Relocation Buyer

St. Louis Real Estate Voice – Up on the Roof

Filed under: Building Inspection News, First Time Home Buyer, For Buyers, Relocation Buyer

LOW SLOPE ROOF SYSYEMS

A client called for an inspection last week and was concerned because the house did not have a roof. Actually the house did have a roof and the reason the client was not able to see the roofing on the roof structure was because the house had a low slope roof. This system is also commonly referred to as a flat roof.

It is critical during the inspection process of a flat roof to actually achieve access to properly determine the condition of the roofing. This can be challenging if the inspector does not have the proper equipment or if there is not interior access to multi-family two or three story buildings. Good inspectors will contract with a boom truck to gain access. Sometimes multiple ladders may be needed to go from roof to roof or rear deck to roof to gain access. No matter how challenging it is, the inspector must gain access to properly report on the conditions of the roofing for the client.

Even though these roofs are sometimes referred to as flat roofs, there should always be a minimum amount of slope directed towards a means of roof drainage to prevent water intrusion to the interior spaces. This is true even though low slope roofs use water tight membranes as opposed to the asphalt composition shingles used on steep pitched roofs that shed the water. If there is no slope or drainage system, it is highly likely that this roof will always leak.

The materials used on today’s low sloped roofs have changed and improved over the years, but the concept is still the same. The system generally starts with either metal or wood decking, topped with a rigid layer of foam insulation or a base sheet that is attached to the roof deck. Roll roofing, Built up roofing, Modified Bitumen roofing, and Sprayed Polyurethane Foam are some of the most common type roofing materials that you will typically see on these type roofs. Your inspector will be able to advise you on the advantages and service life on these type materials.

The inspector will typically report on blisters or bubbles, splits in the membrane, inadequate seals around roof penetrations, cracks or (alligatoring) in the membrane, and signs of water ponding. If a roof or sections of roofing have been repaired repeatedly, there is a good chance that there is a leakage problem that is either still active or will be again.

Generally speaking low sloped roofing does not have as long a service life as pitched roofs with composition roofing shingles. Ask your inspector to take as many photos as needed to confirm his findings. Buyers do not want to install new roofing one week after closing.

Harry O. Morrell

ASHI Certified Inspector

Posted by Harry Morrell | Read More | Your Comments Are Welcome! | 03.19.2009

St. Louis Real Estate – Mortgage News

Filed under: First Time Home Buyer, For Buyers, Relocation Buyer

Spreading the Good News . . . The bond market is alive and well!

A very IMPORTANT change is going on and it is great news for our Realtors and clients. That news has a direct impact on why interest rates have been drastically falling.

There has always been a correlation between the bond market and the stock market.

In traditional times money would flow into or out of the stock market. When investors pulled money out of the stock market it would flow into the bond market. As money flowed into bonds interest rates would drop. We lost this ying and yang system for some time because money was placed in the cash markets instead of bonds.

The bond market has now returned as an off-set to stocks. That is why with the decline in stocks money is now headed to bonds and your interest rates are declining.

NOW IS THE TIME TO BUY A HOUSE!

Aprille Trupiano
Mortgage Banker
314. 363.3913
Aprille@LoansByAprille.com

www.LoansByAprille.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 12.06.2008

St. Louis Real Estate – Mortgage Underwriting

Filed under: First Time Home Buyer, For Buyers, Relocation Buyer

So what’s the big deal about In House Underwriting?

Certainly you’ve heard the term “underwriting”. But does it mean anything to you other than a nameless, faceless, omnipotent force that determines the future of your loan?

Underwriters are real live people who assess your credit history, the probability and ability you present to repay your loan successfully, and the value of the property as a worthy collateral asset for the funds the lender will loan you.

When choosing a lender, a very important question to ask is: “Where are your Underwriters?” You see, most underwriters are miles and miles away in another city, working on loans that have no faces or real people attached to them. While they may be good at doing their job, they often just check off the list of what’s needed without even considering the human element because it’s just one of the many loans they have to move through the system.

In-house underwriters understand that you are a real person whose financial future and whose family’s peace of mind are at stake. Being just a few steps away from my actual desk, I often ask my in-house underwriters to assist me when working with my clients before even sending them the full loan package. This insures that if there are any challenges, those are addressed and managed at loan application, NOT the day before closing. They expertly and quickly answer not only my questions, but my clients’ and my Realtor partners’ questions also.

Having an in-house Underwriter allows your Mortgage Professional to be your champion in dealing with the uncertainties that the current lending climate can bring. It gives us direct access to the person who has the final say, which gives you extra peace of mind that when it’s got “final approval” on it, there’s not a shadow of a doubt. In-house underwriting equals NO HASSLES and ON TIME closings.

