Real Estate Information

If you have not used the USPS "Click-N-Ship" we highly recommend it.  Supplies are free at any US Post Office or you can order online and have them delivered direct to your door step for FREE. 

We have been using the "Click-N-Ship" service for about 5 years now and love the easy access and the gas saved by not hitting the road to the Post Office.

Mail Deadlines - If you want your letters and packages to arrive on time, be sure to check out the United States Postal Service's mailing deadlines as well as their special Holiday Mailing Center webpage.  If you want to avoid post office lines all together, read about their Click-N-Ship postage and Free package pick-up.

Merry Christmas!

That's right....Merry CHRISTMAS.  We said it and we mean it. :)

Naturally in our industry we see our clients moving in or out on a daily basis.  This is a stressful time and relocating can be expensive, time consuming and overwhelming. Whether you're moving down the block or across the country, our best advice is to plan ahead.

Here is a rough timeline to consider:

Eight weeks: Choose the type of move. Decide whether to hire professional movers to pack and transport your belongings, do a combination where you pack yourself and hire a service to move things, or do it all yourself.

Calculate all the different costs. Professional movers might charge more if you live on an upper floor of a walk-up building. An interstate do-it-yourself move likely requires paying for gas, hotel stays and food.

If you go the professional route, get at least three in-home estimates. The moving industry while mostly professional does have it share of fraud.  Getting an in-home inventory quote is a key component rather than simply getting a phone quote. If you give your inventory over the phone, and then on moving day and the moves say this is different than what you said over the phone you can be charged more and at that point there isn't much you can do about it.

Make sure your moving company is licensed and insured, and that the estimate you receive is binding, or "not-to-exceed." Also, watch out for companies that charge by the cubic foot because they could pack the truck loosely to take up more space. For interstate moves, you should be billed by the weight of your items; local moves should be billed by the hour and number of movers.

The Federal Motor Carrier Safety Administration, www.protectyourmove.gov , offers tips on protecting yourself from moving fraud.

Five to six weeks: Inventory belongings and change address. You should start deciding which belongings you want to move, give away and throw out. Also, start notifying others about your change of address, including banks, credit-card companies and insurers.

The U.S. Postal Service allows you to set up a forwarding service online at www.usps.com . www.Moving.com also offers a free change-of-address service under its Tools & Services section.

Three to four weeks: Start packing. You can buy boxes at local storage facilities, home-improvement stores and even online. www.Usedcardboardboxes.com resells used boxes at a discount and ships them to you free. But be sure to inspect all boxes carefully. Even if you save a few bucks on boxes, if they fall apart you lose more than any savings.

One to two weeks: Make final calls. Everything but a few daily necessities should be packed and you should be living out of a suitcase.

Make calls to your landlord to reconfirm your move-in date and to utilities to confirm that you'll have electricity and water when you move in. You then have that last week to handle anything unexpected.

We have a wealth of relocation information and advice. Please feel free to contact us anytime.

One of the greatest business books I believe ever written in the last 10 years is Jim Collins' best seller, "Good to Great." In this book, Jim describes "good as the enemy of great." He believes we don't have great schools because we have good schools; we don't have great businesses because we have good businesses.
 
I would suggest this applies to our lives as well. We don't have great lives because we have good lives. We have just enough but not enough. We fall into that dreaded comfort trap.
 
I have had the great privilege of knowing both the "good" and the "great" over the past 20 years, and in my opinion there are indeed clear and distinct differences between the two.
 
Here are my Top 10 differences between "the Good" and "the Great."

                                                               Hmmm……..Which one are you?

1. The great make a mistake and say, "I'm sorry, I made a mistake," Then they fix it. The good make a mistake and say, "It wasn't my fault" then proceed to make the same mistake again.

1. The great say, "We can do this better" while the good often say, "This is the way it's always been done."

1. The great tell us what they are going to and get to work to get it done. The good spend the first half of their life telling us what they are going to do and the second half explaining why they didn't do it.

1. The great say, "I'm doing okay but I can do better." The good say, "I'm doing better than many others."

1. The great respect, admire and want to learn from those who are doing better. The good are jealous of those who are doing better leaving no space for learning and growth.

1. The great would rather be respected and admired than liked, although they would like to have both. The good would rather be liked than respected and admired.

1. The great, when faced with adversity, always get better. The good, when faced with adversity, usually get bitter and ask, why me?

1. The great are focused on solutions. The good are focused on the problems.

1. The great are striving to get the most from their day when the good are just trying to get through the day.

1. The great are always trying to get on with it while the good are always trying to get away with it.

Closing take-away nuggets:
 
Our personal philosophy is based on the way we think.

Sow a thought, reap an action
Sow an action, reap a habit
Sow a habit, reap a character
Sow a character, reap a destiny

                            - Samuel Smiles

All significant breakthroughs were breaks with the old ways of thinking."
                                                      - Thomas Kuhn

Under our "Maximum Exposure" marketing plan we market our seller's homes on 25+ websites and we think leveraging web exposure for our sellers has contributed dramatically to our success in getting our seller clients under contract on the average in less than 41 days.  The Austin MLS has a whole currently averages 77 days out...

