Pricing Distressed Properties

I recently showed a property that was listed for $70,000 in a neighborhood where many similar properties sold in the $120,000 to $140,000 range.  As soon as my buyers pulled in the driveway, they were spouting off defects and the price tag to fix them.

It didn't get any better when we walked inside.  The windows were old, the carpet was shot and there was an active leak in the basement.

Much to

It's Hot around Park Ave Especially for Investment Property!

The temperatures may be falling but the real estate climate around Park Ave is super hot, especially for multi-family investment property.  In the past six weeks or more, I've heard from many investors and want-to-be investors and when we secure an appointment to view these properties, there are usually two or more other investors looking at the same time.

A little free advice here for new

2.785% For 30 YR FHA Fixed Loan! Unbelievable!

I saw a couple of posts on Facebook today saying that interest rates for a fixed 30 year FHA mortgage hit 2.785%.  This is so unbelievable that I didn't believe it until I made a few phone calls to confirm it.

For months, I've been bragging about my 3.25% mortgage and I needed to do a 10 year mortgage to get this rate.  Today's deal blows that out of the water.

So my friends, if you're on the

Music to My Ears

I had a client say something to me yesterday that I don't hear very often.

"Gee, this house looks better in person than it does on line."

Why are those such rare words?  Well, too many homebuyers decide not to look at anything that does look great on-line.







Unfortunately, photos sometimes lie.  And while many of us get lured in by a stunning on-line presence of a so-so house, there are

Saving $20,000 on the Cost of a Home!

Whew! That feels good. Talk about the deal of a lifetime! We just cut more than $20,000 off the price of our home! Great negotiation skills? Nope! Foreclosure? Nada! Fire sale? No way.




We just refinanced. And no, it wasn’t a 10 point drop in interest rates, either. The secret to our savings is reducing the term of the mortgage. We went from a 15 year mortgage to a ten year mortgage. Our

$5,000 Over Asking Is Not Enough!!!

I like it where I live and apparently so do some other people. Last weekend I wrote an offer for $5000 over asking and I’m sorry to say the house went to another bidder! Why did we offer so much? Well, we lost a house the week before by writing only a thousand over asking. That’s pretty amazing considering there are parts of the Rochester area where houses sit on the market for weeks and months,

How Disappointed Will You Be If You Lose This House?

No one will sell you a house for less than what you offer, right? So why not start very, very low with the first offer?




Sometimes it works. I’ve had very low offers accepted without a single counter. Almost always it’s because the house has been on the market for a while and the seller is simply sick and tired of the process.



More often, it doesn’t work. My most notable transaction was

140 Days and Counting

When the weather outside is frightful, you can usually count on the real estate phone going to sleep. Not this year! I worked with three different buyers yesterday during the raging snow storm. And of the 7 houses I showed, three of them were new to the market this week. That’s not a typical December day for Rochester, NY.With less than 140 days to be under contract to qualify for the home buyer

The Perfect House Verses Compromising

Last night, a young couple that I’ve been working with for several months found a beautiful home in their price range. The kitchen was simply stunning with Shaker style cabinets and a beautiful tile backsplash and floor. Both bathrooms were updated and the hardwoods were in great condition. It was so beautiful that it was easy to overlook that Rt. 490 was in its back yard. The highway was so

A Few Thoughts About Seller Concessions

It seems like the topic of seller concessions keep coming up during the negotiation processes. Often, we will be receiving a counter offer from the seller when my buyer calls me up. “My dad says the seller should be paying my closing costs!”




FHA and VA mortgages allow for a seller to pay the buyer’s closing costs up to an amount equal to six percent of the purchase price. For most

Buy Before Labor Day!

I am advising all of my first time home buyer clients to be under contract by Labor Day to qualify for the federal tax credit being offered to most home buyers that have not owned a home in the past three years. I don’t really think it is going to take 80 plus days for a transaction to close but I do anticipate gridlock at banks and attorney offices. I do know of several real estate attorneys

Multi-Family Units & the Federal Tax Credit

I learned something new today regarding the Federal Tax credit for first time home buyers (defined as not owning a home in the past 3 years.) If you purchase a 2-family unit as your primary residence, you are only eligible for half of the tax credit and only a third of the credit if you purchase a three-family unit, etc.There are still no local mortgage lenders that are providing a short term

Home Buying Seminar - Wednesday, June 24, 6 to 7:30 pm

I've not done a home buyer Seminar in a couple of years but there is so much good stuff going on right now with the $8000 first time home buyer credit that the timing just seems right. So mark your calendar or tell a friend. Wednesday, June 24, 6 to 7:30 pm at 2024 W. Henrietta Road, Suite 2A; which is the home office of First Rochester Mortgage Corp. I'm real proud of the impressive panel of

Cash for Buying a House

For the past two weeks or so, there have been rumors galore that first time home buyers will be able to borrow their federal tax credit in order to use that money for closing costs and down payment towards the purchase of a home. The details have not yet been worked out but I think this is going to happen. There are some technicalities that have to be worked out because basically you are not

The Seach for the Ugly House

Some of my clients think I'm a little crazy when I advocate for buying ugly houses. Now I'm not talking butt-ugly. I'm talking about the type of ugly that a coat of paint or perhaps new carpet will fix. And I advocate for that type of house because that is where the best deals are.Houses with "Pottery Barn Decor" are fun to look at but you will "ohh and ahh" all the way to the bank if you

Getting a Mortgage in 2009

I am running into buyers that cannot be convinced to sit down with a mortgage loan officer to be pre-approved for financing early in the home searching process. Perhaps if I share a true life story about getting a mortgage in 2009, they will be more receptive to my nagging!A client that I've worked with for several years was pre-approved for financing with a score approaching 800. During the time

Hot Properties

Perhaps the fasting moving properties these days are single family homes for less than $100,000. It seems like most times when I call to get an appointment for one of my buyers, I'm told there is already an offer in. Dang it!Here is a list of approximately 60 open houses this weekend of single family homes in Monroe County listed for $100,000 or less. Enjoy the great weather and call me if you

Advice For First Time Home Buyers

I got an e-mail today that was very similiar to many that I've received in the past. It read, "My husband, Peter, and I are thinking about buying a house in the near future as we are quickly outgrowing our apartment (we have 2 young children). We have so many questions, and have no idea where to start. Do you have any advice?"I referred them to a blog that clients of mine did several years ago

A Hedge Against the Economy

Several weeks back CNN Money Magazine predicted Rochester's housing prices to increase 2.7%, ranking it second in the country for fastest growing markets. And while that is very good news for the Rochester real estate market, there are a few things to keep in mind. First off, this is only a prediction. Second, this is a cool off of the 4 to 6% appreciation we've been seeing in recent years.As I

Open This Sunday

Tomorrow concludes the Liliac Festival for 2008 but the peonies are about to pop at Highland Park. If you are like me, you might prefer to wait until the crowds are done to go see the park and so I've encluded a list of open houses for your Sunday afternoon. The hottest listings in town these days are home priced for less than $125,000 and so that's what is on this week's list. Open House