savvy buyers didn’t miss a beat. They got that the doomsayers were taking a one dimensional view of the buyer’s market and that market skittishness gives rise to an even more favorable climate for buying a home.

Recent history has reframed some of what had long been taken for granted about buying a home.

Namely, we’ve learned that even though buying a home remains one of the best and safest investments available, a home should not function as an ATM or a short-term speculation strategy.

So, where does that leave us? A lot smarter…and able to recognize an opportunity when we see one, and aware of the facts that point to NOW as the prime time to buy a home.

Ambrose Team will be exploring these 7 Reasons why now is a great time to buy a home now as the holidays approach:

1. Home affordability is at an all-time high.
   • Median mortgage payment compared to median household income is lower than it’s been in a generation!
2. Mortgage rates are at rock bottom.
   • It’s hard to imagine  interest going lower, and when they inch back up, monthly payments & total loan costs will spike upwards too!
3. Home prices are back on the rise.
   • After declining for 30 months, home prices around the country are trending back upward. The time to get into the Wichita market is now before that trend hits home!
4. Sellers are motivated.
   • Sellers are motivated to take advanatge of this market for themselves as Buyers…or they have other motivations such as job relocations, etc.  From Banks looking to dispose of foreclosure properties, and avoiding foreclosures by approving short sales; to homeowners fiercely competing among an excess of housing inventory, buyers have untold choices & negotiating power. Buyers have the upper hand!
5. Financing is readily available.
   • Banks are back in the game and ready to lend to well-qualified buyers.
6. Owning vs. renting is increasingly favorable.
   • Since 2009, the average principal and interest payment has fallen below the average rental rates, and the gap is now wider than it’s been in 22 years!
7. Home Ownership is still at the core of the American Dream!
   • Owning a home is critical to financial stability and wealth building (having a house paid for by or before retirement age makes all the difference for people’s lives in their ability to save money for retirement & live comfortably on a reduced income. What could you accomplish if you had no house payment & owed no rent each month? The way to get there is buy smart & pay it off with help with a great rate today!). It’s a forced savings account, a place to live & a fabulous tax deduction.

This is a Trade-up or First time Buyer’s dream market! Get yourself the smartest gift this year…a great buy in the Wichita real estate market!

Questions about the market today?

Want to know what your home would sell for Now?

What kind of  great buy could you get today?…Talk to Ambrose Team! 773-SOLD

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

If anyone reads this blog…this will undoubtedly be known soon as the “infamous fortune cookie post.” It’s Friday night as I write this…Let’s get real!

Local Wichita Realtors & Home Sellers need to have the secrets revealed. I can already hear the lectures I’ll get from a few specific business colleagues, being that I have a certain reputation in the community to uphold…but it’s worth it to shed some light on the big messages that are often, all too obscure. Here it goes:

Did you ever experience a time when someone told you that the way to really read a fortune cookie is to add a couple, or three, missing words to the end of the message?  Adding the words “in bed” or “under the sheets”…makes the fortune to be read hysterical to a group of obnoxious friends.  

Many years ago, Randy & I learned that showing feed back could be interpreted in much the same way…by adding a couple of  sobering words.

Those words don’t produce laughs…they do produce clarity. Those words are “for the price”…or “for the money”.

• The kitchen is too outdated…for the price.
• The yard is too small…for the price.
• Buyers did not care for the floor plan…for the price.
• Buyers prefer a more private lot…for the price.
• We didn’t like the daylight basement…for the price.
• Decided we need 3 bedrooms on the main floor…for the price.
• Now we are strictly looking at Ranches & not multi-levels…for the price.
• Buyers didn’t like the busy street…for the price.
• Buyers didn’t like all the wallpaper/decor was too personalized…for the price.
• The dogs next door barked & made us uncomfortable…for the price.
• It smelled bad…for the price. (and you know…”if we can smell it, we can’t sell it!”…sorry, real estate humor!)

Feed back is often infuriating to sellers. The truth is it extremely valuable. Feed back is real…and “it’s the breakfast of champions.”

It’s critical to a top-dollar, successful sale to obtain every grain of feed back & know how to translate it so you can adjust the strategy &/or capitalize on your opportunity!

