Home for Sale in Colorado Springs!

Move In Ready 2-Story Home for Sale in Colorado Springs in D-20. Perfect for the First Time Home Buyer, Move Up Buyer or if you are Relocating to Colorado Springs. Boasting 4 Bedrooms, 4 Bathrooms, 2 Car Garage and 2,200 + Square Feet. Click Here to Tour this Home for Sale in Colorado Springs! Beautiful Hardwood Floors Throughout the Main Level, Completely updated kitchen with new appliances, counters and cabinetry. The Spacious 2-Story Living Room is open to the kitchen with a cozy gas burning fireplace and walk out to the expansive backyard. The Dining Area is open to the kitchen and living area which is perfect for entertaining. Unwind in the upper level master retreat with an attached bathroom with dual sinks and soaking tub. There are 2 additional bedrooms and a full bathroom on the upper level. The Finished Basement features a Spacious Family Room, Wired for Surround Sound, Large Bedroom and Full Bathroom. The expansive backyard is perfect for entertaining! This home is located in a fantastic area with easy access to shopping, military bases, dining, parks, schools, the YMCA and more!

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

January is National Radon Action Month

Radon is a colorless, odorless, soil gas that can seep into homes through small spaces and openings, such as cracks, concrete, floor drains, sump pump openings, wall/floor joints in basements, and pores in walls. Radon can also enter a home through well water.

Its presence in your home can pose a danger to your family's health. Radon is the leading cause of lung cancer among non-smokers and the second leading cause of lung cancer in America. The EPA estimates that nearly 1 out of every 15 homes in the U.S. has an elevated level of Radon, with some areas in the U.S. having a much higher concentration of than others.

The EPA and the U.S. Surgeon General urge all Americans to protect their health by testing their homes, schools, and other buildings for radon. Exposure to radon is a preventable health risk, and testing radon levels in your home can help prevent unnecessary exposure. If a high radon level is detected in your home, you can take steps to fix the problem to protect yourself and your family.

A simple and inexpensive test done by HomeTeam can determine if Radon is a problem in your home. Visit http://www.epa.gov/radon/ to learn more or call me today and I'll put you in touch with a Professional Home Inspector!

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Selling your home out of season? A great deck makes a difference

(ARA) - In a perfect world, no one would ever have to face the challenge of trying to sell a house when there's snow on the ground and the trees are bare. In reality, people have to sell and buy homes throughout the year.

While winter may not be the optimum season to showcase your landscaping, there is one improvement you can make that will help you boost your home's outdoor appeal no matter what the season: a deck.

When potential buyers visit your home in winter, they might not be able to envision how green and lovely your backyard will look come spring. But they will be able to see with their own eyes the square footage that a deck adds to the home's living space.

Decks, patios, sunrooms and porches have always been popular with home buyers, but real estate agents say that too often those spaces are neglected or not used to their best advantage. Yet outdoor improvements like a deck can significantly enhance your home's value and appeal. In fact, at the time of resale, a deck will recoup, on average, about 73 percent of the original cost of building it, according to Remodeling Magazine's Cost vs. Value report.

"Anything that adds living space adds value, and the least expensive way to gain space is to build a deck or turn the one you have into an outdoor room by staging it so that it flows seamlessly with the rest of the house," says Mary Beth Harrison of The Harrison Group, a Dallas-based real estate agency. "A great deck can set your home apart from others with the same interior floor plan or square footage, and deck additions typically add value when it comes time to sell."

The cooler temperatures of fall and early winter make the season a great time to add a deck to your home. Or, if you already have a deck, you can enhance its appeal by adding simple touches and accessories.

A bonus space - for example, a tiny deck or rarely used balcony off a master bedroom - can be transformed into a romantic getaway by staging it with cozy, cushioned seating and a raised firepit. You can safeguard your deck and add designer style with Latitudes deck stones, 16-inch interlocking square tiles made of natural slate or granite. Deck stones can provide an effective fire barrier that's an asset under firepits or grills, or when used to create an outdoor kitchen.

Lighting is another way to boost appeal. LED deck lighting kits, like those offered by Deckorators, are both practical and visually appealing. Adding lighting to a deck can be an important safety feature, and also helps create a warm, welcoming mood for evening entertaining.

Another improvement that speaks to both safety and visual appeal are deck railings. Decorative railings with ornate balusters, post cap and postcovers can give virtually any wood or composite lumber deck a distinctive look for a modest investment.

