NorthEast Georgia's Premier Real Estate Resource from The Classic City to Lake Hartwell

What's Happening in the Hartwell Real Estate Market This Week?

As promised, I'm making updates to the blog!  Hope you've noticed my new theme of the month is the National Tax Rebate . . . which only applies to purchases closed before December 1st, 2009.  So, if you are a potential first time home buyer, don't delay any longer.

Also as promised, here is your bi-weekly update on closings in the Hart County Area.  While we did not match the 28 sold or contracted properties from the last two weeks of September, we still had a strong showing with 11 properties sold or under contract during the first two weeks of October.

It is crucial to note that, although the overall number of contracts was smaller, the average sales price was 25.5% higher.  The Average Sales Price for the first two weeks of October was $297,287.50 vs $236,780 for the last two weeks of September. 

AND, the average number of days on the market was 23% shorter.  The Average Days on Market for the first two weeks of October was 110 days vs 143 days on market for those which moved the last two weeks of September.

The following properties went under contract in Hart County over the last two weeks:

• 1820 Liberty Hill Road.  3/2.  I will update the sales price after closing.
• 278 Knotts Landing.  3/2.  I will update the sales price after closing.
• 784 Lightwood Lane.  3/2/2 lake home.  I will update the sales price after closing.

The following properties sold in Hart County over the last two weeks:

• 225 S. Webb.  2/1 intown.  Sold for $9,400.
• 744 Speedway Road.  4/2 doublewide.  Sold for $84,900.
• 429 Opal Ext. 3/2.5 in town home.  Sold for $92,500.
• 75 Deerfield Court.  5/3 with a pool.  Sold for $245,000.
• 100 Heathwood.  4/2 lake home.  Sold for $255,000.
• 586 Winding Way.  5/3.5 lake home.  Sold for $339,500.
• 211 Lake Shore.  5/4 lake home.  Sold for $557,000.
• 307 Lake Shore.  5/4.5 lake home.  Sold for $795,000.

Sales prices appear to be going up as the contracts come streaming in.  If you have ever considered buying a home on Lake Hartwell, they don't appear to be getting less expensive.  Average interest rates are currently in the 4 to 5% ranges.  NOW is the time to buy . . . 

If you've been waiting patiently for the best time to sell, let's get it out there ASAP and see if we can catch a ride on this late season rush.  

Buyers and Sellers should call Julie Haley TODAY.  Allow me to put my knowledge of our market to work for you while the timing is right!  Julie@JulieHaley.com

Helping Your Child Buy Their First Home

With Real Estate Prices bottoming out in many areas and a juicy tax credit still on the table, now may be a great time for your child or grandchild to buy a first home.

But these days, mortgage lenders may demand substantial down payments and they often charge high fees and unattractive interest rates to those with less-than-stellar credit.  Wouldn't it be great if you could loan your child or grandchild enough money to make the purchase?

Obviously, this idea isn't for everyone.  But if you can afford to lend a hand, the Feds will help, too, with a tax credit worth up to $8,000 for deals done by November 30, 2009.  With that deadline in mind, here's what you need to kno.

The Soon-to-Expire Home Buyer Credit

The Stimulus Act extended the first-time home buyer credit to cover qualified purchases that close by November 30, 2009.  The credit equals the lesser of:

• 10% of the purchase price,
• $8,000, or,
• $4,000 for a buyer who uses married filing separate status.

Your child can use the credit to offset his or her federal income tax bill, including any alternative minimum tax (AMT).  Since the credit is refundable, they can collect in cash any remaining credit after their federal income tax bill has been reduced to zero.

Of course, there are some ground rules:

• The credit is only available if your child has not owned a principal residence in the U.S. during the three-year period that ends on the purchase date.  The home must be your child's new principal residence.  If your child is married, both spouses must pass the three-year test.
• The credit is phased out if your child's 2009 modified adjusted gross income (MAGI) is too high. (MAGI is the number at the bottom of the first page of your child's 2009 Form 1040, increased by certain tax-free income from outside the U.S.)

The phase-out range for unmarried individual and married individuals who file separately is between MAGI of $75,000 and $95,000.  The phase out range for married joint filers is between $150,000 and $170,000.

    see the full article by Bill Bischoff; published September 10, 2009 on MSN Smart Money

at:  http://www.smartmoney.com/personal-finance/taxes/helping-your-child-buy-their-first-home/

If this article interests you, or if you have a child in college, also read my blog article titled: "Act Now to Take Advantage of the National Tax Rebate and Avoid Paying Rent Throughout Your College Student's Education"

Act Now to Take Advantage of the National Tax Rebate and Avoid Paying Rent Throughout Your College Student's Education

According to the Office of Student Financial Aid at the University of Georgia, average room and board expenses in Athens total $615 per bedroom / per month – 12 full months per year.   Meaning, rental houses in Athens easily pay for themselves while continuing to hold or increase their value throughout the entire period of ownership.  This is why I have always recommended putting investment money in rental houses in Athens, Georgia.

