Real Estate News & Updates from the Monadnock Region
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What is New Hampshire’s Current Use Law?

May 14th, 2012 | Posted by Dick Thackston in News | Real Estate News - (0 Comments)

On July 1, 1973 the Current Use Law became effective in New Hampshire.  The Current Use law was designed to keep New Hampshire’s rural character in tact while allowing owner’s to use the land quoting from the preamble to the law itself: “It is hereby declared to be in the public interest to encourage preservation of open space, thus providing a healthful and attractive outdoor environment for work and recreation of the state’s citizen’s, maintaining the character of the state’s landscape, and conserving the land, water, forest, agricultural and wildlife resources.”

The effect of the Current Use law has been to provide a lower tax rate on larger tracts of land so that property owners would not be forced to subdivide and sell off their property in order to cope with large property tax bills. By keeping land in an undeveloped condition family farms have been preserved as well as woodlands, wet lands and other tracts that might well have been lost over the last thirty-nine years.

Over half on the land in New Hampshireis enrolled in the Current Use program and it has been the foundation of the State of New Hampshireprivate property based land conservation program.

The following are characteristics of the State of New Hampshire’s Current Use Program:

Generally speaking a parcel must be of at least ten acres, exceptions to this are wetlands of any size, tree farms of any size and parcels of less than ten acres that produce more than $2,500 in agricultural products. Open undeveloped land that is less than ten acres as well as any area covered by buildings does not qualify for Current Use.

If an owner acquires abutting parcels of less than ten acres the additional parcels can be added and would qualify for Current Use or if an owner has a number of abutting parcels of less than ten acres each but the entire contiguous amount owned is ten or more acres then the property is eligible for Current Use.

What is a contiguous parcel? Contiguous parcels under the Current Use Law are defined by the NHSPACE.org website as “more than one parcel of land, which is connected, even if a highway, rail bed, river or water body divides it. This means land that touches any of your property boundaries, or is across the road or on the other side of a pond, stream or river, on both sides of railroad tracks, or across a political boundary.”

If a property owner enrolls his property in Current Use it does not mean his land is now “Open to the Public”. When a property owner enrolls his property in Current Use it is still private property – remember the focus of this law has been keeping New Hampshirelarge undeveloped tracts in private hands – the property owner still has the right to determine how his property will be used just as he would if it were not in Current Use.

For more details on New Hampshire’s Current Use Law visit NHSPACE.org

 

By Dick Thackston CRB, ABR, ABRM

Broker NH, MA & VT

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The Three Es of Real Estate in 2012?

January 17th, 2012 | Posted by Dick Thackston in Mortgage News | Real Estate News - (0 Comments)

By Dick Thackston

2012 is likely to be defined, in the real estate world, by three “E’s”: Expectations, Employment and Europe/Economy. No matter what your political belief system is, no matter how much or how little money you have, these three factors will permeate American life and the economy more than any others in the next eleven and a half months.

Expectations: In the world of sales there is an old truism, “To live with the classes sell to the masses!” those will be the watch words for real estate this year. 2012’s real estate will almost certainly only be about first time buyers and large volumes of REO properties being sold to investors. Both first time buyers and investors have some striking similarities: both groups feel they are buying at the bottom of the market and both groups have an expectation of housing prices increasing over the next three to five years and both groups have an expectation of rents remaining and going higher. (Personally, I agree with both groups.) First time buyers not only have the family formation/nesting instinct driving them into purchasing, but they have the ever increasing cost of renting versus home ownership. Most first time home buyers are renters now and are looking at homes that will have monthly mortgage payments 15-20% below their current rent. Landlords/Investors are looking at the exact same equation from the other side and seeing that almost anything they buy now will have positive cash flow of at least 10% and often up to 20%. The group that is melting away at this time is the investors looking to buy, fix and flip, the risks are too great of carrying a vacant property or over improving and taking a hit in what is in fact a flat market, and of course move-up buyer’s remain effectively locked out of the market for the foreseeable future. Until move up buyers can sell and move there is likely to be no updraft in the real estate market, but when it does begin it will be huge.