Clearly the American home buyer agrees. Below are the top information sources used by buyer in their in home search in 2008:

• Internet: 84%
• Real estate agent: 89%
• Yard sign: 62%
• Open house: 48%
• Newspaper ad: 47%
• Home book or magazine: 30%

Source: 2008 National Association of REALTORS® Profile of Home Buyers and Sellers

President Barack Obama has just approved the first-time homebuyer tax credit extension which will extend the tax credit until April 30, 2010.

The extension is part of a $24 billion economic stimulus bill that will extend the $8,000 tax credit for homebuyers who are purchasing their first home from the current November 30 deadline and expands the program to offer a credit of $6,500 to homeowners who have lived in their current home for at least five years and are seeking to relocate.

The following details apply to the homebuyer tax credit expansion:

Who is Eligible
First-time homebuyers, who are defined by the law as buyers who have not owned a principal residence during the three-year period prior to the purchase, may be eligible for up to an $8,000 tax credit.

Existing homeowners who have been residing in their principal residence for five consecutive years out of the last eight and are purchasing a home to be their principal residence (“repeat buyer”), may be eligible for up to a $6,500 tax credit.

All U.S. citizens who file taxes are eligible to participate in the program.

Income Limits

• Homebuyers who file as single or head-of-household taxpayers can claim the full credit ($8,000 for first-time buyers and $6,500 for repeat buyers) if their modified adjusted gross income (MAGI) is less than $125,000.
• For married couples filing a joint return, the combined income limit is $225,000.
  Single or head-of-household taxpayers who earn between $125,000 and $145,000, and married couples who earn between $225,000 and $245,000 are eligible to receive a partial credit.
• The credit is not available for single taxpayers whose MAGI is greater than $145,000 and married couples with a MAGI that exceeds $245,000.

Effective Dates
The eligibility period for the tax credit is for homes purchased after Nov. 6, 2009, and before May 1, 2010. However, home purchases subject to a binding sales contract signed by April 30, 2010, will qualify for the tax credit provided closing occurs prior to July 1, 2010.

Types of Homes that Qualify
All homes with a purchase price of less than $800,000 qualify, including newly-constructed or resale, and single-family detached, townhomes or condominiums, provided that the home will be used as their principal residence. Vacation home and rental property purchases do NOT qualify.

Tax Credit is Refundable
A refundable credit means that if the amount of income taxes you owe is less than the credit amount you qualify for, the government will send you a check for the difference.

For example:

• A first-time buyer who qualifies for the full $8,000 credit who owes $5,000 in federal income taxes would pay nothing to the IRS and receive a $3,000 payment from the government. If you are due to receive a $1,000 refund, you would receive $9,000 ($1,000 plus the $8,000 first-time homebuyer tax credit).
• A repeat buyer who owes $5,000 would pay nothing to the IRS and receive $1,500 back from the government. If you are due to get a $1,000 refund, you would get $7,500 ($1,000 plus the $6,500 repeat buyer tax credit).
• All qualified homebuyers can take the tax credit on their 2009 or 2010 income tax return.

Payback Provisions
The tax credit is a true credit. It does not have to be repaid unless the home owner sells or stops using the home as their principal residence within three years after the purchase.

1. Pay your bills on time. Payment history accounts for roughly 35% of your score. So paying billing bills timely is the most important thing you can do.  If you get behind, get caught up.  If you are struggling, be proactive and contact your creditors

1. Increase the length of your credit history. It accounts for 15% of your score.  Canceling an old card or getting a lot of new credit within a short time span can hurt your score because it lowers the average age of your accounts.

1. Keep credit card balances low.  Credit utilization makes up 30% of your credit score. Try t keep the amount you borrow below 25% of your available credit.  Even if you pay off your credit cards every month, the average balance will still impact your score.

1. Minimize new credit requests.  They account for 10% of your credit score. Every time a potential lender asks for a copy of your credit report, an inquiry is recorded.  If you are applying for a mortgage loan in the near future, don’t apply for any new credit cards beforehand.

1. Maintain different types of installment and revolving debt. About 10% of your score depends on the type of credit used. How you handle the revolving credit (like credit cards) carries more weight than how you deal with installment debt (such as car loans)

Summer Vacation is over, Fall is here and now it's time to tend to the tasks that prepare us for the fall. Here are 5 tips to get you started

Be sure to replace your furnace and fridge filters.
For heating and cooling systems to operate properly the filters need to be changed frequently. If you have an automatic ice maker and cold-water dispenser, now is the time to replace the filter in your refrigerator to ensure fresh tasting ice and water.

Keep your washer working at it's best and smelling fresh.
Odor-causing residues and mould and mildew stains have the potential to accumulate anywhere moisture is present - including your washing machine. To reduce this build up use a washer cleaning kit every time the seasons change.

Run all gas-powered lawn equipment outside until the fuel tank is empty.
This will ensure that your lawn mower is not a fire hazard if you store it in the garage over the winter.

Change batteries in fire detectors and review your fire escape plan.
Batteries weaken with age and must be checked regularly, while smoke alarms become less sensitive over time and should be changed every ten years.

