Georgia Real Estate Voice: January 2011

Where do you want to live?  Everyday events give me thoughts for my blog posts. Today I put over 150 miles on my car in Atlanta showing homes.  That's a lot for a metro area and more than I normally do. I was showing homes to out of state buyers who found homes on-line that they liked.  I showed them homes on Tuesday after they came to my office and met with our in house lender to get pre-qualified. Today we looked again in another area but we were all over the place. The houses were similar in size and lot size (over 5 acres).  The challenge was that the buyers hadn't determined where they wanted to live. It's pretty easy to find homes with similar qualities but remember real estate is all about location.

So how do you determine where you want to live?  

1. First of all, determine the state. It doesn't matter why you pick it, just pick one. I would suggest comparing property tax rates, income tax rates and climate for starters.  (My buyers were trying to choose between Alabama, Mississippi and Georgia.)

2. Next determine a location within the state. What's important to you? Is being near major sporting events a big deal or is being away from traffic and the hustle and bustle of the city more important?

3. Many people move somewhere for a job. If that's the case, obviously being convenient to work makes a a difference.  If you're a retiree then that's not a factor.

4. Speaking of retirees, pick a place that has good medical care near by, just in case. 

5. What are your hobbies? Pick a place that makes sense for that. If you enjoy boating, choose an area near the lake like Lake Allatoona or Lake Lanier. 

6. Check out the local government websites.  Review the minutes from the last board meetings.  That can provide a lot of insight into what's happening in an area. 

7.  Ask people, anywhere and everywhere.  People love to give their opinions.

8.  Schools are important, even if you don't have children in school.  Why? It matters for resale.  Even if you don't plan on selling, plans sometimes have a way of changing.

If all else fails, open a map book, close your eyes, circle your hand around and land on a spot on the map.  That's how I ended up in Atlanta 14 years ago.  It worked for me.

If you're thinking of buying or selling a home in metro Atlanta call Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024.

Many people when searching for a home in metro Atlanta and Smyrna GA would like to base it on a certain location.  That's why I've decided to incorporate map based searches into my toolbox for Atlanta home buyers.   I am hoping it will be useful to narrow down an area to search within.

Real Estate Market Report for Decatur GA - I was reviewing some numbers from where our Decatur GA real estate market was in June of 2009 to now, 18 months later. I often hear people say, oh, I'm waiting until spring to put my home on the market.  I think that's an outdated way of thinking.  Why?

Check out these numbers: For June 2009,  13 Homes sold ranging in price from $165,000 - $680,000.  In December of 2010 we had 28 homes sold ranging from $33,000 to $580,000.  This goes to show that homes do sell in the winter and clearly twice as many as in the summer a year and a half ago.

In June of 2009, we had 37 Homes pending sale meaning they went under contract but have not yet closed. List prices range from $21,900 - $799,000. Right now January 2011, we have 14 pending sales with list prices ranging from $84,900 to $599,900.  I think the pending numbers could be a little skewed because we are noticing that not every listing agent changes their listing to pending when it's under contract. When we call to check availability of a listing that a buyer wants to see, that becomes very apparent.

In June 2009, 4 were in the Contingency Period which means they are in their due diligence period. Now, we've got 2 in the contingency period.

Another difference we can see now is that we have 4 homes that are pending existing lender approval. That means they are Decatur short sales that are under contract, waiting on the seller's lender to approve the sale.

In June 2009, we had 194 Active Listings ranging in price from $100,000 to $1,500,000.  In January 2011,  there are 170 homes actively on the market ranging in price from $39,900 to $900,000.   This number shows a reduction in listing prices. Sellers are realizing that our Decatur GA real estate market has changed and in order to sell, they must be priced right.

To sum it up, there's a lower number of active listings, lower prices and a higher number of sold listings.    This real estate market report is for Decatur, GA 30030 zip code only and does not include condos, multi family homes or commercial real estate. It's covers single family homes only.

If you are thinking of buying or selling a home in Decatur GA, contact Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024.

What's new in 2011 Georgia Property Disclosure Statements? Plenty, which is why this post is a continuation of the 2011 changes to the Seller's property disclosure in Georgia.  See part 1.  This post and yesterday's highlights the changes to our Seller's disclosure statements. It's important for our buyers to read them and understand them and it's important that the home sellers fill them out.

