Although there is still speculation regarding the overall health of the real estate industry, there are signs that we are nearing the bottom of the market.  If you are considering a purchase, either as your primary residence or strictly as an investment, you can easily capitalize on current conditions if you are educated and prepared.

While no one can say with absolute confidence that prices won’t drop any further, some people simply must and will buy a home.  Let me share some suggestions to help you avoid pitfalls and take advantage of today’s opportunities.

First, shop for an appropriate mortgage and secure a letter of pre-qualification.  Then you’ll know exactly what price range is within your reach, and you’ll stand more strongly when making an offer. 

Explore Real Estate Owned properties, or REOs, which are held by banks after foreclosure, and be willing to compromise if you find a truly exceptional value.  These homes are often offered well below market value, and if you are willing to hunt for bargains and negotiate, you’ll be able to take advantage of high inventories and languishing listings. 

Finally, assemble a top-notch team of professionals, including your lender, inspector, and attorney.  Most importantly, use an experienced REALTOR from Don Kingsley Real Estate to coordinate all the activities of the other professionals who are key to the transaction.  Protect your interests with trusted representation.

If you are in need of real estate guidance, please feel free to contact me.  I will be happy to share my knowledge with you at no cost or obligation.  If you prefer, email me at donkingsley@kingsleyrealestate.com.

All of us often turn to professionals when we need critical services performed or important guidance offered.  Of course, the buying and selling of property is one such example, and the selection of a representative should be pursued carefully with interviews and research.  Remember, my Associate Brokers and I have over 100 years of accumulated real estate experience.

The same applies when choosing another professional who is crucial to the real estate transaction - the appraiser.  But who orders the appraisal?  Most often, it is the lender, who uses the report to confirm a property’s value before approving financing.  Sometimes, either the buyer or the seller will order an appraisal in order to secure an independent opinion of said value.

If you hire an appraiser, be sure he or she is licensed and certified.  Most states provide those qualifications through an appraisal board, and you can also refer to the federal Appraisal Subcommittee’s website at www.asc.gov, although only current - not past - disciplinary actions are listed there.

Once you’ve ordered an appraisal, how can you be sure of its accuracy?  Begin by selecting an independent appraiser who was not chosen by the lender, and use your common sense.  If the home across the street just sold for $150,000 and your appraisal reports at $250,000, you may have reason to seek a second opinion, which may be provided in a Competitive Market Analysis (CMA) performed by our real estate office.

Need more details?  Please feel free to contact me and I will be happy to share my knowledge and experience with you at no cost or obligation.  If you prefer, email me at donkingsley@kingsleyrealestate.com.

A “new” solution to the “gloom and doom” scenarios is on the horizon, and it’s called “cause and effect.”  Just as home prices have fallen in many markets, buyers are responding strongly to the stimulus. 

Like today’s stock market provides excellent opportunities for investors in it “for the long haul,” so too does today’s real estate climate appeal to buyers with long-term expectations.  And, the more buyers take advantage of current conditions, the more prices will eventually begin rising again.

That is due to a number of reasons, one being the subsequent drop in inventories, and another being the rising cost of new construction.  So, those markets where home prices have dropped the most are experiencing a rise in the level of home sales taking place.

Areas where buyers are entering the fray again are well poised for recovery, and it’s possible that the prices are finally bottoming out.  The recently enacted housing stimulus bill is helping too, as over two million first-time buyers are predicted to take advantage of the new tax credit.

In 2009 those markets with affordable housing, combined with healthy local economies, will continue to see growth.  Cause and effect is already in action, and you should be, too.  Consult with a financial advisor and your Don Kingsley Associate Broker to get the best results from this new but age-old formula.

If you are in need of real estate guidance, please feel free to contact me.  I will be happy to share my knowledgewith you at no cost or obligation.  If you prefer, you can email me at donkingsley@kingsleyrealestate.com.