Two national builders merged this past week. Pulte, the owner of Del Webb Senior Communities and Sun City Carolina Lakes south of Charlotte Real Estate, has purchased/merged with Centex. Centex Home Builders was based out of Texas and had large land holdings in both Texas and the Carolinas. This was appealing to Pulte based on the demographic trends and the baby boomers. New Homes nation wide and especially the Charlotte new homes market will flourish with senior homes.
Pulte homes tended to focus more on seniors and I am certain they will continue on this successful business plan as lending rules constrict. As lending rules tighten (or actually just become practical and cost effective) who has equity, credit and money? Seniors! It will be prudent to structure developments to cater to the seniors as they retire and continue to move south for lower taxes, less expensive homes and a warmer climate.
Centex was building new developments and were riding the trend of larger and larger homes. As credit tightened, much of their market could not sell their homes out-of-state and business slowed. Pulte capitalized on this opportunity. Every crisis provides opportunity for those positioned well for the current trends and demands. Pulte Homes is that company.
Visit Charlotte NC Homes for Sale to learn about the great Charlotte Real Estate Opportunities. Yes, our market has slowed due to the national downturn. but it is still the best place to buy a home. People all around the nation have the desire to relocate to Charlotte Real Estate just to not have the financial liquidity to capitalize on the current opportunity. Be assured their plans have not changed; merely placed on a temporary hold. The opportunities of today will be gone very soon. If you are fortunate enough to capitalize on this financial downturn, Charlotte NC Real Estate awaits.
Sunday, April 12, 2009
Monday, March 23, 2009
Charlotte Real Estate and the Charlotte Condo Market
There are many people seeking a solid Charlotte real estate investment but a single family home does not fit your lifestyle. Some of these people include seniors, single professionals and young couples just starting out and tired of paying rent. Charlotte Condos for Sale may be what you are seeking. There are several caveats to consider as you discover the Charlotte Condo market.
Charlotte is still a very new city. The condo market in Charlotte NC is still in its infancy. Many developers/investors did not do much research and just threw in their cash. Not a wise move.
You must first consider your market niche and decide why would a person want a condo in this location. Condos are to offer a more affordable home or convenience. Convenience is to either work and or night life. Condo developers swarmed in uptown Charlotte a couple of years ago without noting that the rate of condo development was far exceeding demand. Ultimately this challenged outer area condos because uptown Charlotte Condos were all the rage.
The rage has subsided and now many Charlotte Condo investors are holding onto empty condos. There will be many deals on uptown Charlotte Condos but please consider call of the expenses prior to buying. I do not share this to take you away from the condos but please consider these a longer term investment and be assured it is affordable for your budget. I do not want you to repeat the process that has occurred in uptown.
There are also areas where condos make a lot of sense. For example consider Piedmont Row in Southpark. Piedmont Row is a very nice complex with a great location in Southpark. Since Southpark attracted thousands of professionals that spend a couple of weeks a month at this office. These Southpark Condos are designed with you in mind. Due to the over development of Uptown Condos, many condos in outer areas (such as Southpark) did not see much activity over the past several years.
The areas such as Southpark will be ideal to take advantage of the slower market there. You can purchase condos below market value and be comfortable that you investment will appreciate over the next 5 or so years. These outer areas will recover much faster than uptown. Uptown Charlotte condos will take a while before our population meets the supply. In the mean time many of the 'investors' will let these homes go back to the bank.
Opportunity is all around. You just need to trust an expert that has your shared interest first. Visit my Charlotte Real Estate website for additional information of the greater Charlotte NC Homes market.
Charlotte is still a very new city. The condo market in Charlotte NC is still in its infancy. Many developers/investors did not do much research and just threw in their cash. Not a wise move.
You must first consider your market niche and decide why would a person want a condo in this location. Condos are to offer a more affordable home or convenience. Convenience is to either work and or night life. Condo developers swarmed in uptown Charlotte a couple of years ago without noting that the rate of condo development was far exceeding demand. Ultimately this challenged outer area condos because uptown Charlotte Condos were all the rage.
The rage has subsided and now many Charlotte Condo investors are holding onto empty condos. There will be many deals on uptown Charlotte Condos but please consider call of the expenses prior to buying. I do not share this to take you away from the condos but please consider these a longer term investment and be assured it is affordable for your budget. I do not want you to repeat the process that has occurred in uptown.
There are also areas where condos make a lot of sense. For example consider Piedmont Row in Southpark. Piedmont Row is a very nice complex with a great location in Southpark. Since Southpark attracted thousands of professionals that spend a couple of weeks a month at this office. These Southpark Condos are designed with you in mind. Due to the over development of Uptown Condos, many condos in outer areas (such as Southpark) did not see much activity over the past several years.
