WASHINGTON - Congress has sent President Barack Obama a plan to give homebuyers an extra three months to finish qualifying for federal tax incentives that boosted home sales this spring.

The legislation would give buyers until Sept. 30 to complete their purchases and qualify for tax credits of up to $8,000. Under the current terms, buyers had until April 30 to get a signed sales contract and until June 30 to complete the sale.

The bill only allows people who already have signed contracts to finish at the later date.

The House approved the measure on Tuesday.

Legislation in the Senate, sponsored by Majority Leader Harry Reid, was approved Wednesday night by unanimous consent.

Winchester Homes New Williamsport Model

Winchester Homes St. Andrews model

I just came across this interesting article about the resurgence of ranch style homes. It especially timely since Winchester Homes just released the new Williamsport ranch style home. The new Williamsport offers around 2400 finished square feet of single level living. Of course you can add additional space be it a finished basement or a custom second floor through their unique "Your Home. Your Way." custom design program.

Winchester Homes has offered the very successful St. Andrews ranch style for many years but created the Williamsport in response to the many requests for a smaller ranch that could be customized to satisfy varied lifestyle needs.

As you will read in the article below, there are many reasons why someone may desire a ranch style home. With the Williamsport or St. Andrews and "Your Home Your Way", Winchester Homes can meet your unique needs and/or desires.

Visit www.winchesterhomes.com to see locations In Maryland and Virginia offering these great ranch style homes.


Back to the ranch; Single-story homes regain popularity among baby boomers, young families

Jim Weiker, THE COLUMBUS DISPATCH

From tract-house rambler to Palm Springs pizazz, ranch homes were a fixture of the 1950s and '60s.

But by the 1970s, the ranch had lost its luster, giving way to split-levels and, finally, a return to two-story homes.

The single-story home was relegated to niche player -- a modest starter home for first-time buyers or a comfort option for empty nesters.

But the family ranch is making a return, especially in the Midwest, as baby boomers seek a floor plan that suits their age, and young families enjoy the homes' open and airy designs.

"They are definitely becoming more popular," said Linda Parsons, a saleswoman with custom homebuilder Romanelli & Hughes. "People like the open feel of a ranch."

During the 1950s, ranches accounted for almost 90 percent of new U.S. homes. That percentage bottomed out at 43 percent in 2006 and has since risen slightly, according to the U.S. Census Bureau.

But in the Midwest, the return of the ranch has been far more dramatic: Single-story new homes jumped from 44 percent in 2003 to 52 percent in 2008, the last year for which figures are available.

Although many of those are patio homes targeted at retirees, the traditional family ranch is slowly reappearing.

During the past few years, several central Ohio homebuilders have introduced three-bedroom family-style ranches boasting more than 2,000 square feet.

At Parsons' suggestion, Romanelli & Hughes built a 2,914-square-foot ranch model at Mansard Estates in Galena in 2008. Since opening the model, Parsons said, five of the 12 homes the company has built in the subdivision and neighboring Walnut Grove Estates have been ranches.

Dominion Homes, central Ohio's second-largest homebuilder, also introduced a family ranch home, the 2,230-square-foot Waltham model, as part of its Tradition collection last year in several central Ohio subdivisions.

And Hallmark Homes, which entered the central Ohio market last year, offers its 2,354-square-foot Westport ranch at its Oak Park community in Dublin.

"Everyone said we need to build a ranch, ranches are what's selling, and I said if that's the case, we'll build it -- and in the first month we offered the design, we sold three of them," said William Hayes, who oversees Oak Park for Hallmark Homes.

Hayes said the company plans to introduce three more ranch models at Oak Park, an atypical number for the New Jersey-based builder.

"In the Midwest, the ranch seems to be enjoying a resurgence," he said. "We don't see that as much in our other markets."

New family ranches share a single-floor plan and three-bedroom design with their 1950s ancestors, but, as Parsons likes to say, "This ain't your mama's ranch."