The Flooding, Drainage, Moisture and Springs section has something new for 2011. Are there now or have there been any water leaks, water accumulation, or dampness within the basement, crawl space or other parts of any dwelling or garage at or below grade? The difference is in 2010 the question asked about the main dwelling and it now asks about any dwelling or garage.  That's another subtle yet important issue to note.

In 2010 the disclosure asked if the property or improvements were in a flood zone, now it is more specific, asking Is any part of the Property or any improvements thereon presently located in a 100 year Special Flood Hazard Area where there is at least a 1% chance of a flood in any given year?

One of the new questions under Sewer/Plumbing related items asks if the Property is served by a septic system, how many bedrooms was the septic system approved for by local governmental authorities?  The reason for this is that there may be more people living in the home and using the septic system than it was originally designed for which may require additional maintenance.

Under the Systems and components section where it asks about the primary heating system, there are now more choices.  The 2011 disclosure also asks "Does the primary heating system not serve any enclosed part of the main dwelling (excluding the attic, crawl space, garage or basement)?"  This would answer questions for example, pertaining to the bonus rooms that are over garages that may be heated or cooled by a different system if they were finished out after the home was built.

This year tank less water heaters are addressed as they are becoming more common in the Atlanta market.  The issue of decorative only fireplaces is also being addressed with the 2011 seller's property disclosure statement.  

The section on Toxic Substances has been changed to Environmental/Health/Safety Concerns. New questions for 2011 include:  Are there any exterior doors which either do not lock or for which the key has been lost? 

This one goes back to the Buyer being taking responsibility.  When you move into a new place, it's a good idea to get all the locks either replaced or rekeyed.  Changing a lock is not difficult but if that's not something you want to be bothered with, ask your real estate agent for a referral to a good locksmith. Most of us know one. 

There's a separate section for Litigation and Insurance on the new 2011 disclosure statements. Some of these questions were previously covered in the Other Matters section.

New for this year is the issue of homes in Historic districts. Has the Property been designated as historic or in a historic district where modifications and additions are limited?  Some people may remember the house that I believe was in Avondale Estates a few years ago. There were issues with the historic district and the owner then painted his house with purple polka dots.  If you remember the details, please let us know. 

Last but not least, the seller signs off on it stating that it will be updated from time to time as needed.  That way, if something happens to the house during the time it's on the market and after the seller has filled out the disclosure, it should be updated.

I hope that helps to make these changes easy to spot and point out to our Atlanta home sellers and buyers.

If you are thinking of buying or selling a home in metro Atlanta, contact Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024.

What's new in the 2011 Georgia property disclosure statements?  A lot!  With every new year, comes changes in our Georgia Real Estate contracts and this year's property disclosure statement. I've been reviewing it and it's got some really good and some really subtle but important changes.

There's now instructions on how to fill it out. Did we need instructions? Apparently, otherwise this wouldn't be a new thing. It states:

 A.  In completing this Disclosure Statement, Seller agrees to:

(1) answer all questions in reference to the Property (which, unless otherwise noted, shall include the improvements thereon)

(2) leave no question unanswered

(3) answer all questions fully and accurately based upon the best knowledge and belief of all Sellers in the Purchase and Sale Agreement

(4) fully explain in the Additional Explanations paragraph any questions to which the answer is "yes" or "other" referencing the number of the question for which the additional explanation is being given; and

(5) promptly revise the Statement and provide a copy of the same to the Buyer and any Broker involved in the transaction if prior to closing there are any material changes in the answers to any of the questions.

This is the part I find interesting, as if a disclosure statement should be interesting, right?   It actually explains how the disclosure statement should be used by the buyer.  It also explains that Georgia is a Buyer Beware state. 

B. HOW THIS STATEMENT SHOULD BE USED BY BUYER. The answers of Seller below should not be a substitute for Buyer conducting a careful, independent evaluation of the Property. Caveat emptor or buyer beware is the law in Georgia. Buyer is expected to use reasonable care to identify defects in the Property and satisfy herself or himself that the Property is suitable for Buyer's needs and purposes. If an independent evaluation of the Property reveals potential problems or areas of concern that would cause a reasonable buyer to investigate further, Buyer may not have legal recourse if Buyer fails to investigate further.

