Hampton Roads Real Estate Blog

Big Increase in Lower Priced Homes on the Market

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 21 Jan 2010 16:30:00 GMT

I update the listings every couple of weeks and noticed a surge in listings for homes on the market under $150k. Check out the full list here....

Cheapest Homes in Hampton Roads

Jeff Nelson
The Real Estate Group
757-749-1616

Neighborhood Profile for Kempsville in Virginia Beach - Homes for Sale

jeff@homesandfood.com (Homes and Food Real Estate) — Mon, 18 Jan 2010 20:50:00 GMT

Kempsville in Virginia Beach, Va. is a highly sought out area, especially for those looking to buy a home up to $250,000. Click the link below which will tell you more.....

Information for Kempsville and Homes for sale in Kempsville, Virginia Beach

Jeff Nelson
The Real Estate Group
757-749-1616
Virginia Beach Real Estate

For those who don't believe....

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 15 Jan 2010 17:58:00 GMT

Hi everyone!! It's really been interesting over the past few months to read some of the responses I've been getting to my comments on the market here in Hampton Roads. Some seem to think that the market will continue on a downward spiral for another 50% decrease. Well, really since last summer, home prices began to level off and deep discounts were becoming a thing of the past.

This fact is becoming more prevelant everyday. I update my main site at Hampton Roads Real Estate on a continual basis. At this page I have seven subdomain pages featuring the seven major cities of our area. As I was updating the Chesapeake Real Estate page, I noticed something that gave validity to what I've been saying for some time now. Towards the bottom of the page, I feature a random neighborhood and post the last 5 homes that have sold, along with their "list" price and "sold" price. If you go there you will see that the facts are there. Home prices are settling down and for the most part, sellers are pretty much paying the buyer's closing costs. For sellers, this is a good thing. Buyers need to give some serious thought about jumping in if they've been waiting.

Also, stats from our MLS company show that 09 finished in an upswing with fewer listings and more sales than the previous year. This article can also be found at the main Hampton Roads Real Estate page. Hope all is well with everyone and please let me know if you need any assistance in selling or purchasing your next home.

Jeff Nelson
757-749-1616

Deep Water Lot for sale in Lynnhaven, Virginia Beach

jeff@homesandfood.com (Homes and Food Real Estate) — Tue, 12 Jan 2010 02:02:00 GMT

2104 Lynnhaven Circle Virginia Beach, Va. $525k

Build your dream with deep water in front and back of your home! Just minutes boat ride to the bay.

View flyer here... or contact me

Jeff Nelson
The Real Estate Group
757-749-1616
Homes for Sale in Virginia Beach

Hot Property in Chesapeake

jeff@homesandfood.com (Homes and Food Real Estate) — Sun, 02 Aug 2009 23:33:00 GMT

909 Robert Welch Ct. Chesapeake, Va. 23320 $399,900

WONDERFUL FLOOR PLAN WITH GREAT VALUE. FEATURES INCLUDE BRICK FRONT, GENERATOR, HIGH TECH WIRING, JETTED TUB, 2 ZONE HEATING AND AIR SYSTEM & SECURITY SYSTEM.

Jeff Nelson
The Real Estate Group
757-749-1616

Click here for the full listing and more pics....http://www.hrmls.com/jeffnelson/0928405

Hampton Roads Market shows signs of stabilization

jeff@homesandfood.com (Homes and Food Real Estate) — Sun, 02 Aug 2009 23:15:00 GMT

Hello everyone,

We agents have been seeing this for a few months. As home prices have fallen consistently over the past 2 years, we have finally come to a leveling off of discounts for your next purchase. If you think about, there's only so far that sellers (even banks) can go. There has to be some point when prices can't go any further. The figures below are stats pulled from REIN, our MLS company:

Active listings have significantly declined from 15,300 (June 08) to 14,284 (June 09).

Pending sales have increases sharply 27.7% as compared to June 08.

Closed sales increased by 7% during the same time frame.