So…In House Underwriting…it’s a BIG DEAL!

Just ask Kathi S, who had this to say just this month about her loan process with us…

“I was blown away when I found out Aprille had gotten the loan approval back 10 days ahead of schedule, more than two whole weeks before closing. Thank you Aprille!”

Aprille@LoansByAprille.com
www.LoansByAprille.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 11.20.2008

St. Louis Real Estate – Mold and Moisture Intrusion

Filed under: Building Inspection News, First Time Home Buyer, For Buyers, For Sellers, Relocation Buyer, Unrepresented Seller(FSBO)

The State of Missouri and the surrounding areas have had record rainfall for the year of 2008. It appears that everything has dried out and water levels have receded. The big concern for home owners and potential home buyers is if the home has had any excessive water/moisture intrusion into the interior spaces of the home. If water/moisture intrusion has occurred mold could be manifesting in your home without your knowledge.

Neither the State of Missouri nor any federal agencies currently have any regulations regarding investigation, evaluation, or remediation of mold. The front runners in the development of mold regulations include the states of New York, California, Minnesota, and Texas.

A general home inspection during a real estate transaction typically includes looking for mold, and water/moisture intrusion. This is significant during the inspection of the interior. Every home inspector should be aware of the legal consequences of mold in homes. In fact, mold litigation has been the chief reason for mold awareness in homes. Health issues and the affects mold has on adults and children have been debatable. However, the mere thought of going through trials and litigation over mold, health concerns, and law suits make the whole mold issue significant.

A careful visual inspection for mold and water/moisture intrusion can eliminate 80% of the concern and responsibility of mold being in the home. The 20% of what is going on in between the walls that can’t be seen will always be there. Most good home inspectors will do a virtual photo scan of the entire house to document what the conditions were at the time of the inspection. However, all parties should be aware that lawsuits and litigation can raise its ugly head even when everyone has made a good faith effort to disclose and carefully inspect the property before the real estate transaction has closed.

During the inspection the inspector will typically look for stains and/or mold and then try to determine the source of the stains. Mold does not appear out of the blue by itself. Sources are typically an interior water leak, or water/moisture intrusion from the exterior to the interior spaces or lack of or improper ventilation. If there is an unusual odor or musty smell, air monitoring should be considered. If mold is found, the inspector may also suggest taking a sample to determine and identify exactly what type mold is present in the home, toxic or allergenic. Both these procedures are separate fees from the whole house building inspection.

Take time and talk with your inspector over all these variables and more concerning mold. You can’t afford not to know about mold in your home. And make sure your inspector is ASHI certified!

Harry Morrell
ASHI Certified Inspector

Posted by Harry Morrell | Read More | Your Comments Are Welcome! | 11.10.2008

St. Louis Mortgage News – Housing Assistance Tax Act of 2008 pt 2

Filed under: First Time Home Buyer, For Buyers, Relocation Buyer

Credit for First-Time Home-buyers by Chris Scheer, Cornerstone Mortgage, O’Fallon, MO

The single largest provision in the Housing Act is a measure allowing taxpayers buying their first home to take a tax credit of up to $7,500 of the purchase price. Qualified home-buyers can subtract the credit amount from their federal income tax when they buy a home and even get a refund if the credit exceeds their tax. However, they are then required to pay the credit back over fifteen years. The result is that the credit resembles an interest-free loan that must be repaid to the government.

Here are the details of the new credit:

• The home must be located in the United States and must be the taxpayer’s principal residence. The taxpayer (and the taxpayer’s spouse if married) must not have owned another principal residence in the United States in the three-year period before purchasing the new home. Accordingly, the home does not literally have to be the taxpayer’s first home ever purchased in the United States.
• The home must be purchased between April 9, 2008 and June 30, 2009. Purchases from certain related persons and acquisitions by gift or inheritance do not qualify. A home constructed by the taxpayer does qualify if the taxpayer moves in between April 9, 2008 and June 30, 2009.
• There is also a special rule that allows taxpayers who purchase a qualifying principal residence in the first six months of 2009 to treat the purchase as if made on December 31, 2008. This allows the credit to be claimed on the taxpayer’s 2008 taxes rather than waiting to claim it on the taxpayer’s 2009 taxes.
• The credit is equal to ten percent of the price paid for the home, up to a maximum of $7,500. The $7,500 maximum credit applies both to individuals and married couples filing a joint return. A married individual filing separately can only claim a maximum credit of $3,750.
• The credit is phased out for individual taxpayers with modified adjusted gross income (AGI) between $75,000 and $95,000 ($150,000 and $170,000 for joint filers) for the year of purchase. Taxpayers with modified AGI over $95,000 ($170,000 for joint filers) can’t claim the credit at all.
• The credit is refundable, which means that households with incomes too low to owe any income tax can still benefit as the excess credit available after applying to any income taxes will be refunded to the taxpayer.
• In the second year after purchase (note that the payback doesn’t immediately start in the subsequent tax year), taxpayers who took the credit must start paying back the credit in equal interest-free installments over fifteen years. For example, suppose a first-time home-buyer purchases a home for $100,000 in December 2008 and claims the maximum credit of $7,500 on his 2008 tax return. He would then be required to pay back $500 (one-fifteenth of the credit) on his tax return for 2010 and for each subsequent return for the following fourteen years, finishing in 2024.
• If the taxpayer sells the home (or the home ceases to be the principal residence of the taxpayer or the taxpayer’s spouse) before the complete repayment of the credit, any remaining credit is due on the tax return for the year in which the home is sold (or ceases to be the principal residence). If the home was sold at a loss to an unrelated person, repayment of the remaining credit is forgiven to the extent of the loss.
• No credit is allowed if certain conditions exist: the taxpayer was ever entitled to a District of Columbia homebuyer credit, the home purchase was financed through tax-exempt mortgage revenue bonds, the taxpayer is a nonresident alien, or the taxpayer disposes of the residence (or it ceases to be a principal residence) in the same year as it was purchased.

For a chart of the tax credit information, click here

For Questions or Comments, please contact Chris Scheer chrisscheer@stlouisrealestatevoice.com

Posted by Doug Aegerter | Read More | Your Comments Are Welcome! | 08.05.2008

St. Louis Mortgage News – Housing Assistance Tax Act of 2008

Filed under: First Time Home Buyer, For Buyers, Mortgage News, Relocation Buyer

On July 30, 2008, President Bush signed into law the “Housing Assistance Tax Act of 2008” (the Housing Act). It includes a $15.1 billion package of housing tax incentives.

Here are the highlights of the bill for homeowners and first time home buyers.by Chris Scheer, Cornerstone Mortgage, O’Fallon, MO

Part One

Property Tax Deductions for Non-Itemizers

The Housing Act created a new, temporary property tax deduction for non-itemizers (i.e., for taxpayers who claim the standard deduction rather than itemizing their deductions).

Highlights include:

• The provision creates a new standard deduction for state and local real property taxes paid by non-itemizers. Since most homeowners who are paying on a mortgage have enough deductions (e.g., mortgage interest and property taxes) to justify itemizing them on their return, this new provision chiefly benefits homeowners who have paid off their homes.

• The deduction is currently only available for tax years that begin in 2008.

• The amount of deduction will be as much as $500 for single filers and $1,000 for joint filers. Since this is a deduction and not a credit (i.e., a dollar-for-dollar reduction in tax liability) the actual tax benefit will not be all that substantial. For example, it only proves a maximum of $100 to a couple in the ten percent tax bracket and $150 to a couple in the fifteen percent bracket (and only $50 and $75, respectively, to singles in those brackets). Granted, in this economy every little bit helps.

Part Two

Credit for First-Time Homebuyers (to be continued)

Chris Scheer can be reached at chrisscheer@stlouisrealestatevoice.com

Posted by Doug Aegerter | Read More | Your Comments Are Welcome! | 08.04.2008

St. Louis Real Estate-2008 Begins NOW!

Filed under: First Time Home Buyer, For Buyers, For Sellers, Real Estate News, Relocation Buyer, St. Louis Market Reports, Unrepresented Seller(FSBO)

St. Louis Real Estate Market Watch
January 4^th, 2008
The Anatomy of St. Louis Real Estate

The St. Louis Home for Sale Team provides a weekly St. Louis County and Bi-weekly St. Charles County Market and Jefferson County Market Watch Report to review and plug into your home buying or selling scenario. Your questions and comments are welcome!

The St. Louis Real Estate market is continuing it’s winter trend of slowing with active listings under 4500, market rejected listings reaching over 4700 and the pending ratio falling again to 11.22%. However, the segment of the market in the $125,000 to $250,000 price range are maintaining pending ratios well above the average. These price ranges also tend to have the bulk of the inventory on the market at this time, as these are the price ranges that tend to keep the St. Louis market moving. There are a few of the higher price ranges that are also experiencing higher than average pending ratios.