The areas such as Southpark will be ideal to take advantage of the slower market there. You can purchase condos below market value and be comfortable that you investment will appreciate over the next 5 or so years. These outer areas will recover much faster than uptown. Uptown Charlotte condos will take a while before our population meets the supply. In the mean time many of the 'investors' will let these homes go back to the bank.
Opportunity is all around. You just need to trust an expert that has your shared interest first. Visit my Charlotte Real Estate website for additional information of the greater Charlotte NC Homes market.
Sunday, March 15, 2009
Union County Real Estate and Union County Schools
Union County continues to grow and Union County must adjust the school borders to adjust for the current population. The New Cuthbertson Schools (middle and high) are opening in 2009/2010. Union County Real Estate maps are now constructed to allow for the new students to attend. Each new school creates new real estate opportunities. The New Cutbertson schools pulled students from Weddington Real Estate, Marvin Real Estate and Waxhaw Real Estate. Many Union County NC Homes within this new area will experience an increase in demand due to the excitement of the new school. This is good news for the vast majority of residents because their Union County Homes will increase in value.
The Sun Valley High School, further east in Indian Trail, is beyond capacity and needs to lighten some of the student burden (according to county officials); each student deserves a comfortable learning environemnt and each teacher should have manageable classroom sizes. Any redistricting is met with oppositiion which is understandable. Most buyers purchase homes based on their "current" school assignments.
Ultimately there are many difficult decisions to be made as the greater Charlotte Real Estate area continues to grow. I understand the concern of home owners and I do everything possible to assure you find the home in an area with schools of your choosing for your new Charlotte Home.
The Sun Valley High School, further east in Indian Trail, is beyond capacity and needs to lighten some of the student burden (according to county officials); each student deserves a comfortable learning environemnt and each teacher should have manageable classroom sizes. Any redistricting is met with oppositiion which is understandable. Most buyers purchase homes based on their "current" school assignments.
Ultimately there are many difficult decisions to be made as the greater Charlotte Real Estate area continues to grow. I understand the concern of home owners and I do everything possible to assure you find the home in an area with schools of your choosing for your new Charlotte Home.
Thursday, March 12, 2009
Charlotte New Homes: Where are the deals?
One of the beautiful things about moving to Charlotte NC is that Charlotte New Homes for Sale are still affordable. Nothing beats the excitement of having a brand new Charlotte Home where you personally select all of the features that you desire in a home. The downside to the new home building process is that life often changes before the home is even complete. Is this a downside or an opportunity? It depends on your perspective.
The rapidly evolving Charlotte Housing market is causing grief for builders. As the lending rules evolve so does the odds of the Charlotte New Home buyer. As the credit tightens many potential Charlotte New Home owners can no longer buy their dream home. Please be certain that you exceed the current credit rules if you are purchasing a new home. The lending rules/criteria are changing all of time. There is no way to know what the rules will be six months from now.
So what happens to the new home after the buyer can no longer get financing? This is not good for the Charlotte builder. In today's economy, builders are not building spec homes (also known as inventory homes). It simply takes too long to sell a spec home and it is not a viable business plan. So now what? The builder is in the same position as the potential buyers are today. There is no way of knowing with any degree of certainty what tomorrow will bring. Builders will discount these brand new homes to eliminate the risk and to free up their financial resources for new buyers. Yes you can purchase a discounted brand new Charlotte home. The down side is that you will not be able to select everything that you wanted but you can receive unheard of discounts of 20% or more!
As the economy changes these Charlotte NC Homes For Sale will not be discounted much longer. Springtime is always a more active real estate time period so the wise money is buying now. As the spring market heats up these discounted properties will be no where to be found.
Visit my Charlotte Real Estate website today and learn more about Charlotte NC Homes For Sale.
The rapidly evolving Charlotte Housing market is causing grief for builders. As the lending rules evolve so does the odds of the Charlotte New Home buyer. As the credit tightens many potential Charlotte New Home owners can no longer buy their dream home. Please be certain that you exceed the current credit rules if you are purchasing a new home. The lending rules/criteria are changing all of time. There is no way to know what the rules will be six months from now.
So what happens to the new home after the buyer can no longer get financing? This is not good for the Charlotte builder. In today's economy, builders are not building spec homes (also known as inventory homes). It simply takes too long to sell a spec home and it is not a viable business plan. So now what? The builder is in the same position as the potential buyers are today. There is no way of knowing with any degree of certainty what tomorrow will bring. Builders will discount these brand new homes to eliminate the risk and to free up their financial resources for new buyers. Yes you can purchase a discounted brand new Charlotte home. The down side is that you will not be able to select everything that you wanted but you can receive unheard of discounts of 20% or more!
