With losses in the billions on home equity and subprime loans, lenders are being forced to re-think the viability of second and third mortgages. And, with the decline in real estate values which result in decreasing homeowner equity, mortgage companies are increasingly walking away from delinquent home-equity loans rather than pushing borrowers into foreclosure. Some lenders, in an effort to protect against future losses, are looking at scaling back home-equity lines of credit held by certain borrowers who are still making payments.

Home-equity lending exploded during the housing boom as homeowners took advantage of rising home values and tapped their equity to fund spending. Others flocked to so-called piggyback loans, which allowed them to finance as much as 100% of a home’s value by combining a mortgage with a home-equity loan. (more…)

search for : subprime loan, homeowner equity, foreclosure

One of the major challenges when building or remodeling is to find a good contractor. Luckily, with the downturn in the real estate market, builders are no longer concentrating on construction of “spec” homes — those properties built just to sell upon completion.

It’s our opinion that the best method of finding a contractor is through a referral. Friends and co-workers have either built or remodeled, or know someone who has. You might be surprised, if you just ask, how many opinions, both good and bad, that folks have when discussing their experiences with contractors.

You will also find that sub-contractors, those trades that deal in new and remodeled projects for electrical, plumbing, flooring, etc. will be on the minds of many consumers. Stories abound about projects where the “subs” made for a good or terrible project. (more…)

search for : find a good contractor, remodeled project

It’s a home buyer’s market. Because of that generally known fact, sellers, particularly new home builders are offering an ever increasing array of incentives to prospective buyers. Incentives can sometimes vary from a free finished basement to a new flat-screen TV. Sellers are betting that the incentives will tempt to close the deal sooner than you might otherwise.

The incentives at the top of your list shouldn’t be a short-lived luxury but a long-term comfort to your future financial independence. To our mind, the number one incentive is knowing that you are getting the best possible price on the home you want.

A drop of just a few tenths of percent in the mortgage interest rate will result in thousands less in payments over the course of a 15 or 30-year mortgage loan. A decrease of a few thousand in the price of your home will mean that you pay less in property taxes, which are often based on the home’s purchase price. (more…)

search for : home buyer’s market, new home builders, property taxes

The less-than-stellar housing market has become a significant “talking point” for candidates looking for votes in foreclosure-heavy states such as Michigan, Nevada and Florida. Stumping around the key states in which she needs to do well in the primaries, New York Sen. Hillary Clinton often mentions the foreclosure crisis campaign speeches.

Former Arkansas Governor Mike Huckabee talked about it in a new television advertisement on the economy that he is airing in Michigan. Economic hot buttons like globalization and job outsourcing may resonate with voters, but it is the housing market that is directly affecting more voters’ wallets. Price declines are limiting homeowners’ ability to move or to tap home-equity loans. Job losses are heavy in housing-related industries. (more…)

search for : less-than-stellar housing market

With recession talk dominating national news, more and more individuals are finding themselves in a quandary over making a geographical move to satisfy employer requests. Employees faced with relocating for their jobs are choosing extreme commutes to avoid uprooting their children.

The popular wisdom that it’s always better for families with kids to stay put isn’t always best. Instead, a family’s best choice depends on kids’ ages, the family’s stability and the attitude of the employee’s spouse.

Some 80% of employees who decline transfers cite family reasons, eight times the levels of 25 years ago, says Atlas Van Lines, which surveys companies annually. The popular wisdom that it’s unwise to relocate a teenager is often correct. Adolescents need to bond with peers and their community. And teens tend to handle a parent’s extreme commute better, sustaining ties with the parent by phone and email. (more…)

search for : extreme commutes, Atlas Van Lines

The hottest subject right now in residential real estate investing is picking up houses at great prices through short sales-transactions. The situation occurs when lenders agree to take less than they’re owed and allow financially-stressed home sellers to avoid foreclosure.

The volume of short sale have exploded in the final three months of 2007. Lenders finally began figuring out that they’d lose a lot more money through foreclosures than they would through short sales to local investors.

One of the most commonplace is when a homeowner has not just one mortgage liens against them, but two or even three; a first mortgage or trust deed, a piggyback second trust and a home equity line. The home owner may be four months behind on the first mortgage and the property may be worth much less than its original price, but all of the lenders with liens on the property need to agree on terms before a short sale can proceed. (more…)

search for : residential real estate investing, short sales

Beautiful Wilkes County NC Timber Frame Home and Mountain Property.

MLS Number: 51166, List Price: $898,500

2 Bedrooms, 2 Baths, 2 half baths, 2 car attached garage, full basement, and a barn on 5 acres of land.

These terms are used to describe thousands of homes and yet some things just can’t be described, they have to be experienced. This is one of those homes that really has to be seen to be appreciated.