Every once in a while I'll get a comment from people who seem to think that prices aren't anywhere near their bottom. Well, obviously, these folks aren't experts, don't work in this industry, and aren't aware of the facts. The housing market is improving across the nation. CNN and Newsweek are claiming that the recession is over. As I look at listings everyday on the MLS, I'm finding more and more homes under contract. The time is now. If you need a recommendation for a mortgage company, I'll be happy to email you a couple of referrences. After you've done that, go to my site at www.homesandfood.com then click on Hampton Roads Real Estate in the top menu bar. I have spent hundreds of hours developing the most comprehensive site in the area. One thing is for sure, I have your back in your next home purchase. I will see to it that you get the best home, at the best price, and with the least amount of hassle.

Call or email me at:

Jeff Nelson
The Real Estate Group
757-749-1616
jeff@homesandfood.com

The Tide has Turned!

jeff@homesandfood.com (Homes and Food Real Estate) — Sat, 25 Apr 2009 17:22:00 GMT

Did you read the paper a few days ago? Home prices are actually going up. I've been beating this drum for 2 months now and buyers really need to get on the wagon. I started seeing home prices leveling off actually around January but now is the perfect time without question to begin your search for that new home. Don't hesitate to contact me. I can send you a complete list of homes that match your search criteria or even create a saved search that will automatically send you the new listings as they come on the market right to your email. If you're a buyer, now is the time......

Jeff Nelson
757-749-1616
www.homesandfood.com

5037 John Street. Great House. Priced to Sell.

jeff@homesandfood.com (Homes and Food Real Estate) — Sat, 25 Apr 2009 17:05:00 GMT

Where else are you going to find a detached home in Chesapeake, built in 2001, under $230k, and looks fantastic? Please click the link below to view the full listing.

http://www.hrmls.com/jeffnelson/0905862

Please let me know if you would like to view this property or any others in person.

Jeff Nelson
757-749-1616
jeff@homesandfood.com
www.homesandfood.com

Tips for First Time Home Buyers

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 16 Jan 2009 14:49:00 GMT

Unsure about what to do when purchasing a home? Even seasoned home buyers are uncomfortable with the whole process. Here's a guide to help you out:

How much can you afford? Many people are actually qualified for more than they want to pay for a mortgage. Just make sure to not over leverage yourself. Be realistic and stick to your plan. In the Hampton Roads real estate market home prices have fallen about 25% and buyers have the ability to purchase a home today that they couldn't come close to afford 2 years ago.

Contact a lender. Most sellers want to see a pre-approval letter at the time you submit an offer, so it's a good idea to get this started. In my opinion, you should go with a strong, local bank and try to avoid mortgage brokers. Lending guidelines have affected the larger national banks for the most part, however, some smaller local banks do not have to follow these stricter rules. If you don't have a clue who to talk to, try asking your real estate agent for options.

Obtain a realtor. Okay, I know there's a lot of them but start doing some research and find one that you get along with the best. Talk to several agents and choose one who best matches your personality. Obviously I am an agent but I absolutely know that not everyone who is looking at homes for sale in Virginia Beach, for instance, will get along with me. As a buyer, you are the important factor and you should be catered to.

Search for a house. Nowadays this is easy. Most people look for their new home via the internet and Google but you can also find homes through the classifieds, real estate magazines, driving through neighborhoods, and by asking your realtor to send you a list. Have fun and explore!

Visit the properties you're interested in. Once you've done some searching, give your agent the MLS #'s of the homes you like the most and go see them. Your agent will line up all the appointments and you never have to speak with the seller.

Write an offer. This is probably the one area where buyers feel the most uncomfortable. Your agent will be able to walk you through every clause and contingency. Talk your time and ask lots of questions.

Negotiate. More than likely the seller will not accept the initial offer unless they are really motivated and have the ability to accept it. There's no hurt feelings here and it's all business. You and your agent should try to get everything you can as a buyer. Use your agents expertise here. This is one of the things we do best.

