Why We Live Where We Live…

When you pick a place to live, you need to find a proper balance. With economic conditions the way they are, we have to all sacrifice too much time to our career. So when you pick a place to lay down your roots, you are looking for a place that can balance your strenuous work-day with the enriching elements of your family life.

If you surveyed 1,000 residents from around the Charlotte area and asked them what factors they considered when deciding where to live, there is several points that always come up: safety, value of the housing dollar, and school quality are factors given the greatest weight. But maybe that's too simplified. To people - like businesses - "place" a great importance -- "location, location, location"... For individuals, they want a great community.

Now if you are looking for that kind of location, that kind of quality of life – we have to options for you: Mint Hill and Matthews. They are both favorites of ours, and over the next few weeks we will be giving you some narrative on why these towns are so special. If you can’t wait for our next blog posts – give us a call. We love crowing about both the small town of Mint Hill and the small city of Matthews. With our firm at your side, we can find the best fit for your needs – and you will soon be nestled into the perfect household Americana !

Tell us what's important to you!

Would you like more information about the Mint Hill, Matthews and Charlotte area real estate market?
Check out www.minthillrealty.com

Real Estate Market Report

CHARLOTTE is experiencing a buyers market with prices trending downward. Average prices of existing homes range from 180k and 240K

-->Based on all data from the Charlotte Regional Realtor Association, as of November 9, 2009 the average sales price of homes in our area was $195,244. This was an increase of 1.1% over November of 2008. amd .5% over October 2009.

-->A recent Trulia.com study indicates that 31% of the active listings in Charlotte have been reduced an average reduction of 9.1%.

-->Things have improved in the last several months, with home sales averaging about 800 per month, (up from the first half of the year it where it was about 600 per month).

-->With 6,831 homes on the market, there is about an 8 1/2 month supply of inventory in the Charlotte area was given the rate of sales.

-->It is still a buyer's market, but the price per square foot sold is up--showing a positive sign for our market. Prices on closed sales has been as low as $95.00 in the last year and is now at $105 per square foot on average.

-->The Charlotte Observer reports that foreclosures are increasing. Sales increased due to government incentives and current listing showing activity seems to indicate that the current 2010 government home buyer incentives are working.


Listen to us LIVE on the Radio every Saturday from 2-3pm. WBT-Talk Radio 1110am. - Talk to Rich Ferretti - Call 704.374.3500 with questions!


Would you like more information about the Mint Hill, Matthews and Charlotte area real estate market? Check out www.minthillrealty.com

12809 Hidden Hills, Mint Hill, NC: OPEN HOUSE

Please come to my Open House this Sunday August 9th from 1 to 4pm at 12809 Hidden Hills Lane in Mint Hill. Wine and Cheese will be served.

This is an exceptional home located in beautiful Mint Hill and has been meticulously maintained.

Trust me...once you see this home, you'll know what I mean.

See you this Sunday.

Rich

Want more information about the Mint Hill, Matthews and Charlotte area real estate market?
Check out www.minthillrealty.com

Mortgage Rates

U.S. averages as of July 30, 2009:

30 yr. fixed: 5.25%

15 yr. fixed: 4.69%

1 yr. adj: 4.80%

View current rates

Are you looking for more information about the Mint Hill, Matthews and Charlotte area real estate market?
Check out www.minthillrealty.com

Mortgages: Still Strong, and Still Available!

Americans have been anxious to get back into the real estate market. They have, however, been naturally skeptical and tentative as the economy struggles with a global crisis. Trust me though, it is not all doom and gloom out their in the world of finance. The credit crunch has not decimated the mortgage industry, in fact – things are looking good for those looking for loans. A “Mortgage Origination” is the creation of a new mortgage. Mortgage originations are tracked as a measure of the health of the mortgage industry. Mortgage originations decreased 16.6% from 2005 to 2007. But, during the first quarter of 2009, the mortgage industry experienced strong origination activity due to a number of factors:

1) The ongoing low interest rate environment. Interest rates are at a record low, this is the time to borrow money and get locked into a percentage that won’t come along again in your lifetime.

2) A drop in the national median home price. Incredible homes all over the area are being sold for next-to-nothing. You can find plenty of sweet properties at incredible bargains.

3) An abundance of homes on the market. As said above, there are some incredible real estate deals out there. But it’s not a land of scarcity, it is still a land of plenty. You can find an inexpensive option that fits your “dream” home.

4) New government programs that are available to ALL to encourage homeownership, as well as refinances.