Another new one asks:

2(e) Do any of the improvements on the Property encroach onto a neighboring property?  That's under soil, trees, shrubs and boundaries.  

Under the termite section:

3(b) Is the Property presently under a transferable bond, warranty or service contract for termites or other wood destroying organisms by a licensed pest control company?  In the past it only said If yes, check type of coverage, re-treatment and repair or re-treatment.  In 2011 Periodic Inspections only was added as a type to check.

Under the Structural Items:

(h) Does any part of the exterior siding or cladding of any dwelling or garage on Property consist of synthetic stucco? This question was in the 2010 disclosure and deleted from the 2011 disclosure.  Could it be because that question scared people from synthetic stucco? I don't know, I'm just speculating. If you are considering a stucco home, know that there are stucco warranty companies that can inspect, evaluate and warranty the stucco.

A sentence was changed regarding building codes. It now says Has any work been done to the Property that was not in compliance with the then applicable building codes or zoning regulations.  So it's not asking if it's up to code now, it's asking if it was up to code at the time of building. 

Regarding the roof, gutters and downspouts:

The 2011 questions now take into consideration leaf guards. Are there now or have there been any roof leaks or other problems with the roof, roof flashing, roof underlayment, gutters, leaf guards or downspouts?

This could be a really long post on seller's disclosures and in an effort to keep you interested, I'm ending it for today. Stay tuned, there will be a part 2 tomorrow. 

If you're thinking of buying or selling a home in metro Atlanta, contact Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024.

Decatur Townhome for Sale -

Walk to Glen Lake Park and Tennis Courts from this beautiful 3 story townhome at Keswick Place. Low maintenance hardwood floors throughout the main living areas and on all stairs. There are 3 bedrooms and 3.5 baths. Just painted and ready to move in. All appliances stay. Sunny open floor plan. Dining room and lower level bedrom have bay windows. The master suite features a spa like master bathroom with jetted tub, dual vanities and separate shower. There's also a generous walk in closet. Ample parking is available in the 2 car rear entry garage. Convenient to Emory, the CDC and Dekalb Medlcal Center.  

See the virtual tour of Keswick Place

For sale for $269,000 - Listed exclusively by  Jen Bowman, Keller Williams Realty Atlanta Partners 404-456-5024

Professionally staged by Design2Sell, Barbara Heil-Sonneck.

Ways to Save this year - Everyone is always looking for a deal or a way to keep more money in their pocket.

I've listed some of my favorite sites that will send daily local deals to your email in box.

Groupon.com- I love Groupon because they have things like housecleaning deals, spa and hair salon deals, restaurants and boutiques. Deals are available to purchase for 1 day only and are good for various periods of time.

Scoutmob.com What can I say? This one rocks too. I get a daily email with the deal for the day. If I like it, I don't have to pay anything upfront, just click to say that I want it and I can have the deal texted to my cell phone or email. Then when I go to the restaurant for my 60% off, I just show the server the code on my phone.

Mamapedia.com- This one is more geared toward families and moms, hence the name MamaPedia. They offer daily deals for kids birthday parties at different locations, children's boutiques and things for children and families to do.

LivingSocial.com - Deals for 50% off on just about everything, including dental cleanings, house cleaning, car washes and more.

Restaurant.com - Nationwide gift certificates - Just enter your zip code and use the drop down box to enter how far from your zip code you want to look.  I usually just put 1 mile so it brings me things in my neighborhood.  If you sign up for their mailing list, you can get promo codes for even better discounts. For example, I recently bought a $50 restaurant.com certificate for $4.  The catch for this particular one was that you had to spend $100 to get the $50 off but that was still really good.  I sent it to my Dad because I knew my brother and his family would be visiting and that was a restaurant they would go to.

Another way to save is to sign up on the websites of your favorite restaurants.   We did that with a bunch of our local places and they send us weekly emails good for buy one get one free entrees and other specials.

There's lots of easy ways to save money on the things you are already buying. These are just a few that I know are good.

What are the ways you are saving money? 　

