Fueled by recent interest rate cuts by the Federal Reserve, mortgage application volume rose 7.5% during the week ended Jan. 25, according to the trade group Mortgage Bankers Association’s weekly application survey. The MBA’s application index rose to 1,054.9 from 981.5 the previous week.

Application volume was pushed higher by a jump in refinance volume. Refinance application volume increased 22.1%, while purchase volume tumbled 17.7%. Refinance applications accounted for 73% of total applications. The index peaked at 1,856.7 during the week ending May 30, 2003, at the height of the housing boom. (more…)

search for : interest rate cuts, refinance

With dropping interest rates and the ability to borrow at a lower rate, more and more home and condo owners are considering expanding or remodeling their property. Beyond just the cosmetic aspects — paint, carpet, flooring and such, consumers are considering the energy aspects of owning their primary residence and second home.

Upgrading windows is a logical start to many remodeling jobs. To get the most out of new windows, it’s important to go into the remodeling project with a good sense of the home’s structural style and blend that with the homeowners’ personal style.

Many window upgrades can be accomplished without changing the size of the wall opening. For example, a dramatic change the look of a room by replacing a simple sliding glass patio door with a set of fashionable French doors. (more…)

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For those engaging in a major remodeling project, or contracting a newly built home, there are lots of things to look for from the homebuilders you’re considering, according to B.E.S.T. — Building Environmental Science and Technology. To be considered a green builder, those contractors need to choose their construction materials wisely. This will include using recycled, renewable and reused resources to the max.

Green homes are designed and constructed to ensure that they are healthy for their occupants. Typically these houses are more comfortable and easier to inhabit due to lower operating and owning costs.

Many books exist that discuss the subject of building green. One book is shown on this page and advertises itself as a step-by-step guide, introducing you to every facet of green building and remodeling, from sizing up construction sites and selecting materials to working with green professionals, reducing energy and water use, and weighing the pros and cons of popular green building methods (more…)

search for : remodeling project, Building Environmental Science and Technology, green builder, Green homes, green building methods

With home sales at an all-time low, consumers consider expanding or remodeling as an alternative to selling and then buying another home. But, finding a home contractor can be a daunting process, while producing expensive and unhappy results.

Everyone should know that at least three bids is necessary to get a feel for the going rate for the work you want done. The bids must include labor costslabor costs, a total for materials, and a timetable. Don’t immediately jump at the lowest bid. There may be an indication that a low bid may mean inferior results. Surveys have shown that people who hired the lowest bidder generally got less than satisfactory results. (more…)

search for : labor costs, lowest bid

Many different kinds of property and casualty insurance are available to homeowners, apartment owners and renters can. Insurer’s talk in terms of two general types of policies: named peril and all peril. Named-peril policies specify risks covered and exclude everything else. All-peril policies specify risks not covered but include everything else.

Nationwide, HO-3, an all-peril policy, covers all risks except those specifically excluded. Typically, an HO-3 policy excludes coverage for damage caused by flood, earthquake, war, nuclear accident, landslide, mudslide and sinkholes. Some insurers now exclude or limit coverage for mold. Flood insurance is almost always be bought separately. (more…)

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This one-of-a-kind lakefront lot is truly unique within the Malone Bay community. It is one of the most desirable, if not the most desirable lot among the few remaining properties with waterfront access to W. Kerr Scott Lake.

Malone Bay features 18 lots at W. Kerr Scott Dam & Reservoir. 14 are Lakefront and meet private dock requirements. This is a gated community with Lots ranging from 2.3+- acres to 6.8+- acres On the Hwy 421 side of the lake just off South Minton Road, Wilkesboro, NC 28697

Main Channel Views.
300 feet of waterfront.
Dock with boat slip and 2 jet ski slips.

2.86 acres.

MLS Number: 51155
List Price: $359,000
Lot Size: 2.86 ac.
Apx Acreage: 2.86
Type: Waterfront
Area: Area 2
Suitable Use: Residential

Topography: Rolling
Utilities: Underground Utilities
Road Frontage: Private Road
Restrictions: yes
Water/Sewer: Public Water
Miscellaneous: 1-5 Acres
Location: Malone Way

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search for : Malone Bay, W. Kerr Scott Lake, W. Kerr Scott Dam

For decades solar energy use was largely confined to a small fringe of diehard conservationists. Most used a typically “solar thermal” system that stored heat from the sun to warm pools or appliances. Now, solar power is going mainstream in many more homes, helped along by a proliferation of new solar technology like cheaper photovoltaic cells and new high-tech, solar-powered devices.

Photovoltaic cells, most of which are made from silicon, have exploded in use around the country over the past five years as once-prohibitive costs for home use of the technology have declined. Between 2002 and 2006, the number of new photovoltaic systems installed in U.S. homes nearly tripled to 7,446 from 2,805, according to the Interstate Renewable Energy Council in Latham, N.Y. Industry officials say that such installations are expected to top 11,000 this year. (more…)

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The IRS is said to be increasing its audits and enforcement of 1031 exchanges during 2008. If you are considering using this accounting option to minimize the amount of capital gains taxes owed, it will be best to get the best advice possible on how to do it right.

For a little background, when a real estate owner sells piece of investment property, the taxpayer must pay a tax on any profit that is made. If the property was owned for more than one year, it will normally be considered a long-term capital gain and the tax will be based on the seller’s income. Subject to current IRS statutes, the highest tax rate is 15 percent.