Employment: In New Hampshirefor sure, the Northeast in general and for the nation probably, employment getting better.New Hampshire has experienced job creation. Not dramatic but some. GivenNew Hampshire’s favorable tax and business environment it’s not really surprising that it would be one of the first parts of the country to recover. New England more generally seems to be getting better although not at the same rate as New Hampshireand the nation, well let’s face it would be hard to screw things up much more – which is a perverse kind of improvement actually. So as workers become more secure in their outlook on employment, they become more confident that they can cope with a mortgage payment and the other cost associated with home ownership, and are feeling much better about leaving their apartments and Mom’s basement. This is having a very noticeable effect on stabilizing the market at the bottom.

Economy: The macro-economic environment remains dicey. I almost headed this section “Europe” as my third “E” but really it’s bigger than all that. The United Sates is no longer insulated from the rest of the world economically. I doubt that this was ever really true, but we felt it was true and we certainly acted as if it was true. The United States remains the world’s largest economy however it remains subject to outside shocks: Tsunami & nuclear disaster in Japan, economic slowdown in China and most dramatically European debit crisis – country by country bad news out of Europe send shocks through our financial system and impacts our banking sector. The largest of these in public perception is Europe which is unlikely to be resolved anytime soon and will continue to drag on the world economy. China seems to have better managed its financial affairs – easier in a totalitarian state – and seems likely to have a softer economic landing than Europe.

What’s the take away from all this? Housing is stabilizing now; sales volume is likely to increase significantly; good deals from a buyer’s perspective are likely to remain the norm for the next eight to twelve months; no real appreciation in real estate as an asset class is likely and value added efforts for renovations will remain high risk till after the end of 2012.

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Short Sale Success Stories

October 19th, 2011 | Posted by Dick Thackston in Buying Tips | Mortgage News | News | Real Estate News | Selling Tips - (0 Comments)

By Dick Thackston CRB, ABRM, ABR

Since the down turn started in the third quarter of 2005, (yes that’s right it’s actually been over six years if your benchmark is real estate brokerage), and the economic seizures started happening almost daily after November 2008, I’ve actually had some excellent experiences helping sellers and lenders work out a short sale.

Initially mortgage lenders were less likely to work out a short sale for a number of reasons: they didn’t believe the property was upside down, mortgage insurance would cover their losses if it went to foreclosure and/or they were simply too overwhelmed with the volume of business collapse that they couldn’t function efficiently and make decisions.

In 2007 I began the process of helping people work out a Short Sales on their homes if they were over mortgaged. One of the most successful short sales I’ve done was a house inKeene,New Hampshire. The owner had purchased the home about twenty years before he called me. He had tried selling the home himself and tried a Virtual Real Estate brokerage from outside the area with no local support. All the time he tried this, his home was sinking in value.

Why, one might wonder, if he had owned this home for over twenty years would he owe more than he paid? Well, actually what he had done was borrow money incrementally over the years to put his children through collage and purchase each of them cars when they graduated. He literally used his home as a savings account.

The biggest hurdle in the transaction was the owner, he just couldn’t believe that his home would be worth the loan balances plus and additional ten thousand dollars so that he could start his life over again someplace else. Once I was able to get him to understand that the value just wasn’t there, and he agreed to price the house to the market comparable prices in his neighborhood at the time, we got some OK sales traffic and ultimately an offer. I presented the offer to both the owner and his lender. I obtained the owners detailed financial information and the bank agreed to accept the short sale. Little or no emotion, very rational, and very efficient successful transaction.

The entire transaction from day of listing to day of closing the short sale, including negotiating with lender, was about five months or one hundred fifty days to closing.

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How I got Started Doing Short Sales.

October 17th, 2011 | Posted by Dick Thackston in Buying Tips | Real Estate News | Selling Tips - (0 Comments)

By Dick Thackston CRB, ABRM, ABR

Short Sale Success Story:

Short sales have become a major part of my companys business.

In 2007 I realized that more and more of the owners I interviewed during listing appointments were helplessly under water on the loan on their home.

During the Savings & Loan crisis of the late 80s and early 90s I first experienced short sales. Back then, it was mostly small business owners who had second business loans against their home and as the economy slowed, their businesses slowed or failed, and the bank came after their houses. This is where I learned to do short sales. Up until then, personally, I had never even imagined not being able to sell a house and not clear the loan balances and I had been in the business over ten years at that point.