The intelligence of these investments applies particularly to parents of college students because of the vast savings afforded by purchasing rather than renting in a college town (an area where I have more than a little bit of experience)!

My parents helped me to purchase my first Athens rental property while I was in college at UGA.  The rent paid by my roommates covered the mortgage payment, escrow payment, and my portion of the utilities throughout my entire time in college.  Once out of college, I moved out, and used the additional rent to supplement my income while I settled into my career.  Then, I sold the property for a $35,000 profit over purchase price and used that money to pay for the down payment on my first home with my husband (and new car!).  

By being smart investors, my parents made a one time cash investment of $7,000 and avoided paying rent or utilities for my entire time in Athens – an average savings of $7,300 per year.  Eventually, they also received their cash investment back, AND their intelligent investment provided me a nest egg to promote a strong start to my future without having to get into debt over my head or ask them for financial assistance. 

In addition to the obvious savings my parents enjoyed, and the nice start in life afforded to me by their investment, home ownership allows your young adult to build crucial positive credit while helping them learn responsibilities of home ownership. 

If you have a son or daughter in college, I highly recommend looking into purchasing a property in the area.  And, do it NOW to make another $9,800 that is only available for purchases by December 1st.  Even if you lend the downpayment money to your college student - as long as they are first time home buyers living in the house, they should qualify for both the National $8,000 tax rebate and the Georgia State $1,800 tax rebate offers.  But, they have to CLOSE before December 1^st to qualify.

With that benefit, plus the rent, your savings should total ~ $40,000 over a 4 year college career.  This doesn’t even take into account the savings for students who are currently on out of state tuition – add another $80,000 in savings for that.  Plus equity gained and profit after the sell . . . for any family with the means, this investment simply makes good sense!

The market is perfect for Buyers right now, thus the property should produce a very nice profit in the future if they wait for a good market to sell. 

In review:  assisting your college age son or daughter with purchasing before December 1^st rather than renting or living in the dorms saves an immediate $9,800; another $7,300 per year throughout their college careers, and then saves your young adult incalculable amounts in interest rates, fees, PMI, etc. by having a nice nest egg for their future.  All the while, teaching them crucial lessons for adulthood.  This is what I call a win-win-win-win situation!

Contact Julie Haley TODAY to make the most intelligent investment you can make in your child’s future.  Julie@JulieHaley.com

One More Time - Let's Revisit the Tax Rebates Available before It's Too Late!

The good news is, the real estate market seems to be rebounding nicely.  If you've read my post regarding the 28 properties which went under contract or sold in Hart County during the last 2 weeks of September, this is not news to you!

While not the only factor, I feel the national first time home buyers tax rebate is at least partially responsible for this rebound.  Unfortunately, this offer only applies to properties which close before December 1st. 

If you think you still have plenty of time to find the right property and close before December 1st, think again!  Mortgage lenders are trying to mend their evil ways, resulting in slower processing, knit-picking underwriters, and more intensive due diligence inspections.  The average first home purchase closing takes 4 weeks.  If the property you choose is a foreclosure or short sale, it could take twice as long. 

With the tax rebate currently applying only to properties which close by December 1st, home buyers hoping to take advantage of this offer need to be under contract THIS WEEK to assure receiving the benefits.

This is why I want to make issues of the tax rebate offer my theme for the next week . . .

I won't go over the basics of the program again.  To find out those basics, see my earlier blog under the archives for "April 2009" or under the category "Buyer's Tips".  However, I will add that I have since read articles which indicate the tax rebate can be used in instances where the lender borrows money from a family member to purchase!  Naturally, you still need to check with your personal tax advisors, but the information has come from reliable sources.

This is important for newlyweds and particularly college students to research.  I've written articles in the past describing the many positive aspects for parents of college students to purchase a house rather than spending money on rent.  I am going to pull that one out of the archives, dust it off, and repost it over the coming days.  If you include the GA State tax and the National tax rebate, your college student can make enough in rebates by buying a house to pay for a full year of college tuition AND books, with more left over!  Now - more than ever before - it is crucial for parents of college age sons and daughters to discuss the possibilities of purchasing over renting!

As this is my theme for the next two weeks, you will find articles going in depth on even more of these subjects every day.  In the meantime, contact me at julie@juliehaley.com for further discussions.  Don't wait; the clock is ticking fast . . .

What's Happening This Week on Lake Hartwell?

So, I've been ignoring my blog lately.  For those of you who read my blog back when I was writing in it often, I am sorry.  I was working really hard to pull together a project for a developer client of mine, and . . . well, the reason doesn't matter!  What matters is I have a new plan for keeping my readers informed through this blog: 

Every 15 days, I plan to post the local happenings in the Real Estate Market around Lake Hartwell.  I know those of you who follow Lake Hartwell are interested in what has Sold, Gone Under Contract, or Been Newly Listed. As part of my job, I always research this information anyway.  Now, I'm going to inform my loyal readers . . .

