Changed Foreclosure Picture Still Presents Opportunities

The foreclosure situation is a good deal different from what we were discussing a few years ago when the tidal wave of 7.3 million foreclosures and short sales swept the nation. When The New York Times “Dealbook” recently pronounced that the supply of cheap foreclosed homes in America is dwindling, it came as news to…well, no one.

Let’s face it: investors wouldn’t need to look up the latest statistics to guess that number of offerings would be down. The continuing rebound in home values, slow but steady improvement in the overall economic picture, and even just the passage of time has to mean that the glut of subprime-crisis-era foreclosures would have worked their way through the system. 

But there are always new foreclosures, and for anyone hoping to make a bargain buy in today’s foreclosure market, the same qualities that brought post-crisis success still apply today:

• Knowledge of (or willingness to research) comparable neighborhood values
• Realistic appreciation of rehabilitation costs
• Decisiveness (willingness to act swiftly)
• Ready access to investment capital

The principal difference in today’s foreclosure milieu is that far fewer are available, and the difference between market value and listing price has narrowed. There may be fewer competitors to worry about, but some are still out there, as always. Today sees fewer institutional investors—in fact, some are leaving the market altogether, taking their profits and selling out to groups more committed to long-term property management.  

Aside from the qualities described, there is still no blanket formula for landing the best foreclosure deal. But among other observations, there are two that are worth considering.

First, despite the lessening of the impact institutional investors previously had on the market, it may still be necessary to prepare to offer more than the listed price. The dwindling number of foreclosed homes tends to create an imbalance between supply and demand. If other buyers are offering higher amounts than the asking price, it can easily result in a bidding war situation. As always, by researching underlying values, the best investors avoid foreclosure buys that wind up being little more than break-even propositions.

Another wrinkle to be aware of is the possibility of future cost increases. For instance, it can transpire that an investor succeeds in purchasing a property significantly below its true value, only to find that a reassessment by taxing authorities raises its property tax bill through the roof! Canny investors prevent this surprise by finding out how the local Assessor’s office sets rates and schedules appraisals.

The foreclosure picture changes constantly. If you are interested in the investment possibilities—or are looking for a buy on your next home—don’t hesitate to give me a call to discuss the latest offerings! You can reach me on my cell phone: 812-499-9234 or email Rolando@RolandoTrentini.com

Evansville Real Estate and Buying Real Estate: Start online

A lot of prospective homeowners have already been taking advantage of today's real estate buyer's market. The benefits of larger profit margins, tax deductions, and the simple joy of ownership outweigh the expenses of doing so.

There are certainly a lot of perks when you begin your search to buy real estate online as opposed to doing it the old-fashion way.

Offline

Online

You can't filter your options according to what you need. You might have to physically go through a lot of listings to find what you need. Your choices for buying real estate become extremely limited. While some photos are available in printed real estate listings, a lot of them don't feature images of the interior.

You can easily access a treasure trove of information regarding realtor credibility Contacting a trusted realtor relevant to your search in terms of property type and location comes much faster. Virtual tours of the property are a definite possibility, making the decision to physically visit property sites much more informed. You don't want to waste time driving only to find that the property type does not suit your needs.

This is not to say that you should go through the entire process of buying real estate online. The biggest risk of completely buying real estate online is that of misrepresentation. Note though that that risk is easily addressed by checking with a reliable realtor in the area you are eyeing, and by doing the final walkthrough yourself.

A lot of other people are now taking advantage of the real estate buyer's market. Prices are down, more properties (read: more investments) are up for sale. Start your search to buy real estate online now, before someone else beats you to the punch.

I hope you have found this information helpful. If you need any help with buying, selling or renting a home in Evansville, Indiana please contact me at any time. You can reach me on my cell phone 812-499-9234 or by email at Rolando@RolandoTrentini.com

Home Automation: The Next Big Thing?

Advanced technology has become such a prominent feature in our everyday lives it is no surprise that it’s increasingly affectingEvansville home values. As “Home Automation” features grow in importance, bottom-line home values are following suit. It’s a new phenomenon, one that motivated home sellers (as well as homeowners heeding long term home values) should understand.