So I learned to negotiate with lenders to help them understand Fair Market Value and accept the reality of the situation – not the ideal for anyone, but half a loaf is better than none.

So when I started to see homeowners under water again four years ago I felt it would be important to start trying to negotiate short sales – again. Unfortunately both home owners and lenders were still stubbornly unrealistic about the situation at that time. Many of the homeowners I initially advised to consider a short sale ultimately lost the property singing the “I need, I own, I won’t” chorus regardless of market realities, or they spent valuable months and years following the market down. Needlessly doing needless damage to their credit by loosing their home to foreclosure, most had they followed my initial advice would have in fact walked away from a sales with some money, less than they had expected but some money – far better than a short sale or total loss through foreclosure.

Some of the short sales I initially proposed to banks wound up going to foreclosure as well. Costing the lender $50,000 to $100,000 in equity that could have preserved for their company, however banks had a problem too because many had just done refinances or made new loans they would say something like “we have an appraisal that is only six months old” not recognizing how quickly the market was changing in those days. What a tragedy! What a tragedy for all parties!

So now Short Sales are commonly accepted as better than foreclosure and few, if any, lenders are waiting for the market to recover. The biggest issue with Short Sales remains sellers that are too slow to take action. I got a call today from a seller that is schedule for foreclosure sale in ten days. He turned down a short sale about a year and a half ago and now he wants to try and find a buyer and complete a short sale negotiation in ten days? Not going to happen. I suggested that he simply needs to plan on the foreclosure and arrange to move out of the house. Banks at this point are far more realistic than sellers and far more prone to look realistically upon a short sale and work on it realistically. Bank of America and Citibank have made tremendous improvements in their systems for handling short sales. In both cases they have gotten to be the best in the business to deal with, when a few years ago I really don’t think they allocated any serious resources to the Short Sale process.

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Top Ten Things to Think About When Buying A Home Today.

October 3rd, 2011 | Posted by Dick Thackston in Buying Tips | Real Estate News - (0 Comments)

The Great Recession that has shaken the American Economy and Housing Market over the last five years has taken many would be home buyers out of the market and loaded the Home Buyer psyche with skepticism however it has not generated an increase in the demand for buyer brokers. In fact if anything the willingness of buyers to contract with Buyer Brokers appears to be in decline and the willingness of agents and agencies to provide buyer brokerage services appears to have declined.

 

Buyer Brokerage, properly understood by the consumer and properly handled by the Buyer Broker is an excellent program and an excellent service for any home buyer in today’s market.

 

The top ten things when getting involved in Buyer Brokerage follow:

 

# 1. Find a Buyer Broker that you feel you can know like and trust. This person is going to need to have both your attention and confidence. Remember you’re not hiring them to be your best friend you’re hiring them to help you make solid business decisions.

# 2. Understand that you are HIRING the Buyer Broker which means you will be responsible for PAYING the Buyer Broker. Most agents will be happy to accept as compensation whatever fee is offered through their local MLS however sometimes listing brokers will not pay a fee or will not pay a reasonable fee and it will be your responsibility to handle this cost. Discuss this in detail when you hire the Buyer Broker.

#3. ONLY HIRE A BUYER BROKER WITH TRAINING IN BUYER BROKERAGE. Lots of agents and agencies will agree to be paid as a buyer broker but very few have actually training in Buyer Brokerage. The top level of training for a Buyer Broker is an Accredited Buyer Representative Manager a designation offered exclusively through the National Association of Realtors, Real Estate Buyer Agent Council.

#4. Have some idea of what you want and were you want to live. It’s the Buyer Broker’s job to help you figure out the best value for you but you need to understand your own needs and wants so the Buyer Broker can help you figure things out.

#5. Listen to the Buyer Broker. Most Buyer Brokers can send you to good service providers: Loan Officer’s, Title Companies, Home Inspectors etc and do so to help you get good service – no other reason, really.

#6. Find out if your chosen Buyer Broker requires a retainer and how that’s handled. Many Buyer Broker’s require a retainer when you contract for services. Most refund that after a successful closing, some do not establish how this item is handled when you sign your contract.

