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Never Underestimate Curb Appeal March 31, 2010
By Stephanie Streeter
 

Hillsborough County homeWe’ve all heard it said – you never have a second chance to make a first impression.  It’s absolutely true when it comes to getting a home sold, and curb appeal is a big part of a potential buyer’s impression of your home.  In this market, selling your Hillsborough County home can be tough.  The greatest thing about improving the curb appeal of your home is that typically some very small changes can make a big difference.  Whether you’re interested in making some minor changes or undertaking an entire exterior overhaul, here’s some advice to help you along the way.

First, you should start out by taking a good look at the exterior of your home.  What are its best features?  Identify them and keep them in mind as you decide what work will be done – those features are the ones you’ll want to enhance.  Next, decide what the exterior features are that should be downplayed. That way, you can keep them in mind during the process so that they can be improved or minimized.  One important thing to keep in mind while you’re evaluating is to look at the home both in the day and in the evening – the potential new owner of your home could drive by at any time!

“You’ve only got a few seconds before a potential buyer forms their initial opinion of your Hillsborough County home” says Rick Miller, an avid gardener and associate with Smith & Associates Real Estate.  “To make the best of that first impression, always make sure to clean up, trim, and get rid of dead plants and leaves.  Adding mulch and color is also always a great idea.”

Clean up! Put away the mess – hoses, gardening equipment, tools, your children’s toys, and other miscellaneous items.  Whatever isn’t ornamental should be neatly stowed in a garage or shed.  Keep the lawn mowed and in good condition and trim trees and shrubs where necessary.  Wash windows, patio furniture and consider pressure washing dirty siding, paint, driveways, patios, or walkways.

Freshen up! Consider repainting your home, touching up trim, or at very least repairing cracked or peeling paint,  siding, wood, or trim.  A fresh coat of paint can be an easy way to achieve a transformation.  Look at door and window hardware and decide whether to freshen up what you’ve got by polishing or painting, or to purchase new handles and locksets.  Also look at your fencing, decks, and railings to see if they’re in need of some attention in the form of paint or sealant.  If your home has gutters and downspouts, make sure they’re in good order by cleaning them out and replacing or touching up pieces that may be broken, bent, or rusty.

Dress it up! The front door is most often the focal point of the exterior of your home – so make the entryway welcoming.  Dressing up the front door with paint, accents, new house numbers, or eye pleasing light fixtures can instantly help curb appeal.  Replace a mailbox which isn’t in good order and consider framing it with plants.  Consider adding some outdoor art – but make sure to keep it tasteful.  Choose pieces that complement your Hillsborough County home – pink flamingos are probably not the way to go.  The addition of a birdbath, sculpture, fountain, or arbor can add instant charm to your yard or garden.  Last, but certainly not least add some life – plants!  If you’re not into re-landscaping or major gardening efforts, consider the addition of a strategically placed container garden or some window boxes to add some color.  They’re easy to add and can be completed at a low cost.

At this point, it’s hard to tell how the Home Affordable Foreclosure Alternative (HAFA) Program will affect the Tampa real estate market.

Tampa real estate

Short sales constitute a good percentage of current Tampa real estate listings. Anyone who has ever been involved in a short sale knows that the short sale request process is like entering the wild west –  the rules change day by day and you never know what to expect. There has been a public outcry for regulation in regards to short sales since the Tampa real estate market (and the rest of the country’s) bubble burst.

In response, the federal government has released the Home Affordable Foreclosure Alternative (HAFA) Program which will take effect on April 5, 2010. HAFA is different from last year’s Home Affordable Modification Program (HAMP), in that HAMP was intended to help people retain their homes, while HAFA is intended to help people short sale their homes. HAFA offers guidelines by which homeowners can sell their homes for less than what is owed on the existing mortgage(s).  The program is supposed to streamline the short sale request process by using standard processes, documents and timeframes. In order to attract participation from lenders, lending institutions are offered financial incentives to follow HAFA’s guidance and use its standard forms. Nevertheless, the program is strictly voluntary and lenders do not have to follow the US Treasury Department’s promulgated guidelines. It is important to know that HAFA is not a law.