"More than ever before, people look at their decks as outdoor entertainment areas," says Chris Fox of Universal Forest Products, producers of Latitudes Composite decking and Railing and Deckorators, a leader in decking railing systems and deck accessories. "For some, it's a kitchen; for others, a living room. Decks can be party spaces or quiet retreats. With so many different types of deck materials, lighting, rail systems and decorative accents, it's possible to turn a plain deck into a great outdoor space."

"Potential home buyers always react positively to nice decks that look like a great place to hang out," says Harrison. "From a buyer's perspective, if all else is equal, it's true that the home with the best deck wins."

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

The ins and outs of worry-free home security

(ARA) - As seasons change, homeowners' routines change along with them. Whether it's children coming in and out of the house more frequently between school and activities, or service workers helping to get home repairs done, you want to ensure
safe and controlled access when you're not available.

One recent "Key Hiding Habits" survey of homeowners in St. Louis found that respondents
hide extra keys for such purposes in all kinds of places, from beneath a flowerpot to under the bushes - yet among those who do, about one fifth don't recall where they hid the key, leading to an opportunity for a lockout situation. In fact, getting locked out of the house happens more than you'd think. Over a 12-month period, a quarter of those polled were locked out at least once and a smaller number twice. Believe
it or not, some were locked out five times or more.

To ensure worry-free home security, there are simple things you can do to help ensure that the right people can enter your home, and also deter those you want to keep out of your home. Here are some home security tips:

* Go keyless. Avoid keys entirely by upgrading to an electronic keypad door lock, eliminating any worries about lost keys or the need to keep making replacements. Electronic locks provide keyless entry to a home using secure access codes, so there's no more hiding of keys in places where the wrong person might find them.

For example, Schlage electronic locks can be installed quickly with just a screwdriver and allow you to add, change or delete user codes in seconds, ensuring that the people you want to enter your home can come and go as they please. You can also create a temporary code for someone such as a plumber or pet-sitter who needs to enter and exit while you're away. To learn more, visit http://www.keyless.schlage.com.

* Use motion sensors. In the fall and winter months of the year it's especially helpful to have a light on for family members and others who need to leave or come home in the dark. One way is to leave the porch light on, but you can take lighting a step further by installing motion-activated lights. Available in home improvement stores, these lights can be installed at your entry door or by the garage door, and will turn on automatically when a person or car approaches, ensuring a well-lit entry to your home and making it harder for intruders to hide in waiting.

* Make your home look lived in. If you keep the drapes and shades closed during the day, it can give an unintended signal to burglars that you're not home, so go ahead and leave the windows uncovered as if you were there. Turn down the ringer on your home phone, as well as the volume on the answering machine - while you're away at work, dashing back and forth between activities, or even if you're simply working in the garden or backyard - as these sounds can be a signal to others that no one's inside.

By making these easy changes, you can add to your home's security and also ensure greater convenience for the entire family.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Achieve winter home comfort

(ARA) - If you're a homeowner, you probably know that home winterization is essential if you want to increase energy efficiency and comfort during the winter. In addition to the usual quick fixes, there are a few important tasks to keep in mind when preparing both the interior and exterior of your home for the harsh weather ahead.

Outside
Believe it or not, the roof plays a big role when it comes to controlling the comfort in your home. Even more, heavy snowfall and ice can lead to severe damage throughout your home if you don't have a healthy roof.

Winter weather can cause the creation of ice dams. Walls of ice form at the edge of the roof when snow melts and runs down the roof, reaches the cold eaves and refreezes. If you don't have the proper protection, the ice pushes under the shingles, which will cause leaks into the attic or along exterior walls, resulting in water damage that can be expensive to repair.

Make sure you keep an eye out for icicles on your roof throughout the winter. Safety should always be your first priority. Icicles are dangerous because not only can they break off and fall from the roof, but the weight of the icicles can also cause a gutter or awning to fall. If you're worried about potential damage, hire a roofing contractor to inspect your roof to remove icicles or make any repairs before problems arise.

If your roofing contractor determines you need a new roof, use Owens Corning Deck Defense underlayment and WeatherLock Self-Sealing Ice & Water Barrier Products in conjunction with high-performance shingles to help shield your home from moisture infiltration. These two layers of a roofing system are important because they provide extra water-shedding protection under the shingles.

"Ice and water barrier products directly beneath the shingles stop water from getting into the house," says Mel Sancrant, product technical specialist at Owens Corning. "But, it's also important to maintain adequate insulation in your attic to prevent ice dams by making sure you keep the attic at the same temperature as the outside with proper ventilation and insulation."