Acceptance. Once the buyer and the seller have come to an agreement on the contract, you are ratified. At this point you will start removing any contingencies that you have like full loan approval and home inspections.

Close on your new home. When all of the terms of the contract have been completed, it's time to go to closing. Prepare to spend up to an hour for this and make sure to bring your drivers license. They will want to know that you are who you say you are. At this point, the title searches have been done, your loan company has given the closing company all the pertinent information for your loan, and all terms have been met. Congratulations, you're a homeowner!

Feel free to contact me if you're in the market to purchase. I specialize in the Hampton Roads real estate market, including homes for sale in Chesapeake, Va. and homes for sale in Norfolk, Va.

Jeff Nelson
The Real Estate Group
757-749-1616
www.homesandfood.com

Wythe of Hampton, Va.

jeff@homesandfood.com (Homes and Food Real Estate) — Wed, 14 Jan 2009 14:46:00 GMT

Wythe is one of the most historic neighborhoods in Hampton, Va. that continues to draw buyers on a continual basis. You can expect to find homes in all price ranges here but there is definitely a sense of pride that comes with the community. If you are considering purchasing a home in Hampton, you should definitely consider Wythe as an option. Of all the homes for sale in Hampton, Va., Wythe is probably at the top of the list for character and pride of ownership. Here are the facts and figures for the last 90 days:

58 current homes for sale in Wythe ranging from $89k-$899k
4 sold at the asking price
2 sold above the asking price
7 sold below the asking price

Please contact me if you are in the market to purchase a new home in Wythe. I can also assist you with other homes for sale in Hampton Roads.

Jeff Nelson
The Real Estate Group
757-749-1616
Homes and Food, Inc.

Fed Cuts Key Rate to a Record Low

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 18 Dec 2008 17:01:00 GMT

Fed Cuts Key Rate to a Record Low
The Federal Reserve entered a new era yesterday, lowering its benchmark interest rate virtually to zero and declaring that it would now fight the recession by pumping out vast amounts of money to businesses and consumers through an expanding array of new lending programs.
http://www.nytimes.com/2008/12/17/business/economy/17fed.html?th&emc=th

Homes and Food, Inc.
is dedicated to exploring where we live and what we eat with an emphasis on Hampton Roads, Va.
Also, find out real estate information for Hampton Roads, Virginia Beach, Chesapeake, Norfolk, Portsmouth, Suffolk, Hampton, and Newport News

Helpful Hint to Reduce Property Taxes

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 18 Dec 2008 16:35:00 GMT

With home prices taking a tumble, many people are finding out that they are paying real estate taxes on more than what their home is worth in today's market. Most don't mind paying the tax but it has to be at least fair.

Several years ago a typical home in Hampton Roads was valued at about 20% higher than what the city had assessed their home. This was a good thing. You actually want your assessed value as low as possible because the assessed value is mulitplied by the tax rate. Lower assessment means lower tax bill. Nowadays, some home prices have fallen, in many cases, well over 20% and homeowners are starting to figure this out.

Most people do not know that you can challenge this issue if you feel that the government is unfairly taxing you on more than what your property is worth. This isn't a "slam dunk" and there arent' any guarantees but it is definitely worth the try. With the decline in the housing market across the country, city and county governments in every state are starting to feel the pressure from their homeowners regarding this. If you do know what your home is assessed at, just go to the government website for your city and look it up. If you feel that you are paying too much taxes based on the fact that your assessed value is more than what your home would appraise for, you should visit the city's tax department and dispute it. You have the right to do this and it's only fair.

Jeff Nelson
The Real Estate Group
Homes for Sale in Hampton Roads
757-749-1616

Neighborhood Profile: Wythe of Hampton, Va.