These fantastic four of reasons have lead to a kind of perfect storm for home buyers. It means that credit and financing options continue to be available to qualified borrowers. Wells Fargo & Company, one of the most solid lenders in the country, issued a statement saying it expects to report record originations in the first two quarters of the year.

Also, the Mortgage Bankers Association, with whom Jamison Realty works closely, now reports that the Federal Reserve's plan to buy up more than a trillion dollars' worth of mortgage assets from the credit markets is actually working. As mortgage rates plummet to levels that haven't been seen in decades, the number of mortgage originations is soaring.

One word of caution, the increased number of mortgage originations and mortgage refinances has caught many lenders off guard and understaffed. Stringent lender guidelines and regulations are essential in order to avoid another mortgage crisis; but with that kind of oversight comes painstaking underwriting that takes time and is labor intensive. Technological enhancements and upgrades are being implemented at many major lending institutions to help speed up the underwriting process, and mortgage companies are hiring more staff. Bank of America recently added 5,000 new employees just to handle the renewed activity. What does this mean for you? Don’t expect to be approved overnight. Do your homework, dot all your “I’s” and cross all your “T’s” and be prepared to relax. Good things come to those who wait!

Rich Ferretti
Mint Hill Real Estate
Charlotte, NC

Want more information about the Mint Hill, Matthews and Charlotte area real estate market?
Check out www.minthillrealty.com

What is a "Short Sale"

Dear Rich,

My wife and I bought a home in Charlotte about 2 years ago and we now have to move. I was laid off last month, and I think we will have to move in with family until I am able to get a decent job put some money away. I have missed two mortgage payments already and it was hard to pay the mortgage even when I was working--we bit off more than we could chew and had no safety net...

A friend of mine recommended a "short sale." What is a "short sale" and how would it benefit me to sell my house this way?

Ben R. Charlotte

Dear Ben,

I am sorry to hear about your situation. Unfortunately, it is all too common in the current economy. But not to worry, you do have options.

A short sale may be the way to go, but this is something you will have to discuss candidly with your Realtor.


A short sale is what happens when the proceeds of a real estate sale fall short of the balance owed on the property--when the offer on the table is less than what you owe. In a short sale, the mortgage lender, (or bank) agrees to accept a discount of the balance due the current owner's financial hardship, (i.e. in the case of a lost job).

The negotiation of a short sale is done through bank's loss mitigation department, with the home owner, and often the seller's real estate agent.

The home owner is the allowed to sell the mortgaged property for less than the outstanding balance of the loan, and the bank forgives the loan in exchange for the total of the sale proceeds. In this case, the lender has the right to approve or disapprove of a proposed sale--they want to get the most they can for the mortgage, but also know that in many cases the deal offered is a good business decision.

Often the borrower will still owe some amount above and beyond the sale and the home seller will have to make this difference up.

Generally, short sales happen when there are extenuating circumstances, and the real estate market is in such a state, that the lender does not feel that they will otherwise profit, or make back their investment.

The biggest advantages for you would include avoiding a foreclosure on your credit history, and a short sale is typically faster and less expensive than a foreclosure.


I hope that this answers your questions, and my best wishes for a happier and more prosperous 2009.

Rich Ferretti
www.richferretti.com

Want more information about the Charlotte area real estate market? Check out www.richferretti.com

Charlotte NC Residential Real Estate Sales Trends

Dear Friends:

The latest Residential Real Estate Sales Trend report was released last week and it is my opinion that our market is still strong and is in the process of rebounding.

According to statistics the average days a listed property is on market is now 130.7. The amount of contracts between July 6 and August 5, 2008 decreased by almost 28.2% compared to last year at this time and residential closings were down by 29.8%.

At the present time there are 30,000 listed properties in our MLS area which encompasses 10 counties with estimated closings at 2,700. These figures equate to an inventory absorption rate of 11. This means at present time we have 11 months worth of inventory and still in a buyers market. With prices trending downward there are some great buys in our area.

Go to my Charlotte Real Estate website for additional information and available properties.

Rich Ferretti
Tel: 704.564.0807
rich@richferretti.com
www.richferretti.com
10801 Johnston Road
Suite 216
Charlotte, NC 28226

Want more information about the Charlotte area real estate market? Check out www.richferretti.com

Staging a home to sell!

Dear Rich,

My husband and I are going to sell our house in Charlotte and we of course want it to sell quickly and at a good price.