Inside
In the winter, the warm moist air generated by laundry, showers and other household activities can cause moisture build-up in the home. This moist air becomes a water vapor that transfers through your ceiling into the attic. Proper ventilation helps remove the moisture while it's still a vapor and exhaust it out through the vents located at the top of the house.

Insulation will help maintain a comfortable temperature inside the home and promote energy efficiency. It can also reduce the amount of heat loss in your home if installed according to the Department of Energy's (DOE) recommendation for your region. Excessive heat loss through your attic can contribute to ice damming, so proper ventilation and a well insulated home are part of a healthy roof system.

To determine if you need more insulation, simply measure what you have. Most experts agree your attic should have at least a 19 inch deep layer of insulation or you could be wasting money. If your attic falls short of the DOE recommendation for your region and the type of heating and cooling system you have installed, then add another layer of insulation. The DOE's Energy Star website features a chart that clearly showcases the recommended level of attic insulation in each region in the United States.

There are other ways to make energy-efficient updates to your home, such caulking, weather stripping or adding an attic stairway insulator, to easily and effectively increase comfort and reduce heating costs.

A home energy audit with a qualified professional ensures a thorough inspection. In addition to helping you identify if your home is properly insulated and air sealed, the professional will shed light on ways you can conserve hot water and electricity.

Ensure your home has a healthy roof, proper insulation and an adequate air sealing system if you want to achieve an optimal level of comfort and energy efficiency in your home and protect it from the elements this winter.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Great Reasons to Sell Your House Today!

You may be asking yourself, “Is it time to sell my house?” The answer to that question is based on what your families’ goals are. If you don’t need or want to move for a few years it might make sense to wait for the housing industry to recover and prices to appreciate. However, if you wish to move within the next six to eighteen months, it is probably better to sell sooner rather than later. Here are some reasons why:

DISTRESSED PROPERTIES WILL IMPACT PRICES:
Distressed properties (foreclosures and short sales) on the market will increase this winter and spring. This will put tremendous downward pressure on prices for at least the next 12-18 months. Get your house sold before they become your competition.

MORTGAGES WILL BECOME MORE DIFFICULT TO OBTAIN:
Lending standards are continuing to tighten. There is legislation currently being considered that will make it even harder for buyers to qualify. Less demand will equate to lower prices.

IT IS THE PERFECT TIME TO MOVE UP:
With prices where they are and interest rates at all time lows, there may have never been a better time to move-up into your dream home. If you move into a more desirable home now, you will be in position to gain larger equity as prices eventually appreciate.

YOU GET TO MOVE ON WITH YOUR LIFE:
Probably the most important reason to sell is so you can get on with your life. Do not allow a less-than-stellar housing market to prevent you from reaching your goals as an individual or as a family. Think about the reasons you are thinking about moving. Are these reasons really important to you? If you have to take less than you were originally hoping to get for your house, your family has a question to ask each other: Is the dollar difference in sales price worth putting off our plans? Only you and your family know the answer to that question.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Real Estate 2012: Many Positive Outlooks

by The KCM Crew

There is a growing belief among many experts that 2012 will be the year housing turns the corner and starts heading in a more positive direction. Whenever we write a post like this, we unleash the hordes of critics who say we are again wearing rose colored glasses or are puppets being controlled by the National Association of Realtors (NAR) and other industry groups.

It is for that reason we will not be covering the projections of those groups. Instead, we want to share the beliefs of other organizations.

Washington Post:
“Housing Market and Economy Showing Encouraging Signs.”

The Wall Street Journal:“From Bottom Up, Signs of Housing Recovery”

USA Today:
“Housing Outlook is More Upbeat”

CoreLogic:
“CoreLogic’s chief economist Mark Fleming says housing statistics and the duration of the downturn to date indicate 2012 may be the year the housing market begins to turn the corner.”

Freddie Mac:
“With the New Year comes a sense of cautious optimism. There are some positive signs in the job market and consumer confidence; housing is starting to raise hopes for continued gradual economic recovery.”

Fannie Mae:
“The housing sector will likely take incremental steps forward in 2012 …according to economists at Fannie Mae.”

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Listing Inventory Declining in Colorado Springs!

For the first time in about 4 years, our listing inventory continues to decline! Good News for Home sellers, less competition, better sales prices!!! Check out these charts from The Pikes Peak Association of Realtors.