This majestic Timber Frame home of the Bob Timberlake genre is not just another house, it provides a feeling of home that is not about walls and floors and windows and doors. It creates a feeling of the flow between your outdoor and your indoor environment that is seamless. Everywhere you look there is a view. Everything you touch feels natural and beautiful in a way that cannot be described, only owned.

Contact Elizabeth Carter, 336.973.5594 or Greg Stikeleather, Broker, 704.880.5247 or email eacarter@charter.net

click here for more information

Consumers heating their homes with heating oil this season could see heating costs rise 25.6% this winter, compared with last winter. Those who use propane could see their costs rise 20.2%, and those who use natural gas could see a 10.7% rise. More and more people are considering home improvements that will help keep costs down this year as the weather gets chilly.

To help consumers with energy related questions, Energy Star recently released an online tool, the Energy Star Home Advisor. This free, online tool helps homeowners decide which improvements to make by entering in information including zip code, how the home is heated and the type of water heater in the home. A link to the tool can be found on the Energy Star Web site, www.energystar.gov. (more…)

search for : heating oil, energy related questions, Energy Star Home Advisor

While tiling can be a arduous job, it’s certainly a DIY project. Laying tile is a two-step process. You first fix the tile to the wall with tile mastic and then grout the joints with nonsanded grout.

To install the tile you’ll need the tile, mastic, tile spacers, a notched trowel and a way to cut the tile. A diamond-bladed wet saw and a manual tile cutter can be rented or purchased.

To grout the tile, you’ll need nonsanded grout, a rubber grout trowel, and a tile sponge or two. All material and tools should be available where you purchase the tile. (more…)

search for : tile, mastic, tile spacers, a notched trowel

Builders, architects, even interior designers are moving towards residential designs that feature two master bedroom suites. Recently, customer surveys indicate that floor plan designs should reflect the types of family and non-family groups that have entered the marketplace.

Two masters answer the needs of more than one type of buyer. Baby Boomers are opting to have parents live in with them, sometimes two siblings decide to invest together to save money, adult friends buy a hone together, or buyers just want a second master for guests, a nanny or a caregiver. (more…)

search for : two master bedroom suites, Baby Boomers

The storage and organization industry continues to grow briskly and is now estimated to generate $6 billion dollars for that industrial niche. Manufacturers are filling every conceivable storage need. Specialized storage products are now available for most conceivable uses in an array of materials.

Storage organizers are no longer sold only at home improvement stores like Lowes and Home Depot. Those items get floor space at drug stores and grocery chains such as Wal-Mart, CVS and Walgreens. According to the International Housewares Association, closet and storage items were the fastest growing housewares category over the past five years, with consumer spending increasing at an average of 20.5% per year. (more…)

search for : Specialized storage products, Storage organizers

President Bush is now saying that he will push Congress this year to act quickly on his proposals to help beleaguered mortgage holders. Some of the proposals are designed to have an immediate impact, such as efforts to make the refinancing of subprime loans easier and more affordable. Other proposals would make it easier for all homebuyers to get financing.

As a consideration to those consumers that will seek new financing in 2008, the President is backing proposal that focuses on putting an end to abusive lending. To date, White House efforts implemented include a rate-freeze plan for some subprime borrowers and tax relief on breaks that homeowners get from lenders during the process of foreclosure. (more…)

search for : refinancing of subprime loan, abusive lending, foreclosure

Unlike in some areas of the United States, investors who specialize in buying rental houses and condos in selected college and university towns are finding the market hasn’t experienced a downturn in rental rates.

But that’s not to say that purchasing properties to rent as student housing is without need for study. Generally, investors need to pick units within walking distance of the campus or convenient to public transportation. With just a modicum of forethought, the odds are good that you’ll have a steady source of monthly income. (more…)

search for : rental houses

Beautiful Wilkes County NC Log Home and Mountain Property.

MLS Number: 50863, List Price: $359,900

Bedrooms: 3, Full Baths: 2, Half Baths: 0, Est Total SqFt: 2600, Type/Style: Log Home, Area: Area 6, Middle School: Cntrl Wlks, High School: Wlks Cntrl, Construction: Log

Foundation: Combination, Roof: Metal Roof, Floors: Carpet/Hardwood/Tile, Garage/Carport: None-Garage, None-Carport, Interior Features: Master Bedroom, Main Level, Large Master Bedroom, Walk-In Closet(s), Hardwood Floors, Fireplace(s), Great Room, Exterior Features: Double Pane Windows, Wooded Lot, 1-5 Acres, Hot Tub, Subdivision: N/A, Lot Size: 2.47, Apx SqFt: 2600 - 2800 SF, Basement: None

Contact Elizabeth Carter, 336.973.5594 or Greg Stikeleather, Broker, 704.880.5247 or email eacarter@charter.net

click here for more information