Nearly every objection can be translated in this way, especially in the Trade-Up market we are experiencing. What it means is that there are so many choices…and the buyers quickly figure out how to weigh & measure the homes they see against each other. All buyers want a great value & it that comes down to “same for less ” or “more for the same”.

Buyers know what they want when they see the choices out on the market. Even when they don’t expressly spell it out, their feed back says it all. They are seeing that they can buy the same…an equally great home for less money; or more…an even better home for the same money. Rarely will feed back ever mention the word “price”.  In fact, more often than not you’ll hear it’s “priced right”. Trust me…they never say it’s priced right when they want to buy it! When they don’t want to buy it…you get something similar to the examples above…and you’ll scratch your head until you remember to add the magic words!

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Is it “bad” if the home is empty? Would it be better to leave some things in the house for “staging” or continue living in it until it’s sold? Would it be an advantage to vacate, so people can see it’s ready to move into & a fast closing could be easily accommodated?

When selling real estate,  frequent & viable questions regarding whether showing  a home vacant or furnished, is not always easy. Many real estate professionals believe that a furnished home sells better than an empty home. Then of course there are those that disagree. 

Randy & Katherine Ambrose, of Ambrose Team believe it depends on many factors! “Some homes sell better vacant & some sell better occupied. That’s the truth!” ”It basically comes down to what the seller has in the house & how well it shows. The biggest consideration to us is what will be more convenient to the sellers & how that may affect their bottom line. Our goal is to make the sale as hassle free as possible, while netting the highest price for our clients.  We provide Wichita’s best personal stager when we know it will benefit the seller or just ease their minds. He’s our ace in the hole! We get such a kick out of clients that ask to have him come back & check their work…they really love his advice.”

A furnished home can show a potential buyer how a home looks when lived in. Certainly a buyer can get a great idea of how much furniture can be accommodated. The trick in this scenario is, of course, is that the Seller’s furnishings are in good taste, simple and laid out in a way that makes good usage of the home’s space. In addition the home must be void of clutter & personal belongings that are so specific that it would be distracting or make  it a challenge for a prospective buyer to envision living in it. Ideally, a buyer can imagine living there and can “see” what it would look like with their own furniture, decor, & other personal belongings. Often when a home is vacated a few simple pieces & decor items are left to “stage” the home, giving perspective on room sizes & add warmth to the showings.  

A recent article from Zillow.comon how sellers can increase their property values states that “Vacancy increases sale-ability.” In the case of a vacant home a potential buyer can picture his own items in the home with no distraction & see the property for exactly what it is. When a house is empty every flaw is visible. Chipped, marred paint and dirty, worn carpet will be much more noticeable. So to make a great impression a Seller will benefit by going the extra mile and making sure everything is in impeccable condition. That will produce a faster sale, bringing the highest reward (top price) that today’s market will provide.

Ambrose Team keeps a handy man on call for lil’ fix-ups; &  he’ll also bid an itemized list of possible improvements when needed so Seller’s have affordable options for putting their best foot forward. Also the Ambrose Team Free Moving Truck is always handy as a Seller prepares to get their house on the market in a way that will attract the best qualified buyers & the most money out there.

Clearly opinions differ on whether a home is more sellable empty than filled. And there is probably no definite answer until discussing options after getting the opinion of a trusted, top producing Realtor.  A Realtor with a solid track record and a lot of experience knows how to evaluate a Seller’s specific situation; inform & educate; and work with the Seller to strategically position a property for success!

Call 773-SOLD (7653) to  visit with Ambrose Team & get your evaluated before it hits the market! 

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Bummed that you didn’t get to take advantage of the $8,000 first time home buyer or the $6,500 repeat home buyer Tax Credit last April? Well, would $25,000 make you feel better? 

If you purchased a home for $200,000 on April 30th of this year, the day the tax credit expired, your monthly payment would have been $952.57 based on interest at that time of 4.875%. Today we had a buyer secure a rate of 3.875%…that means at that rate you could buy a home for $225,000 -worth $25,000 more – for $952.23 per month (both examples assume a 10% down payment).

The purchasing power of interest rates today have far exceeded the benefit of the Homebuyer Tax Credit. Pretty interesting!

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Are you ready to buy a home In Wichita? Buying power has never been this big! 