#7. Establish the level of service you expect and the level of service your Buyer Broker is ready willing and able to provide. Some buyer brokers will check zoning, building permits and title issues; some will not work with For Sale by Owner and non-MLS listings be clear about how these issues are handled.

#8. Establish an exit plan. Sometimes relationships just don’t work out or sometimes your situation will just change. Be clear at the beginning of your relationship with the Buyer Broker how things can be ended if you don’t feel the relationship is working out.

#9. Understand the agency laws in your state. Every state has different rules governing the actions and relationships of the real estate agents with the public – no two are exactly the same.

#10. Make sure you know who the boss is. When contracting any licensed professional for services make sure you know who they report to and who regulates Buyer Brokerage in your state. There is NO STATE where Buyer Brokerage is regulated by the REALTORS.

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Whats happening in the economy, and how does it affect housing and me today?

September 19th, 2011 | Posted by Dick Thackston in Buying Tips | Mortgage News | News | Real Estate News | Selling Tips - (0 Comments)

By Dick Thackston

Whether the US Economy is entering or has entered a double dip is a hard call and seems less than clear to most of us. Remember as President Nixon famously said over forty years ago: “Unemployment’s a matter of perspective which mostly depends on whether you’re working or not.”

Happily, New Hampshire and Vermont are among the most economically successful states in the country at this time. New Hampshire gained approximately 12,000 jobs from the peak of unemployment and Vermont has gained 5,700 in the same time frame. To be sure both states still have a net loss since 2008 however both states show that they are making the long crawl back from the bottom. New Hampshire’s economy is outperforming the US economy overall by adding jobs faster which has lead to increasing income and spending and our lower unemployment and is likely to do so in the foreseeable future according to most Economists.

So where’s housing?

Why aren’t prices stable and buyer’s buying at such low interest rates?

House prices have fallen about 20% overall in New Hampshire: more in the poorer areas and on poor quality properties and less in the wealthier areas and better quality properties. The number of homes available for sale in New Hampshirehas ranged from twelve to sixteen months worth of inventory over the last three years and seems to remain in that range.

Why is that?

If homes are selling at some pace why can’t we get ahead and drive the amount of inventory down to a more manageable backlog and generate some appreciation and good news? There are several critical factors: consumer age, nature of inventory, consumer confidence and banking regulation.

Since the year 2000 the populations of New HampshireandVermonthave seen their highest growth rate in the categories ages 55-64 and 65+. This seems to be driven by two major dynamics. The low rate of economic growth means younger families are not as attracted to the region as they might be to other more dynamic regions and the tax climate is very favorable to wealthier households that tend to be older. Older consumers tend to not spend as much in general and tend to not be as mobile in housing. They tend to stay put reducing the velocity of sales in the region.

The inventory of available homes in our region tends to be of poor quality over all – to be sure there are many fine homes in excellent condition available – which generate little or no interest in housing consumers of any demographic. During the housing bubble these homes sold at unreasonable high prices because they might be the only property available to many consumers most of whom might have been better off without the property. Many of these properties have no future and this is the range where we see sales in the region in the < $50,000 range. The prices often reflect lot cost minus the price of removing existing structures. Even at that low price level there is very limited demand and these properties are likely to remain a glut on the market statistically for years not months.

Consumer confidence remains weak. If economic uncertainty is to remain the ruling dynamic for the foreseeable future is it any wonder that household savings is likely to continue increase dynamically? Is it any wonder that large corporations are mimicking households as a rule and holding on to large amounts of cash at a time when lending is not guaranteed to be available to even the most qualified of borrowers?

Banks have positive economic incentives to hold up foreclosures and release them onto the market slowly. The longer banks hold delinquent properties off the market the longer they can put off recognizing losses so they look better to both regulators and investors but more significantly they aren’t forced to compete with themselves and there is an increasing trend among lenders to work out short sales with their delinquent accounts. Most industry analysts in the mortgage banking industry expect a surge in short sales in the next twelve to eighteen months. Shortsales reduce lender losses by so estimates as much as $50,000 per property and is far better from a public relations point of view with the consumer that has is over mortgaged.