Have a certified chimney sweep inspect and clean the flues and check your fireplace damper.
Also remember to remove bird nests from chimney flues and outdoor electrical fixtures. A chimney with soot and creosol build-up or birds' nests can be a fire hazard

 "Green" may seem like a relatively new term for describing ideas that are environmentally sensitive, but the concept is timeless – particularly when it applies to the home. Here are 10 simple ways to live a "greener" life in your home.

1. Lower the thermostat.
Turning it down by a degree or two can reduce heating bills by 4 percent or more.

2. Use ceiling fans in winter.
Changing the direction of the blade to counterclockwise pushes hot air down and helps keep rooms warm.

3. Look for appliances with Energy Star ratings.
Compared to a refrigerator built in 1990, a new Energy Star model saves enough electricity to light an average home for more than 4 1/2 months.

4. Fix drips.
One drop per second from a leaky faucet can waste as much as 10 gallons of water each week.

5. Install low-flow shower heads, faucets and toilets.
Low-flow faucets reduce water consumption and heating by as much as 50 percent. Low-flow toilets could save Americans 2.1 trillion gallons of water and $11.3 million daily.

6. Choose green flooring
made from renewable resources like bamboo.

7. Look for furnishings
that are made from biodegradable or recyclable materials, so when they wear out, they don't create waste.

8. Check local guidelines for disposing of paint cans
and other toxic and hazardous materials. Recycle packing and shipping materials.

Many communities have associations for homeowners, property owners, condo owners or similar classes of owners. The presence of a homeowners association, also known as "HOA", introduces another layer of rules and regulations to consider when buying a property. Some people love these associations and others do not care for them.

As part of the disclosure process and once you have an accepted offer you should have the opportunity to review the HOA restrictions, covenants and conditions. These sound complicated, but they generally are not…although they can be lengthy with lots of legalese. You will find them most commonly in subdivisions and condo complexes. They are generally recorded documents.

Simply put, the restrictions and covenants are a description of the things you can and cannot do with your property or the area in which the property resides. For example you might not be able tot turn your property into a farm to assure that the property use is consistent with land use in the general area.  You might be prohibited from parking your RV on the street or in the driveway.

Some associations have very simple rules such as no abandoned, non-working motor vehicles and no grass above ten inches tall are allowed. Others have architectural review boards that must approve your paint scheme before you can repaint your house.

The Home Owner’s Association (HOA) usually have the authority to enforce these rules and penalties are usually monetary damages or an injunction (a court order to stop what you are doing). Rarely do issues go to this level and most conflicts can be mediated to a satisfactory solution for all parties.

The HOA rules, guidelines, restrictions and covenants are generally not negotiable, and you will be expected to review and approve these as part of the contractual process. You, of course, will have a copy for your files. If you should decide you cannot abide by the rules, then your best course of action often is to withdraw your offer before the end of the contingency period (see your contract and consult agent representative).

When buyers are considering relocation to Austin we often get the question, "How's the job market in Austin?".  Even though we have friends and associates that are currently unemployed, the overal job market in Austin is one the strongest in the country.

Through July 2009 according to data compiled by the Austin Chamber of Commerce and Beverly Kerr, Chamber Vice President of Research Austin continues to maintain a  "best performing" position in major metros ranking based on percent change in nonfarm payroll jobs.

Houston's 3.1% job loss rate has put it at 18th in this ranking for July, but Dallas, Fort Worth, and San Antonio continue to place in the top 10.

If this ranking was expanded to the 100 largest metros, instead of the 50 largest, there would only be three metros outperforming Austin. Two of those metros added jobs over the last 12 months: El Paso (0.9%) and Baton Rouge (0.2%).

The median rate of loss among the 50 largest metros is -4.1%. Nationally, the difference between July 2008 and July 2009 is -4.2%, and for Texas it is -2.1%. Eleven states outperform Texas on job growth.

New York is the best performing large state with job losses amounting to only -1.9% and three divisions of the New York MSA also make the best performing metros top 10 list. California's losses (-5.0%) put it at 43rd and the state's large metros have seen losses ranging from -4.2% to -6.0%. Two of California's metros, Sacramento and Riverside, fall into the bottom quintile of the 50 largest metros. The very bottom of the ranking includes Detroit and Warren, with well known job market issues, but also Phoenix and Las Vegas, metros that, previous to this recession, had been among the fastest growing.

In recent data released by the Texas Workforce Commission for Austin and other Texas metros, two sectors set Austin apart. Austin saw growth in private service providing jobs (3,200 jobs or 0.6%), where the other large Texas metros saw losses; and in goods producing industries, Austin's losses (10,000 jobs or 9.4%) were more dramatic than those seen elsewhere.

Breaking out private service providing employment for the nation's top 50 metros also shows Austin to be the only metro with positive job growth.

The dominant sector buoying Austin's performance is continued growth in government jobs (5,400 or 3.5%). Other Texas metros and the nation generally are seeing those jobs grow, however Austin benefits from the relative share that the sector represents here. Among the top 10 performing metros, only Washington and Virginia Beach also have a government sector accounting for more than 20% of total employment. The average government share in the other top performing metros is about 15%.