In order to be eligible for the HAFA program, borrowers must have applied for the HAMP program and their application was either denied or they were unable to keep up on the modified mortgage. The HAFA program utilizes documents that were already collected as part of the mortgage modification program and permits homeowners to get pre-approval for short sales. This is an improvement to the standard short sale because typically, lenders will only consider a short sale request if there is a buyer for the property. The HAFA program is limited to loans that were originated prior to January 1, 2009 on the borrower’s primary residence, which do not exceed $729,750 and which causes a financial hardship because the monthly payment exceed 31% of the borrower’s gross income.

Whether this new government program will help to move short sale homes in Tampa and thereby improve the Tampa real estate market remains to be seen.

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Lights Out For Earth Hour
By Stephanie Streeter
 

Saturday, March 27th – 8:30 pm

Smith & Associates encourages you be a part of this worldwide event by turning off the lights in your home for one hour starting at 8:30 pm on Saturday.  Last year 88 countries participated in the event, and this year that count is up to 92 – which makes it the largest public demonstration for climate change ever held.  “Earth Hour is inspiring millions of people all around the world to join together and show their concern for the future of our planet,” said Leslie Aun, World Wildlife Fund’s Vice President for Public Relations and the Managing Director for Earth Hour US 2010.

Please consider participating in this important worldwide event.  Imagine the impact if all the homes in Pinellas county, and each Hillsborough county home participated in this event.  If you find yourself thinking that turning off lights in your house for just an hour won’t save the planet, of course you’re right.  However, it will symbolize that if we all do our part and work together, each of us can make an impact in the fight against climate change.

For more information, please visit www.myearthhour.org

Worldwide landmarks participating in the event:

Tokyo Tower
Brooklyn Bridge
Brandenburg Gate (Berlin)
The Las Vegas Strip
Mount Rushmore
Sea World
Space Needle
Empire State Building
Golden Gate Bridge
CN Tower (Toronto)
Grand Palace (Bangkok)
Table Mountain (Cape Town)
London Eye
Hiroshima Peace Memorial
Big Ben & London Parliament


Today’s Tampa real estate marketplace is plentiful with foreclosures and short sales.  The downfall of these properties is they are sold “as is” and usually in need of repairs.  The FHA 203k program may be the loan that will fulfill the Buyer’s needs to purchase the property and perform the renovation that is needed.

FHA 203k is a little known program that has been in existence since 1978 and enables the Buyer to borrow monies to cover the purchase AND any repairs/renovations needed.  This Federal Housing Administration loan is federally-insured and allows the costs of the needed repairs to be included in the original loan amount.  With the many historic homes in the Tampa real estate market, this program could be beneficial to prospective buyers.

The renovations/repairs with a  FHA203k need to be completed within a six month period after the escrow closing.   These loans can be used to pay for new appliances, room additions, remodeled bathrooms and kitchens, in addition to necessary repairs such as doors, windows, roof, etc..  The FHA203k allows Buyers to purchase a home in an “as is” situation and complete the renovation before they move in.

Tampa real estate
An example of how the program can benefit a Buyer:

Last year, John Williams was looking for Tampa real estate when he found a home in the Hyde Park area that was priced  as a short sale and was listed as an “as is” sale.  Being an old bungalow, it was in need of wood replacement, new roof, window repairs, etc. – but being in the location of other higher priced homes, the home would be well worth the completed project.  The FHA203k enabled him to purchase the home for $ 150,000 and roll another $ 100,000. into the property renovations.  John was able to buy the property, renovate it to be structurally sound and update the electric, plumbing, kitchen appliances and bathroom fixtures.

With the reduced prices, interest rates at historic lows, and the substantial Tampa real estate inventory available combined with programs like the FHA203k, it is the most advantageous time in recent history to become a home owner.

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March Comes In Like A Lion March 19, 2010
By Stephanie Streeter
 

January and February showed promise for an increase in sales in 2010, but March has definitely started off with a bang!  In just the first few weeks of this month, six listings from Smith & Associates’ Tampa Real Estate office have closed after being on the market for less than 65 days – one for as little as 4 days on the market.   We asked our associates who listed these properties what it was that got these homes sold so quickly.