So what’s the best plan for the average consumer at this time? For seller’s it’s simple: be realistic about your price; if you’re over mortgaged select a REALTOR with success handling short sales and begin working with your lender early in the process. This is likely to allow you to obtain the best terms from both your lender and the home buying public. For buyer’s it’s more complicated: understand what you really want and can afford; get pre-approved by a lender early in the process – bank owned properties and shortsales won’t normally consider any offer from a buyer that can’t produce a pre-approval from a lender with a contract; and most importantly understand that the really inexpensive properties are mostly trash and will not be financeable – there are no free lunches in housing!

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So, Its a buyers market! Now What?

August 8th, 2011 | Posted by Dick Thackston in Buying Tips | Mortgage News | Real Estate News - (0 Comments)

By Dick Thackston

Its a buyer’s market – true – but what does that mean to you if you’re a home buyer? Are you looking to get “a great deal” and tell all your friends that you bought a house from a bank for $20,000 or are you looking to buy a home that you can live in and build equity and “have a life” over a reasonable period of time? Do you have the temperament of or for being an investor or do you not have the willingness or ability to take risks and experience losses? These are all REALLY, Really important questions you need to be able to answer if you thinking you want to play in this market.

First let’s consider what’s a good deal. Certainly you can buy a house for under $50,000. Many properties are being sold for small fractions of what they last sold for or were mortgaged for at the top of the market. DO NOT BE CONFUSED ABOUT WHAT THIS MEANS! These homes are in poor condition; most were not really qualified for the mortgages they had based upon condition but one of the characteristics of the B & C lending market of a few years ago was that they did not require homes to be up to speed. The loans were made on the hope that the borrowers would fix them up or that the housing market would inflate further or more likely both.

To buy these homes now for the most part you need lots of cash: cash to buy them and cash to renovate them. You also need to know that you may be years from getting your cash back. Normally lenders will require that your ownership and repairs be “seasoned” for at least a year before they will allow a new loan. Also, you will need to know that just because you want to make certain repairs that will “make it yours” it does not mean that you will be adding significant or any value in today’s real estate market. Roof’s, septic systems, electrical work, plumbing are all things that are expected by most home buyers to be in fair or better condition when purchasing home so you don’t get extra credit for those.

What if you miscalculate on your repairs? You eat the loss. That’s why these are called investor specials you and can win or loose. I work with several teams of investors who take on these projects. They are well capitalized and they have a plan for doing the work, they have studied each property sixteen ways from Sunday and if doesn’t look like it will work exactly as they have calculated they don’t do the deal. If your plan is to buy and work on it, will you really be prepared to live in a construction site for the next three to five years? The work always takes more time and money than the average buyer expects – even in normal times – and these are not normal times – and what typically happens is that people get bored or overwhelmed and the sell at or slightly above their costs and move on because home prices have inflated. There is no expectation that home prices will be inflating anytime soon. Most experts plan on housing to stay about where it is right now for at least another three or four years. It may get worse first.

Buying the house you want may prove to be a paradox. The value of well maintained homes has not declined as much as the averages would lead you to believe. Why, you may ask, is this? Simple if people who bought their homes in the last ten years, for all the right reasons, still have their jobs, still like their neighbors aren’t dead or getting a divorce why would they sell in this market? They don’t. Remember that in our area,Central New England, unemployment is some of the lowest in the entire country – generally under 5%.

When you hear about the million houses projected to be going to foreclosure over the next year that sounds like a big number, but remember that home sales in this country have regularly topped 5 million in the last generation, so while the number of foreclosures is huge relative to all the homes that exist in this country that are privately owned, it’s a relatively small number. The truth here is that as a country we never expected to have any significant number of homes go to foreclosure.

What does that mean for you as a home buyer in this market? It means that if you want a home now you can get a good value but you need to know who you are how, much you want to spend, and how long you want to stay in a home before you think you might need to or want to sell. Prudence is certainly important and the most important aspects of buying a home in today’s world are that you plan on using it as a house not a piggy bank and know that it’s a place to live for three or more years, maybe the rest of your life, maybe a decade, maybe till the kids are out of school. You won’t make $10,000 trouble free dollars by painting the bedrooms neutral colors and selling the house in a year.