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 11 Dec 2008 18:30:00 GMT

Wythe is one the oldest, most historic neighborhoods of Hampton, Va., named after George Wythe, one of the original signers of the United States Declaration of Independence. The hundreds of homes that reside in this landmark boast of pride and beauty. Pride really does say it all when driving through the area or stopping to speak with one of the residents. Members of the neighborhood's home owners association take their roles serious in maintaining the integrity of this section of Hampton. My travels through Wythe led me to some of the friendliest people in the city. There was always someone either giving a welcoming wave or eager to offer their assistance when I had a particular question. It is not unusual to find people jogging, riding their bikes, or even having an occassional block party. The streets are inviting with large trees lining most of them. Another part of the neighborhood comes with stunning water views that make you wish you lived in one of the large homes that sit along it's banks.

Construction in Wythe began in the late 1800's but most of the homes have well-maintained and even updated. From long time residents to newcomers, this area has something for everyone, in all price ranges. Currently there are 55 homes for sale in Wythe ranging from $104,900 at 1348 square feet to $899,900 at 3834 square feet on deep water. Of course, the architecture and the uniqueness of the properties are worth far more. Homes just aren't made like this anymore.

Schools for Wythe include Hampton High School and Armstrong Elementary.

To get a complete list of all the homes for sale in Wythe or any other part of Hampton Roads contact me at:

Jeff Nelson
The Real Estate Group
757-749-1616
or visit www.homesandfood.com.

Things are changing.

jeff@homesandfood.com (Homes and Food Real Estate) — Tue, 09 Dec 2008 04:01:00 GMT

I'll be the first one to say that home prices will not take an up swing for at least another year, however, the Hampton Roads real estate market is beginning to show signs of leveling off. I've been beating this drum for a few weeks now due to all of the conversations that I've had with sellers, buyers, and other colleagues. The deep discounts that buyers enjoyed for the last couple of years are coming to a close. With over 15,000 listings currently on the market, sellers are still very motivated to make something happen but from what I'm hearing, there's just not much room to budge. The reason is that most of the homes that are on the market were purchased within the last 5 years, which was in the seller's market. The homes were purchased at all time highs. Sellers are forced to reduce their prices in order to compete with the many foreclosures that are currently on the market. Think about it. Many buyers during the seller's market purchased their homes with 100% mortgage products, which means they started with no equity. With rapidly dropping prices, they could even have negative equity. I'm actually active on quite a few blogs and forums and it amuses me to hear people who have no idea what they're talking about acting like experts in the real estate industry. This is a situation where people probably need to listen to what agents are saying. The active ones, like myself, study this stuff everyday. This is what we do for a living. I think it's a time to trust but verify. If you're a buyer and waiting on the market to get another 20% better for you, you are too late in my opinion. This thought was confirmed today while at an appraisal. I had to meet the appraiser out at a house that I have under contract and he told me, with no prompting, that in his opinion, prices have bottomed out. If you are a potential buyer, give me a ring or send me an email and let's talk. You are in a prime position that we will not see for many years. I work hard to provide a comprehensive site and marketing information in order to educate and assist clients on a daily basis. I do welcome your comments no matter if they're positive or negative so feel free to leave me what you think.

Jeff Nelson
The Real Estate Group
Homes and Food, Inc.
Hampton Roads Real Estate
757-749-1616
mail to:jeff@homesandfood.com

Rate take a dip this week 12/3

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 05 Dec 2008 18:37:00 GMT

Rates close out at 5.35% making it the lowest drop since the beginning of the year. I was watching Fox News yesterday and they said that the Treasury Department was considering dropping rates even further to 4.5% in order to ignite the housing industry. Things are looking up. Buyers really do have everything on their side now. With the combination of the decreasing rates and home prices at drastically reduced prices, home buyers can now qualify for homes that they couldn't even come close to a few years ago. My site is the most comprehensive and informative real estate site in Hampton Roads (I know, I'm biased) so check it out if you're in the market to purchase and let me know how I can assist you.

www.HomesAndFood.com is dedicated to exploring where we live and what we eat with an emphasis on Hampton Roads. Here you will find an abundance of articles and tips pertaining to recipes, interior design, home improvement, cooking supplies, and even real estate. Hampton Roads is comprised of 7 major cities in Virginia: Virginia Beach, Chesapeake, Norfolk, Suffolk, Portsmouth, Hampton, and Newport News.