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2807 W. Wyoming Avenue

Ballast Point

Tampa real estate

DAYS ON MARKET: 4

4 Bedrooms | 3.5 Bathrooms | 3102 Square Feet

Last List Price: $549,000

Why it sold so quickly: “The seller took our advice on the price, which is very important in the Tampa real estate market right now. They also realized how important first impressions are, and took care in properly prepping the house for sale.” – Listing agents Wilma Martin & Anne Mullis

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5142 Puritan Circle #132

Temple Terrace

Tampa real estate

DAYS ON MARKET: 7

2 Bedrooms | 2 Bathrooms | 1398 Square Feet

Last List Price: $52,000

Why it sold so quickly: “The seller was very realistic about pricing, and completed some great upgrades like granite countertops and stainless appliances.” – Listing agent Gary May

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4111 W. Dale Avenue

Beach Park

Tampa real estate

DAYS ON MARKET: 11

3 Bedrooms | 2 Bathrooms | 2034 Square Feet

Last List Price: $399,900

Why it sold so quickly: “This was a great home in a nice neighborhood, but what was most important was that it showed very well and was priced right” – Listing agents Vicki Arthur & Brian Arthur

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18710 Pepper Pike

Cheval

Tampa real estate

DAYS ON MARKET: 54

4 Bedrooms | 5.5 Bathrooms | 4352 Square Feet

Last List Price: $885,000

Why it sold so quickly: “The seller was unsure of our recommendation for pricing, so we recommended getting an appraisal. An appraiser familiar with Tampa real estate confirmed our opinion, and the home was priced appropriately. The home generated interest for those looking for homes in a gated golf course community. In less than 2 months, the home was under contract.” – Listing agents Wilma Martin & Anne Mullis

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2810 W. Fountain Boulevard

Parkland Estates

Tampa real estate

DAYS ON MARKET: 62

3 Bedrooms | 3.5 Baths | 2555 Square Feet

Last List Price: $650,000

Why it sold so quickly: “This was a case of the right property at the right time. It’s a family home on a large lot in a good neighborhood and was priced very well.” – Listing Agents Larry & Janet Mendez

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Gathering New Knowledge To Increase Sales March 11, 2010
By Stephanie Streeter
 

With our inventory currently including 239 Tampa homes for sale, we are constantly looking for innovative ways to conduct our business. With that in mind, our management team traveled to sunny Las Vegas this week in order to attend LeadingRE‘s annual conference.  The conference, whose audience included over one hundred of our country’s top five hundred real estate companies also had firm participation from eight countries around the world.

With so many Tampa homes for sale, Smith & Associates is excited to apply the knowledge gathered at this conference to improving the services available to our clients – which will in turn increase visibility and sales.  This year’s theme, ‘Leading The Revolution’, featured an intense schedule with well-known speakers in a variety of specialties.  The topic was close to our hearts as a reminder of our goal to continue to lead the recovery of the market in Tampa Bay.

The Market Action Index for Tampa homes for sale is up significantly over 2009, shown in the graph below.  Though activity typically slowed towards the end of the year, the 2010 uptrend is already being seen.  With the information gathered in Vegas this past week, we look forward to continuing in our contribution to the upswing in these numbers in the coming months.

Tampa Homes For Sale

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Understanding The Federal Tax Credit
By Smith & Associates
 

Government programs can be a little tricky to grasp at first. Sometimes our suspicions rise because programs read like an auctioneer spouting random fine print.  Since we often get leery about the vague subject matter we may choose not to pluck the proverbial fruits of a given program. This article is meant to dispel any illusions about the Federal Tax Credit. It’s actually quite a simple program once you know who can receive the benefits.

St Pete Beach home

There are two forms of the Federal Tax Credit: the $8k and $6.5k.  We’ll use some sample scenarios involving a St Pete Beach home to help illustrate.

The first option:

Let’s start with the $8k option. This is a tax credit for FIRST-TIME BUYERS ONLY. However, the way the IRS defines “first-time buyers” is this: “a buyer who has not owned a principal residence during the three-year period prior to the purchase.” This means that if you have owned before, but not in the last three years, you are again a first-time buyer. The credit amount is 10% of the total cost of the home, up to $8,000, and it only applies to homes that are less than $800k. This offer began January 1st, 2009 and will expire April 30th, 2010.

For example - A sample of the simplest scenario.  You’ve been renting for years and have finally decided to take the plunge – now is the time to buy!  You’ve found a fantastic St Pete Beach home in the form of a condo on Gulf Boulevard.  Your offer has been accepted and you’re under contract to close on April 5th for $249,000.  You qualify!

Another example – You owned your St Pete Beach home until 2005, when it was sold due to your relocation.  Upon relocating, you rented for a few years instead of purchasing.  Now back in the area, you’ve found a great opportunity to purchase a waterfront property in Yacht Club Estates.  The contract has been finalized and you’re closing on April 19th at $699,000.  You qualify!