However, if the property is “sold” in connection with a 1031 exchange and another investment property worth the same amount is used as swap, there would be no capital gains tax to be paid. Instead, the basis of the old property would be transferred to the new one. The tax on any profit will not be due until the replacement property is sold. (more…)

search for : 1031 exchange, capital gains taxes, investment property, long-term capital gain

Selling a home in this “post-bubble” real estate market calls for serious thought about the techniques necessary to make the sale fast and smooth. Most important in this market is pricing the home at or below market values. Sellers facing slow sales shouldn’t take their houses off the market to place it back on in the spring as is a normal real-estate tactic.

In today’s market, finding a buyer is more difficult for homeowners because of stricter lending policies and because homeowners often need to sell their homes at a price that will allow them to pay off their old mortgage. This puts non-homeowners, renters and those with “cash-in-hand” at a buying advantage. (more…)

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It doesn’t make financial sense to pay for points to buy down the cost of a mortgage only to refinance the mortgage before reaping the advantage of the buy down. Apparently, however, that’s what virtually all home buyers do when they elect to include points to lower their interest rate with plans to save money over time, according to “Do Borrowers Make Rational Choices on Points and Refinancing?” a special mortgage study by Abdullah Yavas, an Elliott Professor of Business Administration at Penn State’s Smeal College of Business and Freddie Mac analyst Yan Chang.

Only a tiny fraction, 1.4 percent, of borrowers who bought points held their loans long enough to make them pay off. Of those who didn’t buy points, only 1.5 percent would have been better off purchasing them, according to the study an examination of 3,785 mortgages originated between 1996 and 2003. Each “point” is 1 percent of the value of the mortgage. That is, if your mortgage is $200,000, one point is $2,000. Some points are called origination points — charged for originating or writing your mortgage. (more…)

search for : mortgage, refinance the mortgage, Points and Refinancing, origination points

Not since 2005 have mortgage rates slipped well below 6%. As a result, another mortgage refinancing boom is under way. But this time, many homeowners will be watching from the sidelines.

Experts predict that at these levels, about 37% of homeowners could refinance their mortgages and save money on their monthly payment. And, as rates drop further, increasing numbers of consumers will find refinancing their existing mortgage worthwhile.

Unfortunately, many homeowners won’t benefit from the low mortgage interest rates, either because their mortgage is too big or their credit score is too low. In other cases, falling home prices will make it tough for them to refinance. (more…)

search for : mortgage rates, mortgage refinancing, credit score

Falling home prices and higher interest rates have made it hard to borrow against home equity. And, doubts about when the market will hit bottom has left many hesitant to spend money they may not recoup. Contractors who once had backlogs of a year or more now find themselves with only a few projects in the pipeline. Subcontractors, facing a slowdown in new-home construction, are looking for remodeling jobs.

Experts say that a typical homeowner should expect to recoup more of the cost of a midrange version of a remodeling project than an upscale version. Rebuilt kitchens and bathrooms show the most promise for good returns.

Most current trends suggest that bigger is better. Remodelers are knocking down walls to replace little-used formal dining rooms and guest rooms with expanded kitchens and bathrooms. (more…)

Preparation, preparation, preparation is what we are told that makes for a great paint job. Yet, as we all know, paint preparation is one of the ugly sides of home-improvement projects. Sanding and scraping and cleaning, we don’t like to do it, but it’s essential to a good paint job. Like it or not, it’s a step that you don’t want to skip or do poorly, since the quality of your finished product pretty much depends on it.

Three things need to be done in order to insure a perfect or near-perfect paint job — cleanliness, preparation, and a proper drying time.

Some folks forget that paint will stick to most of the things it comes in contact with, which is not necessarily a good thing. If the surface being painted is dusty, for example, the paint will stick to the dust. Since the dust is not well-adhered to the surface below, you have an obvious recipe for paint failure. (more…)

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$5,850,000

MLS Number: 50913

City: Valle Crucis, NC
Stories: 2
Bedrooms: 4 Baths: 4.5
Area: Boone-Blowing Rock, NC
Year Built: 1990
Plus Five fully furnished 1,400 sq. ft. Rental Cottages. Each built in 1996 on approx. 1/2 acre sites. Current cottage average annual rental income $150,000.

39.4 acres with 360 degree view of Blue Ridge Mountains.

5,200 sq. ft. main house built in 1990 on 1.24 acres.

No restrictions and no zoning offer many other options:

* Family compound
* Corporate retreat
* Religous retreat
* Horse farm / Dude ranch
* Recording studio
* Cottages can be sold separately
* Land can be further subdivided if desired

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

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search for : Valle Crucis, NC, Blowing Rock, NC, Blue Ridge Mountains

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

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

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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

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Finding deals in foreclosed or pre-foreclosed homes has gotten increasingly easier as the instances of homeowners behind in their payments continues to grow. Title companies, real-estate agents and lenders all have information on homes in various stages of foreclosure. Homes that are being auctioned are listed in the legal notices section of the main local newspaper and can often be found on the newspaper’s Web site.

Experts agree that you will generally get a better deal if you buy a house before it goes to auction, or after auction if it doesn’t sell on the courthouse steps. Bidders at an auction sometimes get caught in the heat of the moment and push up prices. For a simple and up-to-date explanation of the foreclosure process, you may want to read “Finding Foreclosures” by real-estate investor Danielle Babb and mortgage broker Bill Nazur. (more…)

search for : pre-foreclosed home, foreclosure

When you owe more on your home, condo or property than the asset is worth, you are said to be “underwater“.

Of course, the concept is moot if you can continue to make the mortgage payments. But, what if you get into a financial bind and find yourself in arrears?

Financial experts advise that you should contact your lenders ASAP. If you are like most folks, you aren’t answering the lenders’ mail or returning their phone calls. Most think they don’t need to speak with their lenders about their situations, or think they can take care of their problems, if they recognize them as such, without involving the lender. (more…)

search for : underwater, mortgage payment