With more than one in seven mortgages currently not being paid, the financial crisis is affecting millions of homeowners across the country, even here in the Greater Raleigh Area. Read the rest of this entry

Ever wonder what exactly a short sale is?  How is a short sale different from a foreclosure?  Does a homeowner have options?   I am asked these questions many times through out my week whether it is in a listing appointment, at the gym, networking events, or just hanging out with my friends.  I recently recorded a brief video explaining why a short sale can save homeowners from foreclosure Read the rest of this entry

Many people have asked me recently “What is going on with the Raleigh real estate market?”  Last month I created a Raleigh real estate market update video and I thought I would share it with you today.   Read the rest of this entry

It is now reported that 1 out 8 home mortgages in the United States are in default. Default occurs anytime a house payment is 30 days past the due date. This means many Raleigh area home owners are struggling financially and with rising interest rates we know there is another wave of foreclosures on the horizon for North Carolina. As a Certified Distressed Property Expert (CDPE) I have negotiated many successful short sales for my clients over the past two years and the process is long and tedious. Read the rest of this entry

Many people are hearing the word “short sale” and sometimes it can be confusing as to what that word really means.   I thought I would share with you my perspective as Certified Distressed Property Expert here in the Greater Raleigh, North Carolina area.

If you, or anyone you know, has any further questions or if you would like a private, confidential analysis of your current real estate situation, please call me at (919) 235.0007.  I am here to help you.

Linda

Just before Thanksgiving I met with 11 of the Top Real Estate Agents in the greater Raleigh area. We are all members of the Triangle Area Luxury Home Marketing Group. This group represents several real estate offices throughout the Wake County area. We meet once a month to tour each others homes for sale that are priced $750,000 and up. I have been a member of the group since it began in Raleigh back in 2004 and we always share what we are seeing in the market place.  

What is Happening With Luxury Homes Here in Raleigh?

This past meeting I asked everyone what percent they believe real estate values have fallen in the Raleigh, Cary, Apex and Triangle area. We all agreed prices have dropped 15% to 20% in the upper end and at least 10% drop in other price ranges. This is so much better than other areas of our country but, still very painful to folks who need to sell now. 28% of American home owners are under water and that number is expected to be in the 45% by the end of 2010.

If you know of anyone who needs to sell and finds themselves in this negative situation have them call me or visit my web site to learn about some of the solutions available. Several years ago we all believed Raleigh homeowners would be mostly bullet proof when it came to declining real estate values.   Now we know different. Ouch it really hurts!

Everywhere I seem to go these day whether it is at my real estate office, a Carolina Hurricanes Game, Community Event or just around Raleigh people ask me “Have we hit bottom yet?”  Many know of friends, family or neighbors who have had their homes on the market for sale here in the Greater Raleigh area and have shuttered thinking about what they might need to go through if they needed to sell their house. 

Home prices around the country have dropped for the past 3 years straight and many people believe we have finally hit bottom. The median national home price today is about $169,000, down almost 14% from a year ago and down 30% from it’s peak. By comparison Raleigh area real estate values are only down 11% from it’s peak with a median home price of $232,000. Those of us living in the Triangle and RTP surrounding area can all be grateful we own real estate near Raleigh the North Carolina state capital instead of other parts of the United States.

Right Now I am Seeing Two Types of Home Buyers in the Raleigh Market

Read the rest of this entry

What were the general principles we all learned in long term investing? Buy low, sell high, diversify, have an emergency savings and remember the long in long-term investing.  An artificial bubble was created by removing all barriers to owning a Raleigh home. If you were breathing you could get a Raleigh home mortgage and interest rates were historically low.  The buy button was pushed and the rush to riches through real estate investing came to an end because bubbles eventually burst. The bubble was never meant to be permanent but, now that it has burst many people are afraid to invest in a Raleigh home purchase. The Raleigh real estate bursting bubble has left you with one of the best Raleigh home buyer markets in all of history.

The ups and downs of Raleigh Real Estate Investing

Every investment has ups and downs but, over time owning a Raleigh home is a safe and prudent place to invest your money. Where else can you get a tax deduction, a place of YOUR OWN to express your pride of Raleigh home ownership and earn these kind of percentages on your investment?

National Home Appreciation Data

1970 – 1979 = 142% appreciation

1980 – 1989 = 52% appreciation

1990 – 1999 = 45% appreciation

2000 – 2008 = 42% appreciation

Data taken from RISMedia March 2009

Check out my daily best buy list at lindacraft.com

To learn about $8,000 tax credit click here.

Have a great day-

Linda

Raeigh home owners facing foreclosure or short sale go through a tremendous amount of stress in the process of losing their home. Prior to December 2007, if a homeowner lost his home due to a bank forclosure or short sale, and the bank forgave any difference between the price it was sold for and what was owed, the Raleigh home seller would owe additional income tax on the portion that was forgiven. Yes, it is hard to believe that a Raleigh homeowner in distress could be taxed but, it’s true.

Let’s say the Raleigh homeowner owed $350,000 on the mortgage, but the foreclosure sale only brought in $300,000. The bank agreed to forgive the shortfall of $50,000 in the sale. The Raleigh homeowner would have been liable for the income tax on the $50,000 forgiven debt.

Now, because of the unbearable stress in the housing industry and economy, Raleigh real estate has a window of opportunity to sell distressed homes without being taxed. In December 2007, Congress stepped into provide temporary relief in the form of forgiving this debt from 2007- 2012.  After that, the old rule applies again.

To be eligible for this Raleigh home tax relief, the mortgage must be for your principal residence. It does not apply to vacation, investment or other properties and no more than $2 million of forgiven debt can be excluded from taxable income.

If you are struggling making your Raleigh home payment consult a qualified accountant or REALTOR before considering foreclosure or short sale. Although the Mortgage Forgiveness Debt Relief Act will help many Raleigh homeowners there are situations where tax relief will not be granted. For example;  equity lines used for Raleigh home purchase or improvements fall under this act. Equity lines used for vacation can still be taxed.

If you know of anyone falling behind in their mortgage payments as a Certified Distressed Property Expert (CDPE), I can help.   Please call me at (919) 235-0007. 

Have a great day-

Linda

Good news for all of us who live and love Raleigh, NC. Forbes.com ranked Raleigh #1 March 25th, 2009, as the best place for business and careers. Durham ranked #3.

With wonderful publicity such as this, PLUS  UNC and Carolina Hurricanes both in the play offs for championships the Raleigh real estate market is getting a nice media boost.

As predicted the Raleigh real estate market is bouncing back faster than other areas around the country. Sales in all price ranges have increased. I have had multiple offers on several properties and other Raleigh REALTORS have reported this as well.

Many people are still waiting and trying to time the Raleigh Real Estate bottom. In the lower price points $300,000 and below, those that are waiting have missed it.

Inflation will drive up interest rates so if owning a piece of Raleigh real estate is in your future I would take action now. Rates are low today and Raleigh home prices are stabilizing and on the rise in some areas.

Please don’t be one of the people who look back 2 years from now with regret that you didn’t buy a Raleigh home or investment property when you had this incredible opportunity. It is really a great time to buy.

If you or any of your friends, families or co-workers have have questions about the the current Raleigh homes market, I am available by email or at (919) 235.0007.

Have a great day-

Linda