As the economy changes these Charlotte NC Homes For Sale will not be discounted much longer. Springtime is always a more active real estate time period so the wise money is buying now. As the spring market heats up these discounted properties will be no where to be found.
Visit my Charlotte Real Estate website today and learn more about Charlotte NC Homes For Sale.
Sunday, March 08, 2009
Charlotte Foreclosures-Charlotte Short Sales
Many home buyers in today's Charlotte Real Estate market are looking for a deal. Well a steal would be more like it. As the banking industry deals with the national foreclosures they are also dealing with the homes that was considered collateral.
The sub prime market gave money to many that had no reason to ever own a home. Lending money to a person for a home that already has a history of not paying money back is not a sound business plan. Now we get Charlotte Short Sales and Charlotte Foreclosures.
From a bank's perspective a Short Sale is preferred. A short sale is a home that is already delinquent several months on payments (that is why a bank agrees to a short sale) and is willing to take less than what is owed. The bank also knows that there are more expenses to go through the foreclosure process and frequently the highest cause is the damage done by the person that was not paying the mortgage in the first place.
A Foreclosure home is often beyond just disrepair. I have seen them completely gutted to include the removal of entire kitchens, bathrooms (including all plumbing), HVAC units, furnaces and hot water tanks. I have seen them with the electrical panel removed and all of the House wiring severed.
The difficulty with a Short Sale is the "mortgage company" typically is insured by the Government (since the Government mandated the loans) and the bank is overwhelmed in this department. The Short Sale department represents a loss for the institutions. It is difficult to keep throwing more money after bad loans. The process is further complicated by the 2nd mortgages since the second mortgage holder bears the brunt of the losses.
You must get two "overloaded" departments to agree on a course of action, a fair price and who takes what loss. Are there deals to be had? Yes, but patience is required.
There are Charlotte Short Sales and Charlotte Foreclosures to be had. Keep in mind that the same rules apply to foreclosures as it does to regular homes. The homes for sale in the most desirable Charlotte NC Homes in the highest demand areas will also get the highest price for a Charlotte Foreclosure. The reverse is also true.
Visit Charlotte NC Homes For Sale to learn about the various areas surrounding Charlotte Real Estate and together we will find the best deal for you!
The sub prime market gave money to many that had no reason to ever own a home. Lending money to a person for a home that already has a history of not paying money back is not a sound business plan. Now we get Charlotte Short Sales and Charlotte Foreclosures.
From a bank's perspective a Short Sale is preferred. A short sale is a home that is already delinquent several months on payments (that is why a bank agrees to a short sale) and is willing to take less than what is owed. The bank also knows that there are more expenses to go through the foreclosure process and frequently the highest cause is the damage done by the person that was not paying the mortgage in the first place.
A Foreclosure home is often beyond just disrepair. I have seen them completely gutted to include the removal of entire kitchens, bathrooms (including all plumbing), HVAC units, furnaces and hot water tanks. I have seen them with the electrical panel removed and all of the House wiring severed.
The difficulty with a Short Sale is the "mortgage company" typically is insured by the Government (since the Government mandated the loans) and the bank is overwhelmed in this department. The Short Sale department represents a loss for the institutions. It is difficult to keep throwing more money after bad loans. The process is further complicated by the 2nd mortgages since the second mortgage holder bears the brunt of the losses.
You must get two "overloaded" departments to agree on a course of action, a fair price and who takes what loss. Are there deals to be had? Yes, but patience is required.
There are Charlotte Short Sales and Charlotte Foreclosures to be had. Keep in mind that the same rules apply to foreclosures as it does to regular homes. The homes for sale in the most desirable Charlotte NC Homes in the highest demand areas will also get the highest price for a Charlotte Foreclosure. The reverse is also true.
Visit Charlotte NC Homes For Sale to learn about the various areas surrounding Charlotte Real Estate and together we will find the best deal for you!
Wednesday, February 18, 2009
Charlotte NC Homes For Sale
What a time to buy! Charlotte NC Homes For Sale are still selling but many Charlotte Homes are selling at prices they were 2 years ago! This is incredible for the Charlotte Real Estate market. Yes, it is true that Charlotte Realty has always been appreciating at a steady pace unlike many other markets that experienced the unrealistic and unsustainable price surge. There are certain areas in Charlotte that you can really save but the Charlotte Homes with the biggest savings accompanies the Charlotte Homes with the largest risks. But that is to be expected (that is why certain homes are not selling and why the sellers are providing deep discounts).
