Mortgage Rates at Record Lows While temperatures are rising to record highs, mortgage rates have been falling to record lows. Per Freddie Mac, 30 year fixed rate loans dropped to 4.58 percent for the week ending on July 1 down from 4.69 percent for the prior week. They, also, reported that the 15 year rate fell to a record low of 4.04 percent. The record high temperatures must be trying to say that this is a hot time to buy. 07/07/2010

Maryland Governor's Race: Basic Freedoms and Bob Ehrlich? I know, I know, I almost got caught in an oxymoron. Here we are at the beginning of July, a time when the citizens of the United States celebrate their independence. We recognize the beauty and power that our freedoms provide to us. Freedom of speech, freedom of the press, freedom of religion are all part of the freedoms which we do not take for granted, but which we understand have been a large part in making our country great. It is a greatness which has inspired throngs of people from around the world to come to this country and make it their home. But, remember, Bob Ehrlich, the former governor of the State of Maryland. Governor Ehrlich did not like the reporting by The Baltimore Sun, a newspaper from Baltimore, regarding the... 07/06/2010

What is Credit? Many people will say that they have bad credit or that they do not have credit at all. But do they know what is meant by credit? Credit Credit is the ability to borrow tomorrow's money to pay for something that you get today.   Credit is a promise to repay a debt.   Credit may be extended by several means such as credit cards, personal loans, car loans, and home loans (or mortgages).   Credit is a privilege.  The ability to borrow money at reasonable terms and interest rates cannot be taken for granted or assumed.   Credit is extended based on a demonstrated willingness and ability to repay it.   07/03/2010

Commuter Train: There Ought To Be A Law The Event On June 21, 2010, a MARC Commuter train broke down. It was a hot and sweltering 90 plus degree day. With the breakdown, the train's air conditioning system also went down, which caused temperatures in these crowded cars to climb into what was probably near 120 degrees. The conductors attempted to keep the passengers on the cars, which had very little ventilation and windows which are not designed to be opened. Some passengers were becoming faint, while others were bursting out the windows. Emergency Medical Technicians were called to the scene. Eventually another train was brought in to transport the passengers. The Response Officials from the MARC Train service expressed delight at such an exciting incident.  Nobody died and nobody was ... 07/03/2010

Maryland Foreclosures Decline Foreclosures in Maryland dropped by 9% in the first quarter of 2010 when compared to the same time period from last year.  The national decline was 33%. The 3,547 homes sold in foreclosure accounted for 20% of sales in the first quarter.  The national average was 31%. The average price of a foreclosed property in Maryland was $221,794, which was 24% below the market.  Nationally they sold for $171,971, which was 26.7% below the market. Although, lenders may potentially have a high inventory of future foreclosures building, that number may be lower in Maryland due to recent legislation.   HB 472 - Foreclosure MediationSTATUS: PASSED - Effective July 1, 2010Establishes a mediation process for homeowners facing foreclosure.  Requires lenders to provide informa... 07/03/2010

Fireworks Safety Enjoy your Fourth of July, but be careful with the fireworks. Consider the following fireworks safety tips and information: Lit sparklers can reach temperatures up to 2,000 degrees Fahrenheit. Be cautious to not catch clothes on fire or use near children. Only use fireworks outdoors. Read and follow all warnings and instructions before igniting fireworks. Obey all local laws regarding the use of fireworks. Ensure spectators are out of the range of the fireworks. Only light fireworks outside on a smooth, flat surface away from houses and flammable materials. If drought conditions are present, avoid using fireworks altogether. Never try to relight fireworks that have not fully functioned. Always have a bucket of water, or water hose, nearby. Alcohol and fireworks never mi... 07/02/2010

Important Information I do not know what the following information means nor do I know what it has to do with real estate, but it must be extremely important as I have received it as a comment two times on one of my blogs. Please read this information and commit it to memory.  You never know when you might need these crucial words. The security of the United States, of North America, of the world, of the universe, . . . , may be at risk. Also, unless you are a complete moron, I suggest that you do not use the form of advertising, whereby you randomly send information about your product or service to unrelated and uninterested sites. I further suggest that you never purchase anything from Timberland as there are rumors that they are a front for an international espionage network. There a... 07/01/2010