Click Here to view the charts.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Belief That “Now Is the Time to Buy” by Age Group

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Selling Tips in a Buyer’s Market

A buyer’s market means it’s the seller’s turn to be flexible, especially with sale terms. Purchase price, closing dates, move-in dates, storage, appliances, window treatments, points and fees may all require a little negotiation. Whatever the terms, don’t let personal feelings stand in the way of a good deal.

The basics

In a buyer’s market, curb appeal, cleanliness, overall good condition and updates are especially crucial. Any little flaw should be taken care of before the first buyer drives up.

• Attend open houses in your neighborhood to see what “sell-ready” really looks like. If you’re shy, ask your Better Homes and Gardens® Real Estate sales associate to walk you through a few sell-ready examples.

• Back home, start with the exterior to ensure you’re making a good first impression. Reseed or throw down some turf on lawn patches, change the lights in the lamppost, and if necessary, reset the walkway stone.

• Clean the interior beyond your standards. Even if they are impeccable, rent an industrial carpet cleaner or hire a professional cleaning service. Brighten the interior ambience with light fixture updates, as new lighting is one of the most inexpensive and noticeable improvements you can make prior to listing.

• Fix leaky faucets and make sure the water pressure is strong in both the kitchen and bathrooms.

• If necessary, a great way to improve the appearance of your home is to paint. Use only neutral colors that can easily lend themselves to different décor and styles of furniture.

Don’t reject low offers; negotiate

• Don’t dismiss lower-than-expected offers. Instead, consider buyer incentives that help you meet your asking price. Offer to pay the buyer’s closing costs, moving costs or loan origination fee. These can help the buyer with upfront costs. As well, you may consider offering a limited home warranty that covers HVAC systems and some appliances for a definitive period of time.

• Be careful of purchase offers that are contingent on the buyer selling their home first. Their home may be in a softer market than yours and you could be in for a long wait. Be sure that the purchase agreement includes a contingency-release clause. This way you’ll be able to sell if another buyer comes along.

• Work with your Better Homes and Gardens® Real Estate agent to find creative solutions to make a deal come together. The purchase price is just part of the deal. Anything that makes your property stand apart from the competition will give it an edge in a buyer’s market.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Where Are House Prices Headed in 2012?

by The KCM Crew

There is no shortage of opinions as to where home prices are headed in 2012. From Clear Capital’s expectation that prices will show a ‘slight uptick’ this year to Fitch’s projection that prices ‘will fall another 13 percent’, there seems to be no consensus as to where real estate values are headed. How can there be such a disparity of opinion among industry experts? Prices are determined by the relationship between supply and demand and there are many unanswered questions regarding both of these components.

Questions about Demand

Will this be the year that the 5.9 million adults between the ages of 25 and 34 that are still living with their parents decide to purchase a home of their own?

With mortgage payments lower than rent payments in the majority of the country, will first time buyers finally decide it makes more financial sense to buy rather than rent?

Will the baby boomers take advantage of the great deals available and start purchasing vacation and retirement homes?

Will investors continue to purchase large quantities of distressed properties?

Will hedge funds negotiate a deal with the banks for bulk purchases of foreclosures?

Questions about Supply

Will 2012 be the year that builders again increase inventories of newly constructed homes?

Will baby boomers put their primary residences up for sale and relocate to their retirement destinations?

Will 2012 be the year that the shadow inventory of foreclosures finally makes its way to market?

If prices depreciate, it will force more homes into a negative equity situation. Will this create another surge in short sales and foreclosures?

Will the government put together a plan to convert large numbers of foreclosures into rental properties?

Bottom Line

With so many unanswered questions regarding both the demand for housing and supply of properties, it is very difficult to determine where prices will be at the end of the year. We suggest you contact a local real estate professional to help you determine where values are headed in your area.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Home For Sale Near Colorado Springs, CO!