Dekalb County GA Homestead Exemption - Now is the time to file for homestead exemptions.  (That's where homeowners save money on their property taxes.) If you bought your home in 2010 and lived in it January 1st as your primary legal residence, you can file between now and April 1st.  Once you file, that's it, don't have to file for Homestead Exemption again every year.  If you don't file by April 1, you will not get the exemption for this year.  Current year exemptions must be applied for January 2 through April 1^st.  Applications received after April 1^st will be processed for the following year.

For Dekalb County, GA residents filing basic exemption is easily done on-line: Dekalb County Tax Commissioner

There are also special exemptions available for Dekalb citizens 62 and older as of January 1^st, disabled veterans and other disabled persons. These exemptions cannot be filed online. They must be applied for at the Dekalb County Tax Commissioner's office. 

When filing your taxes this year, be sure to get the proper tax credits for closing costs etc. from your HUD settlement statement that you received at closing. 

 If you are thinking of buying or selling a home in Dekalb County or metro Atlanta call Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024.

My Agent is not available. Can you show me the house? Last week I received this phone call. The caller wanted to see a house but said that her agent wasn't available, so she was just calling agents to see who would show it. I explained to her that if she was working with an agent, her agent needed to show her the property.

Buyers, if you are working with an agent talk to your agent when you have questions about the home, the neighborhood, the home owners association and making an appointment to see it. If your agent is never available for you, then terminate your buyer brokerage agreement and find an agent that is. If your agent doesn't know the answer, they should find out. In my office with 200 agents, we often rely on each other for advice and freely share it. One caller said they he didn't want to bother his agent to show him a house. What? That one floored me. If your agent is representing you, they should be showing you the home. After all, they will be the one to get paid when it closes.

I often get calls from buyers who are under contract or who just submitted an offer with another agent and then they want me to counsel them on home buying. I explain to them that they should be talking to their agent about these things. I want to help people, I really do. But, I need to spend my time with clients who have chosen to work with me and I have chosen to work with them.

Many people don't realize how we get paid. Real estate agents work on commission for the homes we sell. If you are under contract on a home with another agent, that's fine, really it is. But please, go to your real estate agent with your questions and concerns.  If your agent is not helping you, contact their broker to get the answers you need.  If you are not under contract on a home or don't already have a buyer's brokerage agreement and you want to work with me. that's great. Let's talk and see if we're a good fit. 

Jen Bowman, Broker Associate, Keller Williams Realty Atlanta Partners 404-456-5024　

Buying Atlanta Foreclosures - The following are basics that a metro Atlanta home buyer should know about buying a foreclosure.

• There won't be a Seller's disclosure. The bank has never occupied the property and they don't know the history of the house.
  
• Foreclosure homes are sold "as is". That doesn't mean that they are in terrible condition. I showed 2 beautiful condition foreclosure homes today. It just means the bank is not in the repair business and doesn't intend to do any repairs.
  
• Atlanta Foreclosure properties are selling within less than 1% of the list price. How does this happen? The banks know what their bottom line price is and list very close to that. Most of them are already at amazing prices. Banks aren't in the business of holding onto real estate which is why most are priced to sell.
  
• Many foreclosure properties have had the plumbing winterized. Be sure to review the contract to see who will be responsible for de-winterizing the property for the inspection.
  
• While we‘re on the topic of inspections, be sure to get one. Even though foreclosures are sold as is, it doesn't mean you shouldn't get an inspection to know what you are getting. If the inspection reveals something you can't live with, if it's within your due diligence period you can still terminate and get your earnest money back.

• Are the utilities on? Once again, read the contract to see who is responsible for turning them on for your inspections.
  
• Be sure to get Owner's Title Insurance. Sometimes things show up after closing that didn't get noticed during the title search.
  
• Be sure to have Buyer Representation. A buyer's agent costs the buyer nothing. (We are paid by the seller.) A buyer's agent can make sure you are protected along the way and be an extra set of very experienced eyes that can often pick up things that a home buyer doesn't.
  
• There will typically be several extra pages of addendums from the bank. They are pretty standard. Ask your real estate agent to explain anything you don't understand.
  
• Don't limit your search to just foreclosures or short sales if you are looking for a deal. Really, who isn't looking for a deal anyway? Often, the non-distressed homes for sale are just as good and sometimes a better deal.

If you are thinking of buying or selling a home in metro Atlanta, call Jen Bowman, Broker Associate with Keller Williams Realty Atlanta Partners at 404-456-5024

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