"Today's ranches feel more open; they have more windows and don't feel so confined," said William Cornely, president and CEO of Dominion Homes.

Layouts get an update, too.

In the newer floor plans, the master suite is separated from the two other bedrooms, as opposed to traditional ranches, which cluster bedrooms in one wing or down one hall.

The most striking difference, though, is the reduction or elimination of formal rooms: The homes group kitchen, living and dining uses into one large living area at the rear of the house.

"The main focal point of the ranch is around entertaining," Hayes said. "The kitchen is the center; everything revolves around (it). Families just don't use that formal space anymore."

In place of a formal living room, ranches often offer a "flex room" off the foyer that can serve as an office, den, formal living room or media room.

Although some contemporary ranch plans offer open dining areas, others dispense with a dining room altogether. Romanelli & Hughes has built smaller versions of its ranch model that replace the dining room with a larger breakfast room off the kitchen which a homeowner can dress up for big holiday meals.

"Who needs a formal dining room anymore?" Parsons asked. "We're very informal now."

Modern ranches also come with 8- or 9-foot-deep basements that can be finished, taking advantage of the homes' large footprints.

As Parsons quipped, "The best part of a ranch? What you get up, you get down."

The large ranch footprint, however, is a prime reason that ranches slipped in popularity. As an industry rule of thumb, two-story homes are 20 percent less expensive to build because the foundation, basement and roof are smaller, and framing costs less.

Such expenses turn a $300,000 two-story home into a $360,000 ranch.

Charles Ruma, president of Virginia Homes, which has offered three or four ranch designs for several years, said many buyers who say they want ranches end up purchasing a two-story home because they can get more space for their money.

But for other buyers, cost is less important than the convenient layout and accessibility as the homeowners get older.

According to a National Association of Home Builders' survey, 52 percent of all buyers prefer a single-story plan to a two-story. The figure skyrockets with older buyers: 79 percent of buyers older than 55 prefer a single story.

The aging population probably will continue to drive the rise in ranches, although the homes might come in a variety of designs.

Westport Homes is working on a ranch design that will feature two master suites, with the idea that empty nesters might use one bedroom for an elderly parent or for guests, said Jack Mautino, president of the Columbus division.

"Baby boomers are aging differently than prior groups," he said. "They're not looking to go live in a community that's 55 and older. They like their independence, their single-family home. They still want to be outside, with the privacy of outdoor living and a garden.

"What I anticipate is we will see more ranches, maybe smaller ones, as people hold onto their homes much longer."

 

Curb Appeal

Recently I came across this great blog from Realtor Virgina Cassidy of Morris County, New Jersey. If you follow her advise you should increase your chances of a quick and more profitable sale of your existing home.

The majority of today’s buyers (over 80%) begin their search for a home on the Internet.  These buyers modify their search by scrolling through the photos available on major websites such as Realtor.com, GSMLS.Com, WSJ.com and Trulia.com.  The first photo available to buyers searching for homes is most often the exterior photo.  Most home buyers will not look at interior home photos if they deem the home unattractive from its exterior picture.  What this means to sellers is they must make an extensive effort to maximize the curb appeal of their home to increase their chances that  buyers will select their home from those available in their price range.

The best way to determine what needs improvement for your home’s curb appeal is to look at the front of your home from several vantage points.  Pay close attention to what the buyer will see as they approach your front door.  What does it look like as you drive by the home?  Many buyers do a drive-by before making an appointment to see the inside. 

The front door and porch or front steps are what buyers notice first.  Make sure the door is freshly painted, the hardware is polished and the door color complements your home.  The front porch and entry way can be dressed up by flanking the door with matching planters.  The planters should be the correct size for the porch.  Ensure that the planters do not impede with walking to the door or entering your home.  A new or freshly cleaned door mat should be placed at the door to welcome buyers to your home.  As a final touch, nothing says “welcome home” like a beautiful front door wreath complementing the colors of your home.