Since you see hundreds of homes with dozens of buyers each year, can you tell us what we can do to make the house more attractive and inviting to prospective buyers? Are there things that you hear over and over--things that are obvious or not that we can do before the house goes on the market?

We understand that the market has slowed, but we also know we are in a great city for real estate right now. We are lucky to be in Charlotte---but we also want to move as quickly as possible.

Regards,

Eleanore R . Charlotte, NC


Dear Eleanore:

It is true...I have walked in to literally hundreds of homes in the Charlotte area - all shapes, sizes and conditions and while I try not to give away my own personal feelings on a house--it is always obvious as we walk in, what the buyer thinks about it--usually before we get past the front entrance.

Sometimes it is the little things that turn a prospective buyer off... the smell, the paint color, clutter... So I certainly have some advice to share with you:

1) Make all repairs now. If the doorknob is loose, the sink is leaky, or the step on the front porch is broken...fix it now. If your home is in need of obvious minor repairs, a buyer may start to wonder 1) what else is wrong? 2) that the price is too high, 3) that the house needs more work than they want to put into it. I often also recommend that the seller invest in a home inspection as well. This will help you pin-point trouble-spots as well as be more attractive to the prospective buyers.

2) Remove clutter. Removing clutter will make your home appear larger, cleaner and will allow prospective buyers to picture the house as their own.

3) Paint and clean. A fresh coat of paint in a neutral or popular color will make the house look clean and well maintained. Have the carpets cleaned, (replace old and worn ones), in addition to a thorough cleaning of the whole house.

4) Smell. Smell is one of the things that can produce strong feelings about a house -- good or bad. Having your house clean will make it smell good, but generally you want your home not to have a smell that is memorable. Pet odors, mold, mildew and cooking grease all are offensive when you walk in. The smell of cookies or vanilla is very pleasant, but you should never use a smell to cover another. If your house has pet odors or mold...any bad small...then definitely get it cleaned before you put the house on the market.

5) Turn on the lights. Make sure that the lights are on, especially in rooms with few windows. Lighting will produce a feeling of a bigger and brighter space.

I wrote to another seller recently -- I recommend reading my response to this letter as well. It has several other suggestions. Good luck selling your home in Charlotte and best of luck with your move.

Rich Ferretti
Buyer's Agent

www.richferretti.com

Want more information about the Charlotte area real estate market? Check out www.richferretti.com

Do I need a real estate agent if we build a home?

Dear Rich -

My wife and I are moving to the Charlotte area from Florida and we would like to build a new home. We have been up once before to check out the area and we would like to plan another trip within the next few weeks to look at neighborhoods. My question to you is if we are looking at buying a new house, is there any benefit to working through a real estate agent? Wouldn't it be more cost effective to work directly with the builder?

Thanks for your help on this--we have always bought pre-existing homes before and I want to make sure we make the right decision.

Bob - (Tampa transplant)


Dear Bob -

It is definitely in your best interest to have an agent when dealing building, or purchasing a new build home from a builder. Many times the buyers think they will get a better deal if they do not bring their own agent. Nothing could be further from the truth. While there are some differences in the transaction, there is much that is the same from buying from another owner: you need someone to look out for your best interests.

When you look at a planned or new development, the builder's salespeople will be very friendly and helpful. But remember, they work for the builder, and are being paid to sell you a house at the highest price they can get from you. A buyer's agent will know what can be negotiated, and give you an objective assessment of the neighborhood, homes, and construction. Additionally, a buyer's agent will be able to make sure the contract includes everything you want, and excludes any surprises. Remember, this is a 150K, 250K, 350K decision. You need professional representation from someone who understands this market, real estate and property contracts! This is an investment--so it is important to protect yourself--use a Buyer's Agent!

Best of luck with your move, and feel free to call my office ( 704-564-0807) and we can set up an appointment to go meet with some builders.



Would you like more information on new home purchases and why buyers should use an outside Realtor/Broker not the sales agent at the builder’s office? Email Rich Ferretti.

Want more information about the Charlotte area real estate market? Check out http://www.richferretti.com/

Charlotte Real Estate as an Investment

Dear Rich,
My wife and I are living in Charlotte and we are thinking of buying a second home as an investment property. We understand that this is a good time to get a decent price and it seems that real estate would make a good investment right now. What do you think? What are some things that we should think about before start looking?

Peter W. – Charlotte, NC

Dear Peter,

Thanks for writing in. People talk to me all the time about investing in property in the Charlotte area. And I generally agree, that it is a great idea to think about real estate as an investment—especially in this area.