Maryland Venture Fund: InvestMaryland There is a reason that Maryland leads the nation in job creation as we come out of the recession and it is not luck. A program to grow new business and create jobs. Gov. O'Malley announced a new program called InvestMaryland, an administrative and legislative proposal designed to support the growth of the state's knowledge based industries by stimulating investment in the Maryland Venture Fund. The Governor unveiled his proposal during a key note speech to 350 business, academic and government leaders at the 2010 State of Tech in the I-270 Corridor conference at the Universities at Shady Grove Conference Center. More than 11,000 people work in life sciences and approximately 35,000 people work in high tech sectors like IT, telecom and cybersecurity ... 06/26/2010

Maryland: Cyber Security; Bigger Than BRAC With the military's Base Relocation and Closure Initiative (BRAC), Maryland is experiencing an influx of jobs in the range of 25,000 plus.  This growth should continue through 2011 with the bulk of the jobs going to either Aberdeen Proving Ground in Harford County or Fort Meade in Anne Arundel County. However, Maryland officials have been pursuing the Cyber Security industry, which is expected to be, over time, bigger than BRAC.  The Maryland Department of Business and Economic Development is developing an action plan. This is one more sign that Maryland is out of the recession for the long term. Cyber security expected to have bigger impact on Maryland than BRAC 06/26/2010

Is The Pay Scheme For Real Estate Agents That Unique? Real estate agents typically only get paid when a sale closes. There are often times, when an agent will put numerous hours into working with a client or customer, but end up with no sale and, hence, no pay. The agent may spend large amounts of money, including time if you were to give it a dollar value. They will spend money on signs, brochures, and advertisements. Just to be in the business, they will spend money on licensing fees, continuing education costs, association dues, multiple listing service costs, lock box fees, and on and on. All of these efforts and costs show up as expenses on their accounting ledgers and not one of them shows up as revenue. These expenses all occur prior to getting a sale, and, therefore, based upon ... 06/25/2010

Interest Rate Factor Chart This chart will help you to calculate your monthly principal and interest payment for a 15 or a 30 year term loan. Here is how it works: Find the appropriate interest rate. Find the column for the desired term of the loan. The number that corresponds to that term and that interest rate is the interest rate factor. This is the amount required each month to amortize $1,000 over the specified term. Example: Interest Rate: 4.75%; Term: 30 Years; Interest Rate Factor = $5.22 Divide the loan amount by $1,000. Example: Loan Amount: $150,000; $150,000 / $1000 = 150 Multiply the interest rate factor (Line 3) by the amount of thousands borrowed (Line 4) Example: $5.22 x 150 = $783.00 This number ($783) represents the principal and interest portion of the monthly payment... 06/23/2010

How Much Can You Afford? Before shopping for a house, it is important that you determine how much house you can afford. If you can afford up to $250,000, then it would be a waste of your time if you were to look at houses which were priced much above that amount. Alternatively, although you do not want to spend too much money, you can determine how high you can go rather than limiting yourself to an arbitrary lower number. Keep in mind, that when I talk about "How much you can afford", that for any given person the number may be different, since people have varying comfort levels and varying financial goals, which are beyond just purchasing a house. In this exercise, I will show you how to determine the amount that you can afford for an FHA type of loan.  You should realize that this is... 06/22/2010

Maryland: Jobs, Jobs, Jobs For the third consecutive month, Maryland has shown an increase in new jobs. There were 4,800 jobs created in the private sector, which is more than 10% of the nation's 41,000 jobs created.  Maryland only has 2% of the nation's population. Certainly, with three straight months of growth, Maryland is in a strong recovery phase after the recession. Overall, counting federal jobs, employers added 11,200 jobs in May.  Almost every job category showed an increase. Maryland's unemployment rate dropped by .3% after a decrease of .2% in the previous month.  The unemployment rate remains far below the national average. For the fifth consecutive month, the number of unemployment claims decreased, which is a sure sign that layoffs have significantly slowed.  The improvem... 06/22/2010