Since September 15th, the following 27 properties have Sold or Gone Under Contract in Hart County:

307 Lakeshore - a wonderful 5 bd / 4.5 ba lake home very close to town.  List price of $980,000.   I'll let you guys know the sales price when it closes.  I had a client who made an offer on this house in September, too bad they refused to raise their offer - it's an amazing house that they missed out on.  BTW:  Speaking of amazing houses - the house 2 doors down from this one is bank owned and for sale.  It needs some work, but is preapproved for a short sale of $595, has a new 2 story dock, and is a GREAT deal for someone who would have painted and changed carpet anyway!

112 Highland Shoals Court.  List price of $465,000 / Sold for $440,000.  4 bd / 3.5 ba on 15 acres.

14 Azalea Drive. List price of $199,000.  I'll let you know the sales price.  3 bd / 2 ba close to town.

100 Relim Lane in Peek Estates.  List price of $132,000.  I'll let you know the sales price.  3 bd / 2 ba close to town.

209 Providence Point.  List price of $639,000 / Sold for $592,000.  4 bd / 4 ba lake home off Yacht Club with single slip boat dock.  On market for 5 months.

291 Oak Tree Lane.  List price of $65,900 / Sold for $50,000.  3 bd / 2 ba bank owned house needing "some work" off Mnt Olivet Road.  On market for 6 months.

129 Oak Street.  List price of $59,900 / Sold for $59,900.  2 bd / 1 ba house close to town off North Forrest.  On market for 6 months.

98 Barefoot Bay.  List price of $799,000 / Sold for $750,000.  4 bd / 2.5 ba lake home in Chandler's Ferry with covered 1 slip dock.  On market for 6 months.

1471 Will Bailey Road.  List price of $189,000 / Sold for $169,900.  3 bd / 2 ba on 4 acres.  On market for 6 months.

744 Speedway Road.  List price of $84,900.  I'll let you know the sales price. 4 bd / 2 ba doublewide on 5 acres.  On market for 3 months.

135 Highland Avenue.  List price of $139,9000 / Sold for $135,000.  3 bd / 2 ba in town.  On market for 4 months.

1158 Knox Bridge Crossing.  List price of $335,000.  I'll let you know the sales price.  Commercial and Farm property on 15 acres.  On market 2 months.

100 Heathwood.  List price of $255,000.  I'll let you know the sales price.  4 bd / 2 ba lakehome with single slip dock.  Bank owned.  On market 2 months.

1640 Ridge Road.  List price of $59,990 / Sold for $32,500.  2 bd / 1 ba close to town off Ridge Road.  On market 3 months.

15 Graham Way.  List price of $109,900 / Sold for $105,000. 3 bd / 2 ba close to town in Peek Estates.  On market 3 months.

48 Lewis Road.  List price of $78,500.  I'll let you know the sales price.  3 bd / 1 ba close to town off Hwy 29N.  On market 3 months.

1561 Hodges Mill Road.  List price of $34,900 / Sold for $33,500.  3 bd / 2 ba bank owned mobile home.  On market 3 months.

97 Cabin Lane.  List price of $299,000.  I'll let you know the sales price.  3 bd / 2 ba lake home close to town with slip in community bank dock. 

75 Deerfield Court.  List price of $249,000 / Sold for $229,000.  5 bd / 3 ba with a pool on 3 acres in Royston.  On market 1 month.

Willis Road.  List price of $135,000.  I'll let you know the sales price.  3 bd / 2 ba off Knox Bridge.  On market 1 month.

151 Alderman Lane.  List price of $289,900.  I'll let you know the sales price.  2 bd / 2 ba off Mnt Olivet.  On market 1 month.

1820 Liberty Hill Road.  List price of $24,500.  I'll let you know the sales price.  3 bd / 2 ba mobile home.  On market 1 month.

225 S. Webb Street.  List price of $14,800 / Sold for $9,400.  2 bd / 1 ba historic age house in downtown Hartwell.  On market 1 month.

12 Spout Springs Court.  List price of $25,000.  I'll let you know the sales price.  2 bd / 2 ba bank owned mobile home off Liberty Hill.  On market 2 weeks.

429 Opal Ext. List price of $94,900.  I'll let you know the sales price.  3 bd / 2.5 ba near the YMCA.  On market 1 week.

1719 Lake View.  List price of $590,000.  I'll let you know the sales price.  5 bd / 3.5 ba lake home with covered 1 slip dock and boathouse.  On market about 2 days!

278 Knotts Landing.  List price of $37,900.  I'll let you know the sales price.  3 bd / 2 ba mobile home on 5 acres. On market about 2 weeks.

Proof positive - if your Realtor tells you that nothing is happening, you need to call me instead!  Things are happening, and I work every day to help my clients take advantage of it!  Right now, everyone is trying to rush in to buy before the $8,000 tax credit offer goes away.  Call me today, and let's make something happen together!