Barbara's Blog

I’m very excited to share the news I learned last week at Jeff Otteau’s Real Estate Workshop.  If you’re not familiar with Jeff, he is renowned for being the most eminent authority on New Jersey Real estate trends.  His appraisal group has been studying the New Jersey real estate market for 30 years. 

 According to Jeff, Maplewood/South Orange Home Sales and other areas of New Jersey stabilized this past June, which more than likely means we’ve finally hit the bottom!  It looks like we’re in a recovery market right now. If you’ve been thinking of purchasing a New Jersey Home or selling your existing Maplewood or South Orange Home and buying a bigger house, you have about a six-month window to purchase at a great price with excellent interest rates.   

 As we all know, the government has been falsely keeping the interest rates down – but this can only continue for so long.   By next year, rates will be up about a point.  And while "one percent" doesn't sound like a lot, it translates to a buyer losing 10% of their purchasing power!  So the $500,000 home you can afford today will translate to only 450k affordability next year.  By 2011, we’ll probably be seeing interest rates escalate up to 7%. 

 Jeff predicted last week that the First Time Home Buyer Tax Credit set to expire would be extended.  Well, he was right.  The Obama Administration announced on October 29^th that the credit would be extended until April 30^th with an expansion to include higher-income and current home owners.  The new plan will offer a $6,500 credit to people who have lived in their current homes for at least 5 years.  Couples earning up to $225,000 and individuals up to $125,000 would qualify for the break.  That’s up from the current $75,000 for individuals and $150,000 for couples.  We’ll probably see a surge in the upcoming Spring market as more people feel confident buying and the interest rates stay down.

So, if you’re looking for a Maplewood Home or South Orange Home, do it now and with confidence!

Are You Looking For A Midcentury Home Within A 30 minute Commute Of Manhattan? 

Look no further than South Orange New Jersey Homes.  The Newstead section of South Orange offers a wide selection of midcentury houses.  This style of  home has made a huge comeback within the last 10 years as people move towards the desire for an easier life style.  The one level, open floor plan of these homes offer just that, and are becoming hugely popular.  These homes offer great flow and abundant space; great for entertaining.  I have a new listing in the Newstead section of South Orange that is perfect for the person looking for a Midcentury home.  This sprawling custom brick contemporary home offers 4 bedrooms, 3.1 baths, nestled amongst mature landscaping with a custom inground pool and spacious patio.  An additional In-law suite with a full bath is located in a separate wing on the opposite side of the house.  This home is a true entertainer's dream home, offering value, space and privacy.  

More more information on South Orange Real Estate in New Jersey and Midcentury Homes, contact Barbara Lawrence or visit www.maplewood-realestate.com.

Looking To Buy A Home In Essex County New Jersey?

“The Housing Crisis Is Over”, according to The Wall Street Journal this month! Finally, we have some positive news about the real estate market. While some parts of New Jersey have seen as much as a 30% decline since the spring of ’05, I’m happy to report that the Essex Country rail towns of Maplewood, South Orange, Millburn/Short Hills Montclair, Glenridge and parts of West Orange have only experienced about a 10% reduction, due in large part to train accessibility into Manhattan.

What's The Mood Of Buyer's Right Now? We’ve seen a lot of hesitation over the past year, with many Buyers waiting for the market to bottom out, particularly those who don’t have to buy – first time home buyers. Hopefully this news will boost their confidence. The irony is that now really is a great time to purchase a home. We have not seen both price and interest rate combination this low in many years.

How's The Essex County Spring Market Doing? There’s a dichotomy in the market right now. We have a lot of inventory accumulated from Sellers holding on to old prices. As a result there’s more competition between homes. That being said, we’re still seeing multiple bids in some areas, especially Montclair, Millburn/Short Hills and Maplewood Real Estate. Areas in West Orange that don’t have easy Midtown direct access into Manhattan are taking longer to sell, however the Gregory and St. Cloud sections offering Jitney service to the Midtown Direct train line are more desirable, and thus selling faster.

Sellers Are More Realistic In Their Pricing Right Now. This explains why some homes are selling right away and others are lingering on the market. Homes that are priced right and show well are selling within one month, the average number of days on market for Maplewood, South Orange, Montclair, Millburn and Short Hills' homes. Houses that are priced attractively and are upgraded are selling faster than the ones in need of work. While this has always been true, a few years ago, everything sold quickly, whether it was in need of repair or not.  While the well priced homes may be selling faster, it still is a Buyers' market and they're very much in control. We’re seeing that control exercised frequently in home inspection issues. Buyers are asking sellers to address more home inspection items now, and often sellers are giving in, hoping to keep the sale going.  Most Sellers now understand more than ever the importance of standing out amongst the competition, and are paying more attention to home repairs, staging and upgrades before they put their homes on the market. When I bought my house in ’02, there were 12 offers on it and a hole in the garage roof! We never asked for it to be repaired because it seemed minor. Today the seller, would in all likelihood be repairing that hole or offering a credit.

Have We Reached The Bottom Yet?   With homes now priced more in line with current values, the inventory will start to recede. For all you Buyers out there still sitting on the fence don’t wait any longer. And for the ones who are ready to buy, congratulations, you’re purchasing in one of the best Buying markets in our history! 

Selling Your New Jersey Home?   See what homes have recently sold for in Essex County New Jersey Rail Towns.