This Walk Out, Ranch Style Home For Sale Near Colorado Springs, Boasts 4 Bedrooms, Large Den, 3 Bathrooms and 3,500 + SF on over 35 Acres! Click Here to Tour This Home! The Home was completely remodeled in 2007. Bullnose corners, knockdown texture, extra Insulation in the roof, hand-carved solid hickory floors, slate floors & cut berber carpet. Cozy Gas Fireplace w/ slate tile, plinth block & rosette woodwork w/ 6” baseboards, 6-panel doors, 8’ tall door on the attached garage, new garage door opener, Dual Cat-5, Telephone & Coax wired throughout. The Spacious Kitchen includes Kenmore Elite Appliances & 42” cabinets. Central A/C for your comfort, central vacuum, forced air gas heat w/ programmable thermostat, dual water heaters w/ manifold system. The Main Level Master Boasts a Luxurious 5 Piece Bathroom w/ Free Standing Shower, Jetted tub & waterfall faucets. Finished Basement with Large Family/Rec Room & Walk Out. 42x56x12 Lester built custom dream barn/shop: lifetime guarantee, insulated ceiling, 12” overhangs, 12 car garage, 24' covered porch, 10x56 roof over 5 drylots, 21x56 concrete area in barn, floor drain & rough plumb for sink, 12x12 sliding door, 10x16 commercial overhead door, 6 man doors, 100 amp 240V, & water. Two no-climb fenced 1/2 acre paddocks w/ water & 50 amp electrical services, Two no-climb 1/4 acre paddocks w/ 8x12 barns w/ power & water, 8x12 chicken coop w/ fenced yard. 10-acre homestead with predator proof high tensile woven fence, 25 acre pasture, 22 gates on property, Incredible Pikes Peak and Front Range Views and More!

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

People Are Buying Homes AND GETTING MORTGAGES!

by The KCM Crew

Many believe that very few houses are selling and that almost no one can get a mortgage. We want to let everyone know that neither of these assumptions is true. Recently, the National Association of Realtors (NAR) released their Existing Homes Sales Report. According to the report there are, on average, 12,109 homes selling in the United States EACH and EVERY DAY! That means that approximately 12,000houses sold yesterday, approximately 12,000 will sell today and approximately 12,000 will sell tomorrow. So the thinking that homes aren’t selling just isn’t true.

Another interesting fact in the report was that 72% of these transactions were accompanied by a mortgage. That means that approximately 8,719 people qualify for a mortgage on a daily basis in this country.

There are over 12,000 homes sold and over 8,000 mortgages granted every day. The real estate market is doing better than many believe.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

When the Prophet Says Buy – BUY!

by The KCM Crew

John R. Talbott, previously a Goldman Sachs investment banker, is a bestselling author and economic consultant. When it comes to the housing market he is also a prophet. When housing prices started to skyrocket in 2003, he published The Coming Crash in the Housing Market correctly warning us that a real estate bubble was forming. Then in January 2006, he called the absolute peak of home prices in the US by releasing a new book, Sell Now! The End of the Housing Bubble.

Mr. Talbott, the person who accurately predicted the housing bubble and its bust, now has a new prediction – IT IS THE TIME TO BUY A HOME! In a recent article, Homes –Buy Now!, Talbott simply explains:

“I have been waiting for more than five years to offer this advice. It is now time in most cities across the country to buy a new home or refinance your existing home with thirty-year fixed rate mortgage debt.”

He goes on to explain that his conclusion is based on four different metrics, all of which favor buying today:

-Home Prices Relative to Peak Prices During the Bubble
-Home Prices Relative to Construction Costs or Replacement Costs
-Home Prices Relative to Incomes and Rents
-Home Prices in Real Terms, Not US Dollar Terms

Bottom Line

If the person who called the real estate bubble and its bust says now is the time to buy, we believe it is time to buy.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Mortgage Predictions for 2012

by Dean Hartman

It’s the time of year that we look ahead and attempt to give our best guesses about the market, the industry, and the effects they may have. So, here are my thoughts about the mortgage world:

Interest Rates Should Be Stable
With a faltering economy nationally and worldwide, including pessimistic estimates for employment, there is little chance that the Fed will risk increasing rates which would jeopardize any recovery. Couple that with a Presidential Election in November and conventional wisdom, and we’ll see rates hovering in the same neighborhood for most of 2012.

Mortgage Costs Will Increase
Quietly tucked away in those bills passed in Congress to extend the payroll tax cuts before the holidays was an increase of 10 basis points in the guarantee fees on loans sold to Fannie Mae and Freddie Mac. That will translate into .10% higher interest rates (which would be $4000 extra on a $200,000 loan over 30 years). Interestingly enough, the additional revenue is not going to Fannie or Freddie to help with defaulted loans, but rather going to the US Treasury to make up for the payroll tax cut….go figure.

The Mortgage Interest Deduction Will Be Challenged
Look for people of a certain income level to lose their write off as a measure to increase revenue. Taking away from the wealthy as a way to raise governmental revenue is politically strategic. It is unlikely everyone will lose the deduction (political suicide), but that top 1%…watch out.