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From DSNews.com: RE/MAX Predicts Increased Home Sales in Coming Months

October 21st, 2010 | Posted by Dick Thackston in Mortgage News | Real Estate News - (0 Comments)

RE/MAX Predicts Increased Home Sales in Coming Months

By: Heather Hill Cernoch 10/20/2010

According to RE/MAX’s monthly National Housing Report, the housing market is attempting to return to traditional seasonal trends after a slow summer following the spring rush to qualify for the government’s homebuyer tax credit.

September sales were 6.4 percent below those in August and 20.6 percent below sales in September 2009.

RE/MAX also cites stabilization in prices due to a drop in the inventory of homes for sale.

“We anticipated the drop in home sales this summer due to the tax credit, and we usually see sales in September fall below August levels, but we’re encouraged by reports of signed contracts in the field,” said Margaret Kelly, CEO of the Denver-based RE/MAX, LLC.

“An increase in signed contract activity should translate into increased home sales in the coming months,” Kelly added.

RE/MAX attributes September’s 20 percent drop in sales from the previous year to homebuyers buying early to take advantage of the tax credit; sales in the spring were much higher than normal. Of the metro areas surveyed, only Miami reported higher September sales from a year ago with a 3.2 percent increase.

Despite the drop in transactions, September’s home prices were relatively stable with 33 metro areas showing a year-to-year increase in home sales prices. Overall, prices were down 2.7 percent from August but up 0.9 percent from a year ago. Prices are higher than 2009 in California cities and in the South and Midwest.

According to the report, the months’ supply of inventory, which indicates how long it would take to eliminate the current inventory of homes for sale at the current rate of sales, was 9.8, which is higher than the 9.1 supply reported in August and the 7.1 month supply in September 2009.

The RE/MAX National Housing Report is distributed each month and based on MLS data in approximately 54 metropolitan areas. It includes all residential property types and is not annualized. This month’s results are based on sales contracts signed in September.

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News From NAR: International Interest in U.S. Homeownership Increases, Realtors Report

July 9th, 2010 | Posted by Dick Thackston in Real Estate News - (0 Comments)

Saul Klein, e-PRO Real Estate Educator San Diego, CA

Jul 08, 2010

International Interest in U.S. Homeownership Increases, Realtors Report

WASHINGTON (July 7, 2010) – International home buyers are increasingly
attracted to property in the U.S., according to the National Association
of Realtors’ 2010 Profile of International Home Buying Activity.
Several factors, including the strength of the dollar, the value and
desirability of U.S. real estate, and the emerging economic recovery,
continue to drive international interest in owning a home in this
country.

“While all real estate in the U.S. is local, the same is not true for
property owners,” said NAR President Vicki Cox Golder, owner of Vicki L.
Cox Real Estate in Tucson, Ariz. “The U.S. continues to be a top
destination for international buyers from all over the world. Foreign
buyers understand the value of owning a home in this country and can
rely on Realtors® to help guide them through the complex process of
buying property in the U.S. With expertise, knowledge and experience,
Realtors® have a global perspective.”

The survey, released today, covers the period between April 1, 2009, and
March 31, 2010. During that time foreign buyers, including those with
residency outside the U.S. as well as recent immigrants and temporary
visa holders, are estimated to have purchased $66 billion of U.S.
residential property, or 7 percent of the residential market.

Slightly more than a quarter of Realtors®, 28 percent, reported working
with at least one international client in the past year. This is a
significant increase from the 2009 report, when 23 percent of Realtors®
worked with foreign clients. Eighteen percent of all Realtors® were
estimated to have completed at least one sale, compared to 12 percent
last year.

“Several factors have contributed to an increase in international buyer
interest in the U.S.,” said Golder. “A large majority of Realtors®
report the changes in value to the U.S. dollar have had a strong impact
on the international real estate business. In addition, perceptions
abroad about trends in the U.S. real estate market have led many
international clients to believe purchasing a home in the U.S. is more
affordable than in their country and holds more value.”