Charlotte is home to some incredible and value-increasing neighborhoods. Combine that with our strong economy, growing population and geographic location, and Charlotte ranks right up there with places where a second home, rental or investment property would be an excellent financial choice.

There are, like all other cities, locations which I would recommend more highly for different types of investors.

The questions you should ask yourself before starting your search include:

1) What is your budget for the investment property?

2) Do you know where you would like to purchase this property?

3) Are you looking for a single family home, multi-family unit, apartments, townhouses, or vacation property?

4) Will you want, or be able to make updates to the investment property?

5) How long do you expect to own the investment property?

6) Will you want to live in the investment property part of the year?

7) What is the proximity to your current permanent residence?

8) Will you be handling the maintenance and management of the p[roperty yourself, or will you be hiring a management company?


If you would like more information about investing in property in the Charlotte area, please contact my office.


Rich Ferretti – Charlotte Buyer’s Agent

704-564-0807

Want more information about the Charlotte area real estate market?
Check out www.richferretti.com

Charlotte Realty: All doom and gloom or is there a silver lining?

If you read the Charlotte Observer today - you may think the Charlotte real estate market is all "doom and gloom." And while we are experiencing a higher-than-usual amount of foreclosures, I am here to tell you that Charlotte has a comparatively strong real estate market.

Essentially, like all over the country, people got into mortgage situations that they could not handle. For whatever reasons: bad decisions, mortgage brokers pushing adjustable rates, the economy, it has all come to a head over the last few months, and Charlotte is not immune to that.


Now, despite the national, (and growing global) problems with the real estate markets, Charlotte has in fact, remained strong--even grown, but that doesn't mean that there aren't a higher percentage of foreclosures than we are accustomed, or comfortable with.

So what does this mean for you? If you are looking at moving to Charlotte within the next 6 months to a year, it means you should get your house ready, and on the market ASAP. Other markets are having record-long selling cycles, and you need the time to sell yours. You should think long and hard before buying a new home here before your current house is sold. You may get caught with 2 mortgages, and I believe this is the case for a high percentage of the foreclosures here in Charlotte.

Now, if you are nearing a foreclosure situation right now, do what you can to avoid missing payments. Once you have missed several mortgage payments in a row, it will become increasingly difficult to refinance. Look at ways to cut expenses, or borrow money until you can refinance. If the house you are in is not one that you can continue to pay for, look to sell as soon as possible - even if it is at a loss. This will sting in the short-run, but is better than being without a house and having to go through bankrupsy. Cut your losses before things get worse.

Now, If you are in a good financial situation, this is a perfect market for considering investment property, or for getting a good deal on a new home. Foreclosures are not only often a great bargain, but so are the other homes in the Charlotte market. Historically Charlotte has drawn newcomers because of our healthy economy and good housing prices, and that is still true. Additionally, we are in a strong buyer's market. If you can and want to buy - this is the time!

I would be happy to discuss the Charlotte real estate market and if now is a good time to buy for you - please comment below.

- Rich Ferretti

Want more information about the Charlotte area real estate market? Check out www.richferretti.com

When is it a good idea to refinance?

Dear Rich,

We are in an ajustable rate mortgage and we would like to refinance our home in Charlotte. Do you think this is a good time?

Thanks,
Kevin R. - Charlotte, NC

Dear Kevin,

If you have an adjustable-rate mortgage (ARM), like many people right now, refinancing may be a good option. With the volatile market, there is a good chance that your rates will rise. So to avoid paying more every month -- or you want the security of knowing exactly how much payments will be in the future, this may be a good time to consider refinancing to a fixed-rate mortgage. Rates are generally good right now and if you have good credit, then this is at least worth investigating.

If your credit is poor, then I recommend working at repairing that for the next several months (or longer...) before you try to refinance. Not only will you have a better chance of getting the mortgage, but the rates will be lower.

Remember, you will need to consider the cost of refinancing into your decision, including the application fees, the closing costs, and possibly prepayment penalties. After that, you will need to measure out against how much longer you continue to live in your present home here in Charlotte.

In short, the answer is that this is a good time in general to consider refinancing, especially if you are in an adjustable rate mortgage. See your mortgage broker to get a quote, or contact me, and I can recommend someone in the Charlotte area.

Best of luck,
Rich Ferretti

Want more information about the Charlotte area real estate market? Check out www.richferretti.com