Loan Products Will Expand
Common sense lending will start creeping back. Large down payments will liberalize credit and income standards. This will likely begin with local banks who are comfortable with appraised values. I’m not calling for a return to the madness, but some loans that are low risk are not being done today. Anticipate some lenders expanding their guidelines.

Don’t be shocked by a lowering of FHA loan limits and/or an increase in the FHA Up Front Mortgage Insurance Premium either. Overall, mortgages should give people more reasons to buy homes in 2012 as the economic recovery is strongly tied to housing. Given that most people vote their own personal economy rather than policy beliefs, I expect support by those who are looking to be re-elected.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.

Comparing Real Estate To Other Investments

by The KCM Crew

We recently posted Real Estate: Today’s Golden Opportunity comparing the current housing market to the market for gold about a decade ago. Some commented on the fact that you can’t compare gold to real estate as an investment as gold is a very liquid asset and it would take more time and effort to sell a house. We were not trying to make the case for real estate vs. gold as an investment in our blog. We were just showing that all investments go through cycles and that the best time to buy any investment may be when everyone is saying not to.

However, since the subject of comparing real estate to other investments has come up, let’s take a closer look. There are two major advantages to investing in a home of your own rather than another option:

You Can’t Live in Your IRA

When you buy your own home you are not taking available dollars away from another investment. You are replacing one housing expense (rent) which has no potential for a return on investment with another (mortgage payment) that does give you an opportunity for a return. We realize that there has been research showing that over the last 30 years renting has been less expensive than owning. That research also says that if you invested the entire difference between the rent payment and mortgage payment you may have done better financially. There are two challenges with this conclusion:

1. Today, in the vast majority of the country, renting is actually more expensive than owning a home.

2. History has proven that tenants DO NOT invest the difference in their rent and mortgage payments.

Today, study after study shows that owning a home is no more expensive than renting a home. However, even if this wasn’t the case, history shows that owning a home creates greater wealth.

Paying a mortgage creates what financial experts call ‘forced savings’. The Joint Center for Housing Studies at Harvard University released a study last year titled America’s Rental Housing: Meeting Challenges, Building on Opportunities. In the study, they actually quantified the difference in family wealth between renters and homeowners:

“Renters have only a fraction of the net wealth of owners. Near the peak of the housing bubble in 2007, the median net wealth of homeowners was $234,600—about 46 times the $5,100 median for renters. Even if homeowner wealth fell back to 1995 levels, it would still be 27.5 times the median for renters.”

There Are Tremendous Tax Advantages to Investing in a Home

There is no doubt that selling an investment such as gold is easier than selling your home. However, this liquidity comes at a price. The price is called capital gains. That is the tax you pay on any financial gain you receive from the investment. This tax doesn’t apply the same way when you sell your primary residence:

Theresa Palagonia, a CPA and the Accounting Manager for the firm G.S. Garritano & Associates, was good enough to explain the Home Sale Exclusion Rules:

You may qualify to exclude from your income all or part of any gain from the sale of your main home.

Maximum Exclusion

You can exclude up to $250,000 of the gain on the sale of your main home if all of the following are true:

You meet the ownership test.
You meet the use test.
During the 2 year period ending on the date of the sale, you did not exclude gain from the sale of another home.
If you and another person owned the home jointly but file separate returns, each of you can exclude up to $250,000 of gain from the sale of your interest in the home if each of you meets the three conditions listed above.

You may be able to exclude up to $500,000 of the gain on the sale of your main home if you are married and file a joint return and meet the requirements. (Special rules apply for joint returns.)

Ownership and Use Tests

During the 5 year period ending on the date of the sale, you must have:

Owned the home for at least 2 years, and
Lived in the home as your main home for at least 2 years
Certain exceptions exist in which you may qualify for the exclusion without satisfying the tests listed.”

Bottom Line
Every investment has pros and cons. That is why there is such an assortment of great opportunities. Real Estate has been, is and always will be one of those opportunities.

If you are considering Relocating to Colorado Springs, Purchasing a Home for Sale in Colorado Springs, considering Selling a Home in Colorado Springs, or want more information on the Colorado Springs Real Estate Market, Contact your Colorado Springs Real Estate Expert, Mike MacGuire Today! Click Here to Check out my informational video if you are considering Selling a Home in Colorado Springs. Click Here to Check out my informational video if you are considering Purchasing a Home for Sale in Colorado Springs.