1. Ask our
real
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QuestIon:
eSTaTe
yournewspaper.com/realestate tuesday, Feb. 7, 2012 | contact: (123) 456-7890
$20,194
Average sales price added to a home when solar pan-
els are installed.
Source: National Bureau of economic research
What would happen to
the initial FHA lump-
A ‘Super’ StArt
sum mortgage insur-
ance premium I paid at
closing if I refinance my
FHA mortgage to a con-
ventional loan? Will I get
back the money I paid
WIth A Super BoWL Ad And An AttrActIve Buyer’S mArket, reAL eStAte mAkeS ItS BIg puSh
up front?
answer:
Long ago it might have
been possible to get a par-
tial refund because the FHA
program was regarded as a
“mutual” insurance plan, and
borrowers were essentially
program shareholders. The
system changed in 2004, and
the ability to get back pre-
mium money has generally
disappeared.
There is an exception if
you refinance one FHA
mortgage with a replace-
ment FHA loan. According
to HUD: “for FHA-insured
Images courtesy century 21
loans endorsed on or after
Dec. 8, 2004, no refund is
due the homeowner unless
they refinanced to a new real estate mogul Donald trump,
NFL Hall of Famer Deion Sanders
FHA-insured loan, and no and olympic champion speed
refund is due these home- skater Apollo ohno starred in
century 21’s Super Bowl ad.
owners after the third year
of insurance.”
So, yes, it’s possible to get by marIlyn Kennedy melIa areas,” says Philip White, president and reports that its ranks of agent members
a refund but only if you cTW FeaTureS COO of Sotheby’s International Realty has shrunk to 1,009,940 from a peak of
quickly refinance within the Affiliates. 1,357,732 in 2006.
FHA program. For specifics, What can kick the doldrums out of That shrinkage isn’t all bad, contends
speak with a lender or call this housing market? It taKes 2 Budge Huskey, president and chief oper-
HUD at 800.697.6967. So far, lower interest rates and prices The Century 21 Super Bowl commer- ating officer of Coldwell Banker Real
haven’t done the trick. cial features real estate titan Donald Estate. The agents remaining “are com-
QuestIon: How about an upbeat message featur- Trump, NFL Hall of Famer Deion mitted to the industry and profession,”
We’re thinking of install- ing celebrities buying and selling homes Sanders, and Olympic speed skater he says. “They see this as a career not as
ing solar power. Does solar with the help of competent agents? Apollo Ohno involved in both buying a way to make money easily part-time.”
help sell homes? What about With its first ever Super-Bowl televi- and selling homes. The number of realty offices and
transferring a contract with sion commercial aired Feb. 5, Century But it’s sellers who most need a firms also has shrunk with many merg-
a solar company to new 21 Real Estate is betting that a bold, pos- nudge, believes Randall Sakamoto, exec- ers during the downturn. The remaining
owners? itive message will help the 2012 home- utive vice president at Rosen Consulting firms are more efficient, contends White.
answer: buying season get off to a good start, as Group, a Berkeley, Calif., real estate con- “Whenever you roll in another company
You can install a solar sys- well as laud their agent force. sulting firm. or a top sales team from another compa-
tem or you might elect to “According to the University of ny into your organization, it doesn’t
have a utility do the installa- tHe bIg pusH Michigan Survey of Consumers, nearly impact fixed costs that much, but if any-
tion and then pay a monthly Super Bowl Sunday is a prominent three-fourths of respondents think now thing it makes the company more profit-
fee. As to transfer rights, date in the realty world, since it’s con- is a good time to buy a house,” Sakamoto able and able to provide the consumer
that’s something to get in sidered the beginning of the busy spring notes. “Sellers have a much more nega- more services,” he believes.
writing if you work with a buying season. tive outlook, and this is helping to keep
utility. The National Association of Realtors the housing market in a depressed state. Forward tHInKIng
A 2011 study by the forecasts 4.45 million existing home Many of these households believe that Agents who thrive “are able to see
Ernest Orlando Lawrence sales in 2012, up from 4.25 million last further price declines are coming as what conditions are not only now, but
Berkeley National year. Traditionally, spring sales set the they hear about the low reported values where they are headed,” adds Margaret
Laboratory found “strong tone for the year. of foreclosures and short sales in their Kelly, CEO of RE/MAX International.
evidence” that California Strong job growth is crucial to the neighborhood. Once seller sentiment “I can name you dozens of agents
homes with solar power becomes more positive and in line with who used to [deal in] luxury properties
real estate recovery, notes Celia Chen, a
sold for higher prices than
housing economist at Moodys.com. But buyer sentiment, home sales should and now are experts in short sales and
comparable non-solar
the spring start does have psychological increase.” distressed sales,” Kelly says. Next on the
homes. The typical price dif-
impact. “A weak spring selling season horizon, she predicts, will be a demand
ference was about $17,000.
could weaken confidence about the survIval oF tHe FIttest for rental management services from the
Whether solar will pay off
in terms of resale value is a direction of the housing market and The Century 21 spot lauds its agents many investors who are purchasing
complex question and thus cause potential homebuyers to as being “smarter, bolder, faster.” properties.
depends on such issues as hold back on their purchases,” Chen “One of our primary objectives with As for now, all eyes are on the mood
location, system efficiency, observes. this ad was to put our agents front and of this crucial spring season and wheth-
cost, monthly savings and Fortunately, Mother Nature has pro- center,” observes Bev Thorne, chief mar- er a strong start will have a snowball
local market conditions. vided its own spur to the year: “With the keting officer for Century 21. effect. “That would be fun to watch and
Already, however, FHA ener- winter weather being mild, January Indeed, it hasn’t been easy to be an see happen,” says Thorne.
gy-efficient mortgages are transactions will be healthier in many agent through this downturn. The NAR © ctw Features
available that allow home
buyers to borrow more
because of expected utility
savings – and better mort-
gage financing always is a
plus for sellers.
© ctw Features
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