Remodeling Projects with the Highest Returns

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 05 Dec 2008 18:23:00 GMT

Remodeling Projects With the Highest Returns
For the second year in a row, REALTORS® report that exterior remodeling projects return the most money as a percentage of cost, as detailed in the 2008 Remodeling Cost vs. Value Report.

On a national level, wood deck additions and all types of siding replacements–upscale fiber cement, midrange vinyl, and upscale foam-backed vinyl–returned more than 80 percent of project costs upon resale. Of these, the most profitable project was upscale fiber cement siding, which recouped 86.7 percent of costs, followed by wood decks at 81.8 percent, midrange vinyl siding at 80.7 percent, and upscale foam-backed vinyl siding at 80.4 percent.

The 2008 Remodeling Cost vs. Value Report compares construction costs with resale values for 30 midrange and upscale remodeling projects comprising additions, remodels and replacements in 79 markets across the country, expanding from 60 markets last year.

Projects With Highest, Lowest Returns

In addition to wood decks and siding, window replacements and kitchen remodels also returned a relatively high percentage of remodeling costs on a national basis.

All types of window replacements–upscale and midrange wood and upscale and midscale vinyl–returned more than 76 percent of costs. A major midrange kitchen remodel returned 76 percent of project costs, while a minor midrange kitchen remodel returned 79.5 percent of costs.

On a national level, bathroom remodels, while still a relatively good investment, do not return as high a percentage as in previous years. A midrange bathroom remodel was estimated to return 74.4 percent on resale, comparable to a midrange attic-to-bedroom conversion, at 73.6 percent of costs recouped, and a midrange basement remodel, at 72.7 percent of costs recouped.

As in last year’s report, the least profitable remodeling projects in terms of resale value were home office remodels, sunroom additions, and back-up power generators, returning only 54.4 percent, 56.6 percent, and 57.1 percent, respectively, of project costs.

National Association of Realtors® President Charles McMillan says the resale value of any given remodeling project depends on a variety of factors.

“A home’s overall condition, availability and condition of surrounding properties, location, and regional economic climate are all factors that will influence the value of any remodeling project,” he says.

Neighborhood Profile: Ghent

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 05 Dec 2008 17:40:00 GMT

Out of the hundreds of neighborhoods in Hampton Roads, most of its 1.7 million residents have heard of Ghent, which is one of the more popular historical districts of Norfolk, located near downtown. Much of this large area was built in the early 1900’s and is commonly known as Ghent, West Ghent, or East Ghent. The architecture of most of the residences and businesses is amazing and has been, for the most part, left intact. There’s nothing like it in any of the surrounding cities. For those who love historical landmarks, you’ll love to just wander down the streets of Westover or Hampton Blvd. and take in the beauty of the grand homes that stand before you. You can easily find yourself walking down a wide tree-lined street with historic mansions to your left and right. Many of the older buildings have been renovated into apartments, co-ops, or even condos and still retain their charm. You might see new carpet, a paint job, and a stainless-steel refrigerator but the feeling of history is all around you.

Decades ago many of the residents of Ghent were musicians, artist, and students. Today, we’re seeing a wide diversity of homeowners, including young professionals, the affluent, and people who just want to be near a happening city. Are you looking to make a move? You’ll find just about every category of property in Ghent including, 7,000 square foot mansions, small apartments, 3-story condos, New York- style lofts, high rise gated communities, and moderate single family homes. Prices range from the mid $150k’s to over a million.

Don’t let the city life scare you; there are also plenty of families with children that love the convenience that the downtown provides. Nearby schools include Blair Middle School, Maury High School, Bina High School for Girls, Ghent Elementary School, and Children’s Hospital School. If you need something a little “older”, Old Dominion University and Hampton University are right around the corner.