Benefits of a Home Warranty A home warranty may be a good investment when selling your house. Here are some of the benefits of selling a home with a home warranty: The seller does not have to pay for the warranty until the home sells and goes to settlement. If the home does not sell, then the seller never has to purchase the warranty. The warranty is in effect during the listing period, so the seller can use it if something happens prior to a sale or prior to settlement. The warranty is transferable to the buyer and is good for a one year period; the buyer can renew the warranty. The warranty covers most major systems in a house.  This includes appliances, heating and air conditioning systems, electrical and plumbing, water heaters, and such.  There is usually a limitation on roof cover... 06/19/2010

Are You Getting a Good Deal? A few years ago the real estate market was in very good condition.  Prices were rising at extraordinary rates.  Interest rates were low, so these properties were still affordable even at higher prices.  Lots of people were selling and lots of people were buying.  Many people were skeptical about this boom in prices, referring to it as a bubble and asking when it would burst.  Indeed, it did burst.  Prices began to come down. While prices were coming down, many people were reluctant to believe that values were coming down as well.  What used to be an appreciating product in most markets was now a depreciating product in most markets.  Real estate was losing value almost at the rate that an automobile would lose value. The slow acknowledgment of this changed m... 06/19/2010

Agency?  I Just Want to Buy a House Real estate agents know the importance and the benefits of agency to any given buyer. However, when the topic is brought up to a potential buyer, frequently, their eyes glaze over and they wonder why the agent is talking about this seemingly unrelated topic. After all, they just want to buy a house, not have a class on the laws of agency. But if they understand that one, their interests can be represented when they have an agency agreement and, two, that they can potentially save thousands of dollars by having an agent represent them, then their ears may perk up. Here are some differences between being represented and not being represented Seller Agency This is where the agent represents the seller and not the buyer.  They can still work with the buye... 06/17/2010

Growing The Right Things In An Economy The growth of an economy can be measured.  In fact, many things in an economy can be measured and they are. However, what is critical is that we understand what the measures mean.  For instance, some economic growth may not be good, because it may be related to a negative element of our society. If crime in society increases, then so might police forces.  The more criminals that are caught, the more detention centers that may be needed, which may lead to economic growth related to the construction of jails. If more violent crime exists, then more hospital emergency care is needed. If more arson, or fire related to un-maintained buildings occurs, then there is a higher need for firefighters and fire fighting equipment. If more urban sprawl takes pla... 06/11/2010

Greater Baltimore: Job Growth Looks Strong A strong real estate market is fueled by a strong and growing economy, with many job opportunities. A survey of several companies in the Greater Baltimore area indicates that, indeed, the prospects for hiring or maintaining current employment levels are very strong. Some key industries which should experience this excellent job market are construction, durable goods manufacturing, financial services, professional services, education and health services, and hospitality.Important to note, is that this is above the already strong market for government related jobs. This strong job market, in a growing economy, coupled with extremely low interest rates and low home prices should lead to a very good real estate market. Baltimore-area hiring outlook... 06/08/2010

Virtual Renovation Buyers will often buy a house based upon their emotional feel for the property. This is one of the reasons that it is difficult to sell a fixer upper type of property to a regular buyer, as compared to an investor. There are renovation loans available such as the FHA 203k for rundown properties.  Additionally, even after the renovations are done, the price can be lower than buying a home which is already in good condition. But for so many buyers, the emotion never hits them when they see the house in its dilapidated condition.  They have difficulty imagining the finished product. One thing that has happened for good homes is staging, but not just staging at the actual house but rather staging online or virtual staging. The concept of virtual staging can be expanded, s... 06/03/2010

$2500 Per Year For TEN Years What is this incredible offer? I am talking about $2500 per year for ten years. Actually, this amount may vary; it could be more or it could be less. Additionally, it will probably last for more than ten years. How do I determine my eligibility? Do you qualify to get a mortgage? If so then you are a candidate for this special offer. Just give me a call and I can put you in touch with a reputable lender to determine your abilty to qualify for a mortgage and for how much.  There is no cost for you to perform this easy step. Who pays for this program? This offer is courtesy of your government. No, this is not the same as the now expired tax credit, which received so much publicity. In fact, this offer has been available for some time now, but has not been recei... 06/02/2010