The Charlotte starter home neighborhoods are going through a series of changes. Many of these homes were purchased by Charlotte New Home Buyers that were not economically prepared to own a Charlotte home. In addition to these high risk buyers, many national investors also jumped into these Charlotte neighborhoods. Charlotte Real Estate investors came from across the nation to tap into the popularity of Charlotte Real Estate but had no idea what they were buying, where they were buying and convinced they were going to make money in spite of their lack of knowledge and familiarity of the greater Charlotte market. These investors watch too much TV.
Charlotte real estate investors felt if they purchased Charlotte new homes for the least amount of money, rented the Charlotte new home for 2 years, they could not lose. The builder warranty would take care of the vast majority of landlord duties and then the Charlotte investor would sell before any maintenance would be due. Here is the problem with that theory (what TV did not tell them).
Each investor seen himself alone making this decision. Reality is they were not alone and investors swarmed on Charlotte in mass (a great growing city at a time when financial investors were giving money to anyone with a pulse). Investors then turned these new Charlotte neighborhoods into rental neighborhoods. The Charlotte Investor failed to consider that if someone was renting at a time when anyone could get a loan, the "renter pool" largely consisted of people that did not care about their credit (or paying their bills). This does not make the ideal tenant.
Ultimately the investors lost these homes in addition to many of the sub prime borrowers. As mortgages in these specific neighborhoods went into default, the values declined. Are the homes worth more than they are being sold? Yes and no. Yes it would cost more to build one of these homes than the current market value. The "no" is based upon the actual market. These homes often need a lot of repairs based on a few years of blatant disregard and abuse from the previous owner and/or tenants. So how about future value?
You purchase a discounted home like you would purchase any investment. You purchase the homes with the deepest discounts because the odds are these neighborhoods will turn around and be full of proud home owners. This will take time for the right home owners to purchase these Charlotte Homes and take control of the neighborhoods. They will likely be great long term investments.
If you still plan on investing in Charlotte Real Estate be very careful if you think you are going to rent your Charlotte home out and it will be appreciating. There are simply too many investors watching the same TV. Where would I suggest investing?
If you have cash and want to invest, purchase land. The greater Charlotte Real Estate region will continue to sprawl. Americans like freedom and many Americans do not do well living cooped up in a city. As the population of Charlotte NC grows, Charlotte Property for Sale will be demanded further and further away.
If you would like to share More ideas of the greater Charlotte Real Estate market visit my Charlotte Real Estate - Charlotte NC Homes For Sale website or give me a call at 704.770.6559. I and a Charlotte Realtor and have a very good understanding of the greater Charlotte Real Estate market. I understand the Charlotte suburbs and understand the pros and cons with the greater area. Give me a call today.
The Charlotte starter home neighborhoods are going through a series of changes. Many of these homes were purchased by Charlotte New Home Buyers that were not economically prepared to own a Charlotte home. In addition to these high risk buyers, many national investors also jumped into these Charlotte neighborhoods. Charlotte Real Estate investors came from across the nation to tap into the popularity of Charlotte Real Estate but had no idea what they were buying, where they were buying and convinced they were going to make money in spite of their lack of knowledge and familiarity of the greater Charlotte market. These investors watch too much TV.
Charlotte real estate investors felt if they purchased Charlotte new homes for the least amount of money, rented the Charlotte new home for 2 years, they could not lose. The builder warranty would take care of the vast majority of landlord duties and then the Charlotte investor would sell before any maintenance would be due. Here is the problem with that theory (what TV did not tell them).
Each investor seen himself alone making this decision. Reality is they were not alone and investors swarmed on Charlotte in mass (a great growing city at a time when financial investors were giving money to anyone with a pulse). Investors then turned these new Charlotte neighborhoods into rental neighborhoods. The Charlotte Investor failed to consider that if someone was renting at a time when anyone could get a loan, the "renter pool" largely consisted of people that did not care about their credit (or paying their bills). This does not make the ideal tenant.
Ultimately the investors lost these homes in addition to many of the sub prime borrowers. As mortgages in these specific neighborhoods went into default, the values declined. Are the homes worth more than they are being sold? Yes and no. Yes it would cost more to build one of these homes than the current market value. The "no" is based upon the actual market. These homes often need a lot of repairs based on a few years of blatant disregard and abuse from the previous owner and/or tenants. So how about future value?