• Are you ready to take advantage of the lowest mortgage rates since Eisenhower?
• And the higher than normal inventories?
• And home prices that must be near… or at the bottom?

Home ownership is an important step in life… and there is one huge thing to be learned from the recent burst of the housing bubble: You need to be prepared to make smart choices in buying your home. 

 Here are some specific points to recognize before jumping into the Wichita market & real estate ownership.

• Know the market in our local Wichita area (i.e. Wichita Ranches appeal to more buyers than multi-levels. Therefore, expect better resell value on Ranches or expect to get a better price for SF & ammenities on multi-levels…especially if Master is not on main level, etc.)
• Be very aware of what homes are selling for and what you should expect to pay…(in the specific neighborhoods you like & types of  homes that appeal to you.)
• Be prepared to acquire financing first. Interview LOCAL Wichita lenders (never use Internet or 1-800 lenders!), clean up your credit and get pre-approved for a loan  (Ambrose Team Tip:  Pre-Approval makes you look like a “cash buyer” when it comes to negotiating strength!)
• Once you know what you should expect to pay make sure that you have money saved for the down payment, typically between 5-10%  and 20%, although it can be as low as 3%.
• Have enough income and money set aside not just for your monthly mortgage payments but also for insurance, association fees, possible repairs that may arise and more.
• Get a Comfort Systems Home Warranty (the only local warranty company)…(Ambrose Team tip: Know which ONE warranty to avoid in Wichita…and why it happens to be the one offered most frequently!)
• Always, no matter what…get a home inspection…your REALTOR should ADVISE you on this…not just give you a list!! (Does your Realtor believe in advising you…or do they think they aren’t allowed to give advice? You better find out in advance!)

In a nutshell buying a home in Wichita or within our surrounding area is a big step, facing it responsibly will prepare you for your new venture. Owning real estate can be the BEST investment of your lifetime; jumping into a property you can’t afford or making a bad choice in what you buy can be a huge mistake.  Choose an experienced & ACTIVE Realtor, one with a solid reputation…that is actively working the market today (personally selling a minimum of 2-3 homes consistly every month). Look to that trusted Realtor to educate you on our local Wichita market, and recommend a trusted Wichita lender. Your Realtor should be able to  provide you with information & guidance so you can make an educated, smart selection! Your Realtor should be preparing you from day one on how to negotiate when you find the right property…so you can make the right moves, rather than learn a painful or costly lesson…causing you to miss out on a great opportunity. 

Ideally, you will want to consider a REALTOR that has already personally helped hundreds of other people buy & sell (or at the very least can explain that they are supervised closely by a great mentor) because that experience is priceless when it comes to giving you the best direction. This is not the market to serve as “practice” for an inexperienced or mediocre agent with limited resources…what market would be? 

If you know what you are doing everything is more likely to work out in your best interest. A great Realtor can put you “in the know” and is worth their weight in gold!

Whether you are making your first purchase…or contemplating selling so you can make a trade up or down… this is the opportunity market of our lifetime.

This is the market that will change people’s lives as they make smart buys …give yourself the best chance to be one of them!

 

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Wichita home buyers…the home buyer tax credit has been extended until Sept 30th, 2010.  

***This is a closing date bill being extended not another stimulus bill.***

The Senate voted late last night to follow the approved House bill to extend the deadline for closing on a home that was under contract on or before April 30th.

Now it will go to President Obama for his signature. Obama has already stated he would sign it.

Waking up to the good news brought a big sigh of relief for many Wichitans that were not able to get their homes closed by yesterday’s deadline. The bog down on closings is being brought about by “short sales”, underwriters with too many files & hurdles too manage, and a backlog of appraisals. Buyers are being asked for last minute info & documents on most any deal which can cause a delay here & there.  So many home buyers were very nervous about making the deadline & in the dark as to whether they would get the tax credit money that spurred them on in the first place. 180,000 Buyers were in this position. The National Association broke the stat’s down by states. Kansas having 1840 home buyers that were awaiting the good news of the extension.

Wow! Did I ever feel part of the Washington DC decision making yesterday. Big sigh. Smile…

(Congrats Mark & Samantha! )

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Senate is short one vote & expected to get it tomorrow.