The second option:

The other form of Federal Tax Credit is the $6.5k. This credit applies to those who currently own a home, and have lived in that home as a primary residence for at least 5 of the last 8 years. Like the $8k form of credit, it also only applies to houses which cost less than $800k, and is calculated as being 10% of that total cost. The only difference is the ceiling on this policy is $6,500. This offer began November 6th, 2009, and will expire April 20th, 2010.

For example - You purchased your St Pete beach home in 2001.  It was your primary residence from 2001 to 2004, when you purchased another property in Old Northeast which then became your primary residence.  Ownership of the residence in St Pete Beach was maintained while it was rented for a few years.  In 2006, you moved back into the beach home as your primary residence.  You’ve now found a fantastic new opportunity to purchase the home of your dreams on Snell Isle which you have under contract to close on April 12th at $725,00.  Despite the fact that you currently own a home, you still qualify!

In order to claim this credit, make sure you do so when filing your income tax returns. Both the $8k and $6.5k versions of the credit require IRS Form 5405, which will aid in determining the amount of tax credit to be received. In order to be eligible the property must close before July 1st.

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Staging Your Home For Selling
By Smith & Associates
 

“Always Be Closing.” Everyone has heard this axiom at one point or another. But has the average person ever thought about what it really means? The ultimate goal – the closing – is to get the customer to sign on the dotted line. Sounds fundamental enough, right? But, where does the closing start? It starts the moment you decide to sell your house.

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Human beings, while creatures of habit, are a complex tapestry of not only thoughts, but emotions. Logic may prevail in many critical situations, but when it comes to the culmination of our dreams it is our emotions which pull the strings. What does a customer want when they buy a house? The logical answer is that they want a new home they can afford, in a safe neighborhood, with a good school system, etc., etc… But their emotions are yearning for a fresh canvass upon which they may paint their future. This is rooted in the subconscious of all people. No matter what logic we bring to the table we are still dreamers, and we want things our way. So how do we give that to a customer?

“Less is more.” Perhaps this is another phrase you’ve heard. It is the key in understanding how to give a customer a blank canvass. Customers don’t want to see our history played out across the rooms in our house (i.e. they don’t want to see pictures of Uncle So-and-So with his Championship Bass resting on the mantle next to our daughter’s softball trophies). If we leave such memorials behind thinking that it will “Sell the idea of a home” we are wrong. Remember, people want to project their own dreams onto bare walls. So, what is the first thing we must do? We must let go. We must get rid of all signs of our history in the house. Shed the urge to memorialize ourselves and attempt to see the house for what it is: a container for someone else’s future.

Does this mean you should leave each room completely barren? Not in the least. The trick is to create the illusion of a home uninflected by our own lives. Don’t ask yourself “What does your living room look like?” ask yourself “What does a living room look like?” Ask yourself the same question for bathrooms, bedrooms, studies, etc. You are not creating a home; you are creating the illusion of a home using room-by-room archetypes. What are the elements that make up a bedroom? A porch? A living room? What orientation of chairs and couches create the most inviting and aesthetically pleasing make-up? Remember: “Always Be Closing.” You want people to walk into this house and “feel at home” the instant they set foot on the carpet.

Part of this illusion is the idea of “perfection.” Walls should be evenly painted. Any wood surfaces should be polished to their original luster. Windows should be crystal clear. The air should smell clean. The temperature should be neutral. The front and back yards should be open, clean, and devoid of any debris. Anything that isn’t part of the structure of the house should be vibrant and new. Some experts* like to display spa packages in bathrooms, and a fanning of cookbooks or magazines where they might normally be. These visual concepts sell ideas: “This is where you can relax;” “This is where you cook for your family,” “This is where you have time to yourself.” All these images are archetypal in nature and thusly resonate with a buyer’s subconscious.

So, what is closing at this stage of the game? It is appeasing human nature with the use of smoke and mirrors. Give people what they want. Do customers want a house? Only on the surface. Consider what a new house means: the chance to start a new life and execute dreams to their fullest potential. That’s what people want, and that’s what we have to sell. The house is incidental.

*Professional “Home Stagers” can be hired for an array of fees. These experts have been trained in visual aesthetics specific to home layouts.