The historical nature of the homes is the first thing that comes to mind when I think about this section of Norfolk. The second has to be the business and cultural aspects. Colley Avenue, which is synonymous with Ghent, has no shortage of patrons visiting its many quaint shops and restaurants. My favorite restaurant in all of Hampton Roads sits on this street, Magnolia Steak. You can also enjoy a cup of Starbuck’s Coffee on the way to work, grab an ice cream cone from the famous Doumar’s or drop by D’Art Center to further add to your art collection. One of the many staples of Colley Ave. is the Naro Theater. You won’t find first run flicks here but you can catch some great foreign and independent films. The biggest draw for purchasers by far, however, has to be Ghent’s close proximity to Downtown Norfolk and Freemason. The downtown area has totally transformed itself over the last 15 years. There are dozens of restaurants, bars, and plenty of family activities to keep you busy on a Saturday evening. Other popular attractions included the Harrison Opera House, Nauticus, Macarthur Mall, and Waterside. You are literally 2 miles from everything you need. My wife and I love Ghent and with the opportunities that there are in real estate now, we are looking for our second home. We love this place!

www.HomesAndFood.com is dedicated to exploring where we live and what we eat with an emphasis on Hampton Roads. Here you will find an abundance of articles and tips pertaining to recipes, interior design, home improvement, cooking supplies, and even real estate. Hampton Roads is comprised of 7 major cities in Virginia: Virginia Beach, Chesapeake, Norfolk, Suffolk, Portsmouth, Hampton, and Newport News.

Jeff Nelson
757-749-1616
The Real Estate Group

Rates are Dropping!

jeff@homesandfood.com (Homes and Food Real Estate) — Fri, 28 Nov 2008 16:16:00 GMT

Have you heard? I have verified with 2 different loan officers that I work with that rates went as low as 5.375 two days ago and are expecting to hold steady in the mid 5's. The recovery of the housing market is the key to economic growth and it appears that the Feds are making the move. Check out the article below from NAR's Chief Economist.

Jeff Nelson
Homes and Food, Inc.
Tons of information about where we live and what we eat in Hampton Roads, Va.
Also, find out real estate information for www.homesandfood.com>Chesapeake, Norfolk, Portsmouth, Suffolk, Hampton, and Newport News.

NAR Says Fed's Buying of Fannie, Freddie Debt Will Drive Down Interest Rates and Help to Stabilize Housing

WASHINGTON, November 25, 2008

Great news for home buyers, home sellers and the U.S. economy is how the National Association of Realtors^® greeted this morning’s announcement by the Federal Reserve that it will purchase housing-related debts of Fannie Mae and Freddie Mac, thus freeing up mortgage money on Main Street.

“This is one of the key actions we’ve been advocating ever since the Treasury altered its course on how it would use the $700 billion recovery package passed in September. This is great news for home buyers and sellers and we applaud the Fed for taking this historic step,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth. “Housing recovery is the key to economic recovery in this country and it always has been.”

In a four-point plan submitted to Congress last month, NAR called for the Treasury Department to purchase mortgage-backed securities (MBS) from banks to provide price stabilization for housing. Today the Fed said it would purchase mortgage-backed securities from Fannie Mae, Freddie Mac, and Ginnie Mae for up to $500 billion. “This will be critical to a housing recovery,” McMillan said.

Lawrence Yun, NAR chief economist, said purchasing debt obligations of Fannie and Freddie is an important move. “We commend the Fed decision because it will directly bring down long-term interest rates,” he said. “The level of investment should be aggressive enough to bring interest rates down in a meaningful manner. As we've seen in past recessions, home sales rise when mortgage interest rates fall.”

Yun said that given the present state of the mortgage market, interest rates on 30-year fixed-rate mortgages are too high. “If Fed action brings down mortgage interest rates by even 1 percentage point, it would increase homes sales by 500,000 units. That should help to draw inventory down and stabilize prices.”