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Our sources tell us that the Senate is expected to pass the closing extension by the end of their voting day. They have attached it to the extension of unemployment benefits. I wonder if that will cause it to be part of a much bigger debate?

There is predicted to not be much opposition as 180,000 home buyers would be left out of collecting their expected tax credit due to closing delays making it impossible to meet the deadline which was June 30, 2010. Kansas has an estimated 1800+  Buyers waiting for the extension news.

 Home Buyers had to be under contract by the end of April & closed by today to receive up to $8,000 tax credit for first time buyers & up to $6,500 for qualifying repeat buyers.  Most underwriters & title companies in Wichita are backed up due to the number of closings this month.  Also, many delays are due to waiting on Banks to approve short sales.

We are watching the clock &  news outlets with tens of thousands of fellow Americans…

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com

 

“If a seller wants to sell their home and say goodbye to it, the buyer is going to have to perceive it as a good buy,” said Gary Keller, chairman of Keller Williams Realty Inc., one of the largest real estate franchises in North America,  this morning on Good Morning  America.

Gary Keller is, frankly, a real estate genius…and it’s because of the way he thinks, which is aligned with how top producers across the country think,  that Ambrose Team brought Keller Williams Realty to our hometown…Wichita, Kansas. Gary ‘s statement is true of any market, and certainly it’s everything in today’s market. As I’ve said in other posts, buyers are buying. It’s just that they’ll only buy, duh, what looks to be a “good buy”!

Same thing when buying a car or a stereo. Buyers want to get what they want …at the right price compared to the other choices available. A buyer is going to buy what they preceive to be “more for the same , or the same for less.” 

In other words,  every buyer wants to feel that they got a good deal. Today more than ever, a buyer wants to see that their dollars are buying them more home for the same price; or that they’re getting the same value for less dollars.  Cliches are cliches for a reason…and the one that comes to mind is “more bang for the buck!” And in the Wichita market, whether it’s the Maize school district, Goddard, Andover or anything around or between the best “bang” is what they’re going to buy. The Seller that doesn’t want to compete will sit on the bench.

Every day Sellers will say, “we’re different…we don’t really need to sell.”  And this attitude, always stated with such confidence, as a perceived strength, and the supreme advantage is actually a major disadvantage. What we see in today’s market is that Sellers who do not need to sell, don’t, because they are competing with sellers who absolutely, positively have to sell and will do whatever it takes to do so. This is just as true in Wichita as anywhere in the USA today.  Selling a home in this market is a price war and a beauty contest.  Keller nailed it when he said, “price gets them interested & staging gets the offer”. You Must price to get the buyers in the door & have your home staged for the ‘Wow’ that will cause them to want to buy it compared to everything else they get to choose from right now. Needless to say, if it’s not priced to get them to come see it…it doesn’t matter what it looks like! If you are priced to get some looks…make sure it looks ‘goooooood’!

Gary shared a few other great gems that made the air. Unforntunately, someone at GMA didn’t listen too carefully and slapped together their own version of 5 Tips for the homeseller. Number 5 was a huge blunder!! By 10:30am GMA corrected the mistake online but it’s too bad for any consumers who only saw the story on air, or may yet watch the video clip online. Hopefully they will re-edit the clip; plus do an on-air correction. Tip #5 was “Be there” (Yikes!!!!) . The GMA story suggested that Sellers BE at the showing…as “no one can sell your home like you can!” Whoa!! That’s Real Estate Marketing 101…the seller should Never be present at the showing. That’s the best way to blow any chance at a sale…or irreputably damage the Seller’s negotiating position.  BTW- the buyer’s don’t want your REALTOR there either…unless that’s the agent they called to view it or it’s an official Open House! And…neither Seller nor their agent should be at the inspection.

 GMA quickly changed the advice online to “Be available”. Now that sounds like advise GK or any knowledgable real estate pro might give. Be available by phone, email, or fax in case your REALTOR needs to reach you for questions or to start negotiations. Be gone, but be available! And let the professionals make sure that you get a chance to say “Good-Bye!”!

Written by Katherine Ambrose, ABR, CDPE, CRS, GRI
Ambrose Team, Inc. 316.773.SOLD
Founder & Assoc. Broker: Keller Williams Hometown Partners LLC
316.807.5079
kambrose@kw.com