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Steps For First-Time Home Buyers
By Smith & Associates
 

St Petersburg HomeOkay, you got a promotion, you’re getting married, you just won the lottery, or you’ve been squirreling away money since you were fifteen and you’re ready to move out of your parent’s basement. You could rent, but that seems like a waste. So you think it might be a good time to buy a St Petersburg home, or maybe a house in Tampa. But, where do you start? First you have to ask yourself some questions. The trick is which questions, and in what order.

“What do I want in a home?”

This is a great question to ask. Unfortunately it presupposes an idealistic reality where you can afford whatever house you see, and unless you’re the aforementioned lottery winner that’s probably not going to be the case. Asking this question first will leave most buyers with a sense of hopeless negativism, which leads to a defeatist remorse and ultimately settling on a house rather than finding the house they really want. Buying a home should be exciting, but don’t overwhelm your senses. Everyone wants the house on the beach, or the manor on the hill, and it’s beautiful to always have those goals, but for now let’s plant ourselves in reality.

“How much can I afford on a house?”

Hey, good question! There are plenty of houses you can afford which will live up to your dreams. You’re going to want to figure out how much you can save over X amount of time. Set a goal and do some simple math. How much can you have saved after six months? How about after a year? This will help you figure out how much of a down payment you can put together (most lenders require 20% down) for your new St Petersburg home, or house in Tampa. These first numbers will help you yield a budget for monthly mortgage, but also for your utilities and other living expenses. Over estimate these numbers to be safe.

“Okay, I have my budget… now what?”

With these numbers in mind start thinking about where you might want to live. Google is the most efficient way to find anything these days, so start there. Try searches like “St Petersburg home” or “Tampa homes for sale”. From here you will find a catalogue of houses and communities that display details and price ranges on individual properties. You’ll want to get in touch with a realtor and find out when you can take a tour of the some of the houses.

“What do I look for when I’m on a tour?”

First you have to develop a rating system. It can be a scale of 1 to 10, 1 to 5, or whichever suits your particular ability to scrutinize and note differences honestly. Give each home an overall score based on your system. You will also want to take plenty of pictures and take notes. Since these notes are based on your vision they can encompass any aspect of the property you’d like to remember later. But there are a few points you will always want to be mindful of: 1) Neighboring areas, 2) Sunlight or lack thereof, 3) overall feel of the area. With these criteria, your notes, pictures, and rating system you will have the information enough to make a wise decision. Also, remember that your rating system is probably the most honest of these factors since it is based on your overall opinion of a particular property.

“Where do I look?”

While great properties for first time home buyers can be found in nearly all the fantastic communities that the Tampa Bay area has to offer, here are some suggestions for areas to start looking.  For more information of these neighborhoods, just click on the community name.

Tampa area:

St Pete area:

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Homeowner’s Insurance Credits Mean Big Savings March 9, 2010
By Stephanie Streeter
 

In a time when saving whenever possible is on a lot of our minds, it’s important to keep in mind that discounts on the homeowner’s policy for your Hillsborough County home can amount to large reductions in cost. Our friends at Baldwin Connelly in Tampa informed us today of quite a few options for credits from insurers like AIG and others. Below is just a sampling of some of the options for available savings.

Hillsborough County Home

Possible Credits For A Hillsborough County Home:

- Burglar & Fire Alarms
- Course of Construction Credit
- Guard Gated
- External Perimeter Security
- Wind or Hail Exclusion
- 24-Signal Continuity
- Sprinkler System With Flow Alarm
- Perimeter Protection Gate
- UI Approved Lightning Protection System
- Gas Leak Detector
- Full-time Caretaker
- Back-Up Electric Generator
- Residential Sprinklers
- Temperature Monitoring System
- Approved Storm Shutters
- Approved Impact Resist Glass
- Well Designed Plywood Shutters

In addition to these possible savings for your policy, additional portfolio credits for private collections and excess liability or flood coverage are also available.  Savings can also be found by means of safety equipment discounts on automobile coverage, and multi-car discounts.

Baldwin Connelly representatives also stressed the importance of having every Hillsborough County home, as well as those in Pinellas and Pasco counties, evaluated by performing a wind inspection.  This inspection, and the consequent filing of a Uniform Mitigation Verification form with your insurance provider, identifies the possible insurance savings available to you based on the current structure of your home.

For information on contacting Baldwin Connelly, please refer to the Smith & Associates Real Estate preferred vendor list.