International buyers came from 53 different countries around the world.
The top four countries were Canada, Mexico, the U.K. and China/Hong
Kong. With 23 percent of international buyers coming from Canada, the
country has remained the largest buying group in the past three years.
Foreign buyers from Mexico have been steadily increasing. In 2010 Mexico
replaced the U.K. as the second largest buying group with 10 percent of
buyers. Buyers from the U.K. decreased from 10.5 percent in 2009 to nine
percent in 2010. Eight percent of recent buyers came from China/Hong
Kong.

Two factors important to international clients when purchasing property
in the U.S. are proximity to their home country and the convenience of
air transportation. Florida typically attracts European, Canadian and
South American buyers while the East Coast draws Europeans. The West
Coast brings Asian buyers and the Southwest attracts Mexicans.

International buyers were reported in 39 states in 2010, but a slight
majority of the total buyers are concentrated in Florida, California,
Arizona and Texas. These four states account for 53 percent of purchases
and have remained the top destinations for the past three years, with
Florida and California remaining the top two destinations.

The median price paid by international buyers for a home in the U.S. was
$219,400, a decrease from 2009′s median price of $247,100. However, the
median price paid by foreign buyers was significantly higher than the
overall median market price, which was $172,500 in 2009. On average,
foreign buyers tend to purchase closer to the upper end of the market;
16 percent of the total international purchases were for homes priced at
more than $500,000. According to Realtors®, this was because
international buyers are typically looking for a second home.

A majority of international buyers, 66 percent, purchased single-family
detached homes. However, more international buyers purchased a condo
than did their U.S. counterparts, at 23 percent and 7 percent,
respectively. Only 44 percent of international buyers used a mortgage to
pay for their home, compared to 92 percent of domestic buyers.
Fifty-five percent of foreign buyers paid all cash. Realtors® reported
that a majority of international buyers use all cash because of the
difficulty in establishing international credit in the U.S. Over
one-third, 34 percent, of potential foreign buyers was unable to
complete transactions because of financing problems in the U.S.

The National Association of Realtors®, “The Voice for Real Estate,” is
America’s largest trade association, representing 1.1 million members
involved in all aspects of the residential and commercial real estate
industries.

….
Information about NAR is available at www.realtor.org. News releases are
posted in the Web site’s “News Media” section in the NAR Media
Center.

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Wondering about the Home Buyer Tax Credit?

November 6th, 2009 | Posted by Dick Thackston in 1 - (0 Comments)

Here’s a handy chart to help you out.

NAR Issue Brief

Homebuyer Tax Credit Changes

National Association of REALTORS® Government Affairs Division

500 New Jersey Avenue, NW, Washington DC, 20001

FEATURE Jan 1 – November 30, 2009Rules as enacted February 2009 December 1 – April 30,2010 Rules as enacted

November 2009
First timeBuyer –

Amount of Credit

 $8000($4000 married

filing separate)

 $8000($4000 married

filing separate)
First time Buyer – Definition for Eligibility May not have had an interest in a principal residence for 3 years prior to purchase Same
Current Homeowner – Amount of Credit No Provision $6500($3250 married

filing separate)
Effective Date – Current Owner No Provision Date of Enactment
Current Homeowner –Definition for Eligibility No Provision Must have used the home sold or being sold as a principal residence consecutively for 5 of the previous 8 years
Termination of Credit Purchases after November 30, 2009. (Becomes April 30, 2010 on Date of Enactment.) Purchases after April 30, 2010
Binding Contract Rule None So long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.
Income Limits (Note: Increased income limits are effective as of date of enactment of bill) $75,000 – single$150,000 – married

Additional $20,000 phase out

 $125,000 – single$225,000 – married

Additional $20,000 phase

out
Limitation on Cost of Purchased Home None $800,000Effective Date of Enactment
Purchase by a Dependent No Provision IneligibleEffective Date of Enactment
Antifraud Rule None Purchaser must attach documentation of purchase to tax return

 This chart is just another way Dick Thackston and the REALTORS at R.H. Thackston & Company REALTORS can help you. Dick works with the other 34 New Hampshire, Vermont & Massachusetts agents in his 3 offices helping buyers find and close on homes. To see all the homes on the market today in New Hampshire, Vermont & Massachusetts visit www.dickthackston.com or give him a call today at 603.283.0622.

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