Home automation – the inclusion of luxury technological features like temperature control, lighting control, security systems and the like – are becoming more commonplace, increasing home values in the process. A few years ago, adding such bells and whistles to an existing home would probably have been more pricey than the return would justify -- but that is becoming ever less true. Think hi def flat screen TV and you’ll have a good example of the direction home automation is headed: ever-improving features for lower and lower prices.

As automated features become more widespread and their prices lower, some of them are growing increasingly simple to add. And the scope of home systems and their effect on home values can be quite varied. For some, adding an ‘automation system’ might consist of something as simple as installing remote or automatic control of a few lights. Others might make electronic security the key, choosing to install a full-fledged central system.

Where wireless home Internet networks are already in place, home values can easily be raised by the addition of remote operation. Right now that may sound like an unnecessary futuristic feature, but it may turn out that being able to control lights or heating systems from afar could substantially increase energy efficiency (along with home values).

Matthew Berman, one of the owners of New York design firm Workshop/apd, was recently quoted in the New York Times describing a “whole-home” lighting system.

“A popular feature of this kind of system is the ability to hit one button when you're leaving your house to turn off all the lights." As a practical matter, he also recommended keeping automated systems separately controllable, making them less complicated to operate and less subject to breakdown.

It's important to think long-term as well as short-term -- especially for anyone looking to increase home values, whether for future or immediate sale. Home automation is looking like a worthy candidate for the Next Big Thing, and buyers might be ready to gravitate toward advanced features that distinguish one Evansville seller's home from the competition. Call me if you would like to discuss how home automation might come into play when it comes to selling your home. You can call me on my cell phone 812-499-9234 or email Rolando@RoalndoTrentini.com

With Mortgage Rates Tumbling, Find an Evansville Mortgage Broker!

We have all been reading about how mortgage rates fell again in January. It seems as if half the time news like that is accompanied by some phrase like, “encouraging new buyers to dip their toes into the housing market."

Checking into it, I found that the average interest rate on conventional 30-year mortgage loans decreased eight basis points (to 4.32%) in December. That came from FHFA in their last full report. And by February 17^th 2012, their site showed it was down to 3.87%. It looks like some of that toe-dipping might be about to start in earnest!

Just in case you are one of those ‘new buyers’ who might be feeling some of that ‘encouraging’, sooner or later you will learn that the government’s national rate is not the final word on everyone’s situation. It’s why I would suggest you consider making a call to one of our Evansville mortgage brokers. Here are some reasons why that’s a good idea:

A great mortgage broker can help you unearth the best mortgage; go rate shopping on your behalf. They spend their days keeping track of banks, credit unions and other sources of finance on behalf of their clients, so they are perfectly placed to access a wealth of mortgage data.

Brokers keep mortgage rates competitive by providing multiple points of view and offering alternatives when needed. Were it not for the efforts of diligent mortgage brokers, banks and financial institutions would be able to keep their rates higher. And in this climate of falling mortgage rates, they can save you a lot of the time it would take to go shopping for a great deal.

Good mortgage brokers are there to work to for you. They organize your financial picture, credit rating and future plans to come up with the mortgage that is right for you. They are motivated to work on your behalf because they know that at the end of the day it is by doing a great job for their clients that they are going to earn the reputation and word-of-mouth that keeps them in business.

If you are intrigued by the recent falling mortgage rates and are considering buying a home in the Evansville area, call me for a complimentary, no-obligation buyer’s consultation. I can introduce you to a great mortgage broker -- and we can help you to get prequalified. We can run the numbers that will help you decide if now might indeed be the right time for you to get into this market! You can reach me on my cell phone 812-499-9234 or by email at Rolando@RolandoTrentini.com

Time to Buy Your First Investment Property?

If you are a newcomer to Evansville real estate investing, finding your first income-generating property can seem like a fairly daunting task. How can you be sure that a property will generate enough cash flow? How will you estimate your costs to put potential homes for rent into the profit column? Altogether, how will you know when you find the right opportunity?

