Charlotte Property Hunters - Find Your Dream Home in South Charlotte and Union County, North Carolina

How’s the Charlotte, NC Home Market?

Charlotte Housing Prices Continue to Hold, Even Though Lower Prices Remain 

While interest rates are at an all time low, Charlotte continues to see homes listed for sale longer and prices continue to remain low but stable.  With area home prices down anywhere from 8 to 15% over where we were in 2008 and area home sales down by 20 to 26% our market is continuing to feel the effects of a down market. 

One saving grace in an otherwise concerning market is that we continue to see buyers out looking to get the home buyer tax credit of $8,000 and the expanded tax credit of $6,500 that now includes home buyers that have owned a home over the last 5 years.  This extension expires on June 30th and a home must be under contract by April 30th.  The timing is providing our area’s sellers with more opportunity to sell in the winter months than we would see without it. 

Our data is showing that more buyers are out looking online and visiting our listed homes in the first few weeks of 2010 compared to 2008 and 2009!  This will prove positive for buyers and sellers as we continue to move through this cold winter!  If you have additional questions regarding our market or want a more focused market update contact Tiffany Johannes at (704) 837-0010 or tiffany@husbt.com.

Median Price Per Square Foot Holds Steady For Most…

Days On The Market Indicator Is Up For All Price Points…

During the process of purchasing a home, you will most likely be asked to make what is called a good faith deposit or earnest money deposit. A good faith deposit lets the buyer know that you are serious and that you intend to fulfill the terms of their agreement. It is important to keep in mind that these deposits however should not to be confused with a down payment.

How much do you need to deposit?

Many different factors will affect the amount of money that is required for the deposit. If a property generates a lot of interest, a buyer may make a larger deposit to convince the seller that their offer is stronger than the others. Typically the amount requested is  anywhere from 1 to 3 percent of the sales price but, there is no set requirement.  Generally the larger the deposit the more the seller will take your offer seriously. 

Who holds the money?

Once the buyer and seller agree to the amount of the good faith deposit,  the money should be deposited with a third party and held “in trust.”  Potential third parties include escrow and title insurance companies as well as an attorney if your state requires their involvement or you choose to use one.  Never give an earnest money deposit to the seller. Be sure to verify that the third party will deposit the funds into a separately maintained trust account and always obtain a receipt.

Is the money refundable?

If the buyer and the seller cannot come to terms on the sale then the money will be refunded. It is always a good idea to consult a real estate attorney who can help ensure that your offer is written in a manner that protects your rights to the deposit.  Always review your purchase agreement as well as to the specifics of the refund of the deposit. Often, third party fees are also paid out of earnest money deposits. For example, if an appraisal has been completed on the property then the appraisal fee is going to have to be paid before money can be released to either of the parties.

The basic idea of a good faith deposit is be an type of insurance for the seller. It is important to remember that the escrow process can take 30 to 60 days, and during that time their property is off the market. The good faith deposit essentially compensates the seller for this time in the event the buyer is unable to follow through on the purchase of the property. This deposit helps reassure the seller you are serious about buying their home.

The tax credit is for first-time home buyers only.
What is the definition of a first time home buyer?  A first time home buyer is a taxpayer that has not owned a primary residence within the last 3 years.  Married couples cannot qualify if one individual has owned a primary residence within the past 3 year period.  However, unmarried joint purchases such as parents assisting their children in buying their first home can be eligible through a proration of the $8,000 tax credit available.  Ownership of a vacation home or rental property not used as a primary residence does not disqualify a buyer from the first time home buyer tax credit.

The tax credit does not have to be repaid.
Unlike the 2008 $7,500 tax credit, this one does not have to be repaid.  A tax credit is a dollar-for-dollar reduction in the amount the taxpayer owes the IRS.   The IRS will send you a refund check if the tax credit exceeds your tax liability for the year you apply the tax credit to.  Home buyers should use IRS Form 5405 to determine their tax credit and then claim it on line 69 of their 1040 tax return.  The tax credit can be applied against your 2008 or 2009 federal tax liability.  If you have already filed for 2008 you can file an amended return to claim your tax credit.  Use form 1040X for your amendment.  IMPORTANT, you must live in the home you purchase for 3 years.

The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000.

The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009.

Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.
The tax credit can be proportionally reduced for those with modified adjusted gross incomes of up to $95,000 (single) and $170,000 (married).

For more information on the first time home buyer tax credit contact me — Tiffany Johannes (704) 301-7404/tiffany@husbt.com.

Now is a great time to buy!  Help-U-Sell offers part of our commission back to you when you utilize us as your buyer’s agent on transactions where the sales price exceeds $150,000.  This results in money for you at closing to be used as your lender will allow.  For example, our buyers have used this 1.25% of the purchase price of their home to pay closing costs, reduce their mortgage amount and handle repairs.  Call (704) 837-0010 or Email tiffany@husbt.com today to learn more about our BUYER PROGRAMS!

Any Charlotte Area real estate agent will tell you that it’s harder to sell your home in the winter.  The days are colder and shorter, leaving less time to show your home to potential buyers. 

The good news is that most of the buyers who are looking at houses in the winter aren’t just killing time.  They’re serious enough about finding their new home to go house hunting at a time that most people would rather stay inside.

There are a few things you can do to make a good impression on home buyers this winter:
• Make sure all your flower beds are clean, plant seasonal flowers, ensure your mulch or pine straw is fresh, and keep your sidewalks, driveway and walkways clean.  This will make your Charlotte Area real estate appear more inviting and well maintained.  Be sure to place a clean, fresh looking mat for visitors to wipe their feet on.

• Warm up the house.  Buyers will remember the house that was pleasantly warm on a frigid day.  In addition, you will be able to demonstrate to the buyer that your heating system is in good working order.

• For a welcoming scent, bake cookies the day of the showing.  Some people are sensitive to the fragrances in air freshener’s and perfumes, so skip spraying those when expecting someone to look at your house. 

• Serve snacks in the kitchen.  Give the buyer a reason to linger in your home by leaving a light snack in the kitchen.  If the weather is cold, consider providing chili or soup in a crockpot to keep it warm with festive disposable bowls.  Or, to keep it simple, you can provide coffee or hot chocolate and cookies.  Be sure to talk with your Charlotte Area real estate agent before leaving these snacks so he or she knows they’re for the buyers.

• Make your house appear warm and inviting.  Turn all the lights in the house on; place warm-toned throws and decorator pillows around the living room.  Put on some soothing classical or jazz music; keep the volume low enough that buyers can talk quietly to each other.

You can make your home seem more inviting this winter by using these proven techniques. 

Ready to sell your home?  Call me today at (704) 837-0010, or email me at offers@husbt.com.

This week we start our venture to share up-to-date information on the housing market in and around Charlotte, NC.  We will work hard to provide important indicators in our market as well as interesting facts and data we find along the way.  Check here weekly for updated information on our area and your community.  

In addition, find information on a growing number of Charlotte Area Neighborhoods on our Neighborhood’s List.  The Neighborhood’s List is found on the right hand side of this site and includes Neighborhood Specific Data on Sold Homes, Pictures, Driving Videos, and Important Neighborhood Facts.  It is easily accessible and ready for your review. 

Charlotte, NC is a great place to live and wonderful community to buy a home in.  While our market has slowed substantially, our overall values have not declined sharply like other key markets across the country.  We are happy to provide you with community and neighborhood specific details.  E-mail offers@husbt.com for an overview of your neighborhood.  Charlotte, Matthews, Pineville, Union County….We are hear to serve your real estate needs.