Yun said higher home sales are critical now to absorb inventory and stabilize prices. “Only with stabilization in home prices can we have a healthy housing and economic recovery,” he said.

In its announcement, the Fed said it will purchase up to $100 billion of GSE debt from primary dealers through a series of competitive auctions to begin next week. Purchases of up to $500 billion in MBS will be conducted by selected asset managers before year-end. Both the direct obligations and MBS purchases are expected to take place over several quarters.

Happy Thanksgiving!

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 27 Nov 2008 21:18:00 GMT

I just wanted to take a little time away from turkey day, to wish everyone a Happy Thanksgiving. It has been a crazy couple of months with all that's been happening in the world of finance, mortgages, and real estate. A few things that I'm thankful for is my wife who puts off with all of my craziness, bull-headedness, and impatience. I'm thankful for my 5 kids who know that sometimes I have to work and miss one of their functions. They are the greatest in the world. I'm also thankful that I found a career that I absolutely love and feel that I can actually improve people's lives.

Anyway, I'm going to forget the website, career, and this blog for a few hours and just concentrate on all of those things. Have a great Thanksgiving to all who read this!

Jeff Nelson
Homes and Food

Rent vs. Buy

jeff@homesandfood.com (Homes and Food Real Estate) — Thu, 20 Nov 2008 14:42:00 GMT

Over the last few months, I've had a surge of new clients contact me about purchasing a home who were currently renting. Most of them were disgusted about the amount of money they were having to pay. Our area, Hampton Roads, Va., currently has approximately 1.7 million people scattered amongst 7 cities. That's a lot of people who have to live somewhere.

So what are some of the reasons why people choose to rent vs. buying a home? Are they fresh out of school and just getting started in their careers? Do they have mediocre credit and waiting for some of the blimishes to be removed? Are they new to Hampton Roads and want to get more familiar with the neighborhoods and schools before purchasing? We do have have a large military population in our metropolitan area due to the many bases here, one of which is the largest naval base in the world. These are all good and valid reasons to rent, however, renting should just be a stepping stone if you plan on staying in your area for any length of time.

I know. I know. There is no big secret about what's going on with the economy and the mortgage industry these days. The media has done a great job about scaring the general public half to death. Let's see.......Rates are still really good. Inventory is through the roof. Sellers are reducing their prices and still motivated. Buyers can qualify for homes now that they couldn't think of touching just a year ago. What could possibly be the reason why buyers aren't pouncing on this situation? There are three possible reasons I can think of....1) Bad credit - that's not the majority. Most people do meet the criteria needed to get a mortgage. 2) Fear of losing their job - well, this is a good one especially when we hear the news about unemployment going up( again, thank you media). We watch the news and hear about companies laying off thousands of people and I really feel for them but most of those people aren't going to wither up and die. After being ticked off, they'll go out and get another job, start a business, or do something. Also, if the fear of losing your job is keeping you from purchasing, don't you have to live somewhere whether you rent or own? 3) Waiting for prices to come down more - Personally, I think this is the main reason. If you said this 2 years ago, I couldn't argue with you but now I can.

I am a very busy realtor and I'm out there every day showing houses and writing contracts. Over the last couple of years, sellers have continued to reduce their homes in order to compete with the many foreclosures that we have on the market but I feel that we are coming to the end. I'm starting to hear more and more from sellers that they just can't go any farther. I think in general that the deep discounts are over. You should still be able to get your closing costs paid in most cases and maybe a little off the sales price but that's about it. Think about it. Most of the homes on the market today were purchased by the seller within the last 5 years, during the crazy seller's market. Since home prices have reduced, what equity they may have had is pretty much gone and most sellers don't want to go into their savings account just to sell their home. If you want to buy a home, the time is now. If you are able to buy a home, you are in the best position for building equity in the future. Put me to work so I can stop ranting like this.

Jeff Nelson
The Real Estate Group
757-749-1616
Homes and Food, Inc.
Hampton Roads Real Estate