First, you have to view the competitive landscape in Evansville this spring, which means doing some targeted research. You might start by attending local seminars or looking into a local property club. These types of groups can help arm you with the economic trends that will serve as a guide. You will also want to call one or two reputable Evansville property management companies to get a general idea of the costs you should expect when listing homes for rent with their firms.

In today’s market, the demand for quality homes for rent and the rents they command are generally up. Given an increased demand for rental properties, it is reasonable to predict that even as a new investor you should be able to find qualified potential tenants within a reasonable timeframe. However, the tenant qualification process can be tricky. It is peppered with legal and Fair Housing rules, so you should be prepared to either educate yourself thoroughly on the laws or hire a professional property manager or leasing agent to handle this aspect.

Overall, the market in homes for rent has trended higher, but your new business will prosper or not based on the cash flow for the property type you choose to enter. Many neophyte real estate investors consider beginning with a condominium, and for practical reasons. Homes for rent can bring with them a multiplicity of unique –sometimes unexpected-- problems, whereas most condos come with HOAs that handle roof, exterior maintenance, and even many more problem-preventing features.

Experienced real estate agents are there to help you find prospective properties and to furnish professional advice along the way. Please feel free to call me anytime for market advice if you have ever considered looking into homes for the rental market. We have a dedicated property manager who would be more than happy to assist you with your rental needs. If you are interested, call me at 812-499-9234 or you can reach me by email at Rolando@RolandoTrentini.com

May 2011 Do-It Yourself Home Maintenance List

Spring is here, and it's time to truly make your landscape shine! After all, one of the joys in owning your own home is attending to and personalizing your own yard! Since the focal point of most landscaping is the lawn (also one of the trickiest things to maintain), we are including a special list of tips and tricks to help you whip your lawn into perfect shape. Giving special attention to the lawn now will help to keep it healthy throughout the summer; we hope you find this list to be as helpful as we have!

 

Please remember that if you have any need for household advice or tips or would like to discuss any real estate questions Rolando is always available at 499-9234 or Kathy at 499-0246 or visit our Web site at: http://www.thetrentiniteam.com/

 

 

FIVE WAYS TO ACHIEVE A GORGEOUS LAWN

 

·                     Water = Green: Water is one ingredient that your lawn cannot live without, so make sure that you've got a great routine in place for keeping the lawn damp. If you have a good sprinkler system installed, you're already a step ahead of the game! If not, make sure that you're reaching all areas of the lawn if watering by hand or by moveable sprinkler. Water in the evening or very early morning for best results, but don't overdo it!

 

 

·                     Know how to mow: Make sure your lawn mower has sharp blades; mowing with dull blades can tear the grass, altering its healthy appearance. Also, the more often you mow, the healthier your grass will be! Mow the lawn at least once per week for optimal results.

 

 

·                     Fertilize and vitalize: Invest in a good fertilizer and use it regularly for the thickest, greenest grass. Ever wonder why the fairways and greens on a golf course manage to look beautiful throughout the year? Fertilizer is the key to the greens keeper's success. For the greenest grass possible, purchase a fertilizer with iron content.

 

·                     Weed it out: Weeds are an obvious eyesore when it comes to the care of your lawn, and you've probably noticed how quickly they can grow. With a good fertilizer program in place, you'll get a step ahead of weeds in no time. For the pesky, hardier plants, manage the growth with a little weed spray (or dig them out by hand for best results).

 

·                     Don't get bugged: Lawn pests are not just annoying: they are bad for the grass. If you're properly watering, fertilizing and mowing your lawn, but still have an insect or pest problem, try aerating the lawn; this should help to eliminate the little buggers!

 

We are pleased to let you know that we have started a new blog site TheTrentiniBlog. We will continue to bring you articles pertaining to Evansville and real estate. We hope you will bookmark this page and we hope you enjoy reading our articles. We are certainly open to discussions how we can improve our site. Please send us a short note, this would make our day.

 

Thank you, Rolando & Kathy Trentini