You purchase a discounted home like you would purchase any investment. You purchase the homes with the deepest discounts because the odds are these neighborhoods will turn around and be full of proud home owners. This will take time for the right home owners to purchase these Charlotte Homes and take control of the neighborhoods. They will likely be great long term investments.
If you still plan on investing in Charlotte Real Estate be very careful if you think you are going to rent your Charlotte home out and it will be appreciating. There are simply too many investors watching the same TV. Where would I suggest investing?
If you have cash and want to invest, purchase land. The greater Charlotte Real Estate region will continue to sprawl. Americans like freedom and many Americans do not do well living cooped up in a city. As the population of Charlotte NC grows, Charlotte Property for Sale will be demanded further and further away.
If you would like to share More ideas of the greater Charlotte Real Estate market visit my Charlotte Real Estate - Charlotte NC Homes For Sale website or give me a call at 704.770.6559. I and a Charlotte Realtor and have a very good understanding of the greater Charlotte Real Estate market. I understand the Charlotte suburbs and understand the pros and cons with the greater area. Give me a call today.
Monday, February 09, 2009
Charlotte Real Estate - Mortgage Options
Many people want to relocate to Charlotte NC Real Estate but are concerned about both property values and the ability to get a mortgage. Inquiring into a mortgage can create stress because no one likes rejection. I can help you overcome these obstacles. I work with several lenders and mortgage brokers and can explain mortgages in layman terms.
What are my Charlotte Mortgage options? First, the "no money down" or 80/20 mortgages are gone. These loan products have disappeared due to the national housing market decline and high foreclosures on sub prime loans. Here is why.
Let's say your home declined 5% in value over the past year. Now you are behind on payments and going into foreclosure. If you are going into foreclosure is is safe to say that you are at least 6 months behind in payments of $6,000 (on a home of about $150,000. Now the lender hires a local attorney for the foreclosure process.
After the foreclosure the lender pays any tax liens or back home owners dues and the marketing expenses. After the home is actually sold the money is dispersed. The 2nd mortgage (the 20% of the 80/20) gets nothing because over 20% of the value was lost due to the expenses. Too many of these occurred so investors will no longer "invest" (or donate) there hard earned cash for 2nd mortgages. Ultimately they were a losing bet.
Here we are today. If you are going to purchase a Charlotte home is is safe to say you either get a FHA loan with 3 1/2% down payment or a conventional loan with at least 10% down. The FHA is a Government backed loan and there is a lot of additional Government red tape in securing this loan. As you are likely to be aware, any time the Government is involved there will be additional hoops to jump through. The FHA loans are more costly but it employs more people (also known as job creation or wealth redistribution).
The conventional loans are still possible but you will need 10% down payment, a credit score of 700+ and a debt to equity ratio of less than 35%. This will be a challenge for many "want to be" home owners but good things come to those who wait. In the long term this will actually help strengthen the over housing market and Homes in Charlotte NC. Visit Charlotte Realty and Rick Waite for additional insights into the greater Charlotte Real Estate market.
What are my Charlotte Mortgage options? First, the "no money down" or 80/20 mortgages are gone. These loan products have disappeared due to the national housing market decline and high foreclosures on sub prime loans. Here is why.
Let's say your home declined 5% in value over the past year. Now you are behind on payments and going into foreclosure. If you are going into foreclosure is is safe to say that you are at least 6 months behind in payments of $6,000 (on a home of about $150,000. Now the lender hires a local attorney for the foreclosure process.
After the foreclosure the lender pays any tax liens or back home owners dues and the marketing expenses. After the home is actually sold the money is dispersed. The 2nd mortgage (the 20% of the 80/20) gets nothing because over 20% of the value was lost due to the expenses. Too many of these occurred so investors will no longer "invest" (or donate) there hard earned cash for 2nd mortgages. Ultimately they were a losing bet.
Here we are today. If you are going to purchase a Charlotte home is is safe to say you either get a FHA loan with 3 1/2% down payment or a conventional loan with at least 10% down. The FHA is a Government backed loan and there is a lot of additional Government red tape in securing this loan. As you are likely to be aware, any time the Government is involved there will be additional hoops to jump through. The FHA loans are more costly but it employs more people (also known as job creation or wealth redistribution).
The conventional loans are still possible but you will need 10% down payment, a credit score of 700+ and a debt to equity ratio of less than 35%. This will be a challenge for many "want to be" home owners but good things come to those who wait. In the long term this will actually help strengthen the over housing market and Homes in Charlotte NC. Visit Charlotte Realty and Rick Waite for additional insights into the greater Charlotte Real Estate market.
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