Ann Arbor Real Estate Talk

The Housing Bail out has been signed into law. It is not a rescue for the homeowners but for the investors who packaged these loans together. They hedged their bets on the homes increasing in value and they did not.

If you live in Ann Arbor, you know it is true.

If is not a pretty picture out there. When Pfizer left it brought down all the home values in your neighborhood. You know it.

If you live in Ann Arbor or Washtenaw County you know in the past we have only encountered a plateau during recessions and then bounced back. A plateau is a flat line; it is not a down line.

We are in a down line, and have been for several years.

If you don’t have to sell, DON’T.

If you have your home on the market, and get a low offer, SELL.

Don’t wait; we are just beginning this wild ride.

Homes are selling; the ones priced right, the ones in great condition.

Foreclosures and “short sales” are selling.

I checked the Ann Arbor MLS last week for closings in September. Guess what? 17 were foreclosures and short sales. The other ½ were not. That is 50-50.

I am closing on a home next week, my seller paid 305,000.00. They are walking into closing with 45K. Not many of you in Ann Arbor can do that, fortunately they can. But, it is sad, so sad.

I would say over ¾ of my closings this year in Washtenaw County; the sellers have brought in money to sell their home. They are ethical and did the right thing.

They did not walk away.

Share This

Many times after we close a home with a client in Ann Arbor or Saline, we go through a sense of mourning. Why? We miss them.  You spend months helping them find a home to buy, talk on the phone daily, and are involved in a relationship.

Then comes the big day, you go to closing. Their house sells, or a new home becomes theirs.

The End……………………………or should it be?

After that things can get quiet, life goes on, you get involved with new clients and they meet local friends and get involved with new relationships,and schools.

Last night, I had the opportunity to connect with a past client of mine from Saline. She emailed me and needed comparable properties sold in her neighborhood and in Saline.

She was refinancing her home and the appraisal came in lower than she had expected it would. So I went to the MLS and sent her what I believed were good comparable sold homes in Saline with acres, and over 3000 S. F.We sent a multitude of email back and forth.

She sent me the homes the “out of area” appraiser used in evaluation. Only one house was truly comparable. So today armed with 8 other sold homes in Saline she is going to fight with her lender for a higher value.

It was nice to reconnect and be able to help her out.

Do you feel you can call your Realtor for help after the sale ?

Share This

One of the documents we send out to our sellers and buyers in Ann Arbor, Saline or anywhere in Washtenaw County, after they are under contract are potential roadblocks to a closing. They can be from various people involved in the transaction.

It is not negative just an information piece we put together to help them understand things beyond our control can occur.

I was supposed to have two closings this week; one buyer purchasing my listing went in to work and found her job was lost. The second one, found out he could not get his money out of China. So events beyond our control happened.

THE LENDER

•1.       The lender does not properly qualify the buyer.

•2.       Lender wants property repaired before closing

•3.       Lender pulls a “bait and switch” on the buyers.

•4.       Lender looses an entire file.

•5.       Lender decides the file is too much work.

•6.       Lender doesn’t lock the buyer in and rates go up to high for the buyer to afford the property,

•7.       Lender forgets to ask for a document needed for underwriters.

THE BUYERS

•1.       The buyers bring an attorney into the picture.

•2.       The buyers are don’t provide all the documents to their lender.

•3.       The buyers don’t have the funds to close.

•4.       The buyers don’t tell the truth on the loan application.

•5.       The buyer’s source of down payment changes.

•6.       The buyers find a different property that comes on the market.

•7.       The buyer’s parents don’t like the house.

THE TITLE COMPANY

•1.       The title company doesn’t find liens or until the last minute.

•2.       The title company forgets to schedule the closing and is booked.

•3.       The title company incorrectly prepares the paperwork.

•4.       The title company does not pass along valuable information fast enough.

•5.       The title company lets one party leave town without signing a necessary document.

•6.       The title company doesn’t coordinate properly with the other title company.

•7.       The title company fails to get the death certificate or trust documentation in a timely manner.

THE SELLER

•1.       The home has defects the seller is unwilling to repair.

•2.       The seller’s new employer changes their mind.

•3.       The seller removes personal property from the home, the buyer was expecting.

•4.       The seller delays the move out date, can’t get a truck or van.

•5.       The sellers don’t have enough funds to bring to closing.

•6.       The sellers can’t clear up lien problem

•7.       The sellers did not own 100% of the property.

•8.       One party decides they are not moving in a divorce.

THE APPRAISER

•1.       The appraiser is not local and doesn’t comp the value correctly.

•2.       The appraiser can find no comparable satisfy  the underwriters.

•3.       The appraiser makes mistakes.

•4.       The appraisal comes in too low.

THE REALTOR

•1.       The Realtor forgets to schedule the closing.

•2.       The Realtor doesn’t disclose to the sellers their net.

•3.       The Realtor takes a vacation and forgets to inform everyone.

•4.       The Realtor doesn’t have a good relationship with their party and brings up issues at the table that freaks the party out.

•5.       The Realtor quits the business and doesn’t let  anyone know.

•6.       The Realtor turns over the file to a new assistant.

•7.       The Realtor doesn’t answer calls to get issues resolved by contract dates.

Of course this doesn’t happen all the time, but it is prudent to be prepared for potential roadblocks that might prevent you from getting to the closing table. As a Reatlor in the Ann Arbor Area, I am use to dealing with last minute opps all the time, but many folks buying or selling are not.

Share This

The economic conditions have many of us worried. If you want to check out you own bank go to the FDIC web-site and put you bank in and you will see.

I did it for my Ann Arbor Bank with 5 branches one in Saline and found it to be fine.

Just thought you would want to know.

Share This

The Ann Arbor District Library Board has voted to tear down the main library downtown and build a new one in its place.

Recently the Library posted a survey online with over 6,000 people responding. The survey asked how space at the library should be allocated, and about a proposed underground parking structure beneath the current surface lot next to the library.

More than half of those who responded to the survey, said Ann Arbor needed a renovated or new downtown library. Around 14 percent said they did not agree a new or renovated library is needed.

The 50-year-old building has been renovated twice already with the latest being in 1990.

I recently posted on all the new branch libraries in Ann Arbor have been built with sustainable design and materials.

The current building also does not comply with Americans with Disability Act (ADA) standards, although accomodations had been accomplished. This will be far better.

Ann Arbor is environmentally conscience, tearing down the older 343 S. 5^th Street building is not surprising as the survey results indicated most Ann Arbor residents were in favor of doing so.  With the community speaking the library board voted to move forward with the project.

The current cost is projected at 71M, and will include a new auditorium to seat 400, which is desperately needed as I have attended, with standing room only several events there. It is projected the renovation will be paid for with bonds, fund raising and a tax increase.

The new building will increase the square footage by 47% to over 160,000 S.F. and is designed to be four stories.

The Ann Arbor District Library web site can be found here.

The Ann Arbor Main Library is located at:

343 S. 5th Street

Ann Arbor, MI 48104

Missy at MissyCaulk.com

Share This