We have seen in the last couple of weeks some good buyer activity in the market; we think it is because of unusually good weather, except for one snow day and two days of below freezing temperatures. Also, the roller-coaster ride that interest rates have been on has probably spurred some buyers to lock into a rate and buy now, as opposed to waiting.

Sellers-don’t get discouraged now– stay on the market while some of your competition waits on the sidelines. We still hear from frustrated sellers that they want to wait until the market improves. We tell them that if they are willing and able to wait possibly until 2009, go ahead. We still see all predictions for our real estate market to remain at the levels it is now, with possibly a very small increase in sales volume and home prices. If sellers are waiting for an “improvement” to 2003–05 conditions, it’s not happening anytime soon.

Those sellers waiting for spring will undoubtedly see more buyers in the marketplace, ALONG with an increase in competition (inventory). I guess that’s OK because when spring comes, the home will be priced a bit below market value, it will be in absolute show-room condition and it will be marketed with an unlimited budget. When spring comes, that’s what it will take. We’ll see.

Thinking of buying or selling a home? Contact Us for additional information tailored to your specific needs.

St. Louis Real Estate St. Louis County Market Watch January 4th, 2008

St. Louis Real Estate Jefferson County Market Watch December 29th, 2007

St. Louis Real Estate St. Charles County Market Watch January 4th, 2008

St. Louis Real Estate Benchmark Report December 2007

The report begins by breaking the market into 17 distinct price ranges. Then we show current listings and current pending listings which creates a pending ratio, which is helpful on a week to week basis to see if activity is increasing or decreasing in a price category.

The report also shows the last 6 months of results and compares the data to the same 6 months of the previous year.

The Market Analysis includes data on:

Number of Active Listings (Current)
Pending Sales (Going to closing)
Pending Ratio (Active vs.Pending)
Sold (Last 6 months)
Expired (Last 6 months)1
Average List Price
Average Sale Price
Average List to Sales Price %
Days on Market (DOM)
Months worth of Inventory (Based on current pending rate)
Buyers Market: > 7 months of listing inventory

Transitional Market: 5 – 7 months of listing inventory (sometimes called a “balanced” market)

Seller Market: < 5 months of listing inventory

Average % Sale Price/List Price (0-30), (31-60), (61-90), (91-120), (120+)DOM

Notice that you’re paying a penalty for over pricing. . .hey. .it’s a fact!!

The Benchmark Report is produced monthly for:

Single Family Residence
Ranch Style
1300 – 2000 sq.ft.
3 Bedrooms
1.5 Bathrooms

Art Wagner can be reached at art@stlouisrealestatevoice.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 01.05.2008

St. Louis Real Estate-Happy New Year!

Filed under: First Time Home Buyer, For Buyers, For Sellers, Mortgage News, Real Estate News, Relocation Buyer, St. Louis Market Reports, Unrepresented Seller(FSBO)

St. Louis Real Estate Market Watch
December 29th, 2007
The Anatomy of St. Louis Real Estate

St. Louis Real Estate comes to the close of another year. And what a year it’s been watching home prices slide downward and days on market climb into triple digits. Watching the “Mortgage Credit Crisis” unfold was, and still is, one of the major events we all are paying close attention to. Buyers and Sellers this past year have had to adjust to a new set of “rules-of-thumb” when it came to buying and selling a home. Those that adjusted quickly had great success with their buying and selling process; those that took too long to adjust helped contribute to the abundance of inventory of homes that are still available. When all the statistics are in, I think we will still see that 2007 was one of the better years in real estate here in St. Louis.

St. Louis Real Estate in 2008 is predicted to be a better picture with a slight increase in home prices and an increase in sales volume. We have a lot going for us here in St. Louis in the coming year. Just a few of the positives are:

1. Mortgage lenders are sorting out their problems and developing products to help us

move forward into 2008

2. The Fed’s Rate Cut in the last quarter of 2007 should spur more activity within our marketplace.

3. With New Home Builders slowing their production, inventories should start to level off

a bit and in turn help existing-home sales.

4. The Wacovia / A.G. Edwards Merger and the Edward Jones Co. expansion will certainly create some great real estate opportunities in St. Louis.

5. President Bush’s plan to help a portion of the sub-prime borrowers should

help to keep inventories in some price ranges in check.

SO…We’re looking forward to 2008 and all the opportunities a new year presents.

WATCH WHAT HAPPENS— Stay with us through 2008 and see if all the postive predictions come true.

HAVE A SAFE AND HAPPY NEW YEAR!!

Thinking of buying or selling a home? Contact Us for additional information tailored to your specific needs.