The front yard and planting beds should also be addressed.  Make sure your grass is mowed and all yard debris is removed.  Trim bushes and make sure trees and bushes are not blocking the front of your home.  Buyers should be able to see your home clearly from the street.  Make sure the positive features of your home’s exterior are visible.   Trim work, window moldings and architectural details should be visible to help sell your home. 

Look at your home at night as well as during the day.  Make sure the home has sufficient lighting to the front door.  Many buyers visit homes for sale in the evening.  Polish the light fixtures and replace worn-out bulbs.  Make sure the path to the front door is visible and clear of any obstructions.  Check that stepping stones in your entry path are not tripping hazards.

Finally make sure your front door opens and closes easily.  Your home should give the appearance that it is well-cared for.  Struggling with the lock or needing to use extensive force to push the door open does not give a good first impression of your home.  Buyers establish their impression of a home within the first few minutes.   A beautiful exterior enhances their view of your home and gets buyers ready to be impressed after they walk through your front door.

Before you list your home for sale, speak to a Realtor who understands home staging and curb appeal.   Making the effort to be sure your home shows at its best is worth the trouble. 

Visit Winchester Homes website at www.winchesterhomes.com.


 

I recently came across a great blog by Coral Gundlach of Virgina based Fall Properties.

According to Ms. Gundlach, the residential real estate market all over Northern Virginia is booming. Houses priced right and in good condition are selling fast. Houses that are not priced right and not marketed properly will not enjoy this success.

According to Ms. Gundlach, here are some of the top mistakes you (Your Realtor) can make when selling your house;

Too few, or lousy pictures in the MLS
Good pictures are essential, and lots of them. You can’t take an unprofessional picture with bad light and expect people to want to go see your house/listing. Include details, please: Room dimensions, directions, community information, condo/HOA amenities and inclusions, distances from public transportation, schools, details details details! If there’s a field in the MLS, it needs to be filled out. If you see houses not selling in this hot market now (and yes, there are many in every market that don’t get sold), if it doesn’t have an incurable defect, it’s because they are not being presented properly on-line. Ask your agent to show you the links to your listing and make sure they are not slacking.

Difficult showing instructions
Make it easy for your prospective buyers and their agents. Don’t plan on cooking big meals a lot at night and cozying up for a relaxing evening at home. Live lean, eat out, visit your friends a lot. If you have pets, make it easy for them to leave the house when someone wants to see it, and keep it clean and free of dog/cat odors. Barking dogs in cages, pee pads and stinky litter-boxes really distract a buyer from seeing your home’s best features.

Price it too high
Now in this market with such high demand and low supply, any seller is bound to want to push the limits with asking price. That is perfectly fine, but keep in mind that appraisers are being more conservative than ever, and often come in and shatter transactions with their opinion of value. If you price your house way off the charts high, and get no showings or a bunch of low-ball offers, listen to what the market is telling you. It speaks the truth.

Not staging or recognizing the power of decorating
This is more important than ever, and does not have to break the bank. Clear out your clutter. Donate to Goodwill, call one of the many junk removal places, borrow a friend’s garage, just get it out of your house. Hire a professional stager or a Realtor who will include it with his/her services. Nothing will help sell your house better than great decorating taste and a cozy, happy lifestyle on display.

If all of this seems overwhelming, it’s not if your Realtor does the heavy lifting and guides you through the process. Our Sales Managers at Winchester Homes can help you avoid these mistakes help you find a Realty professional such as Coral Gundlach in your area.

Visit www.winchesterhomes.com or www.camberleyhomes.com to get the latest information and help you find the home of your dreams. Winchester Homes builds new home communities in Maryland and Virgnia. With Winchester Homes "Your Home. Your Way." program, you can design your new home to match the way you live.

Freddie sees mortgage rates hitting 6% in 2010
By Dina ElBoghdady
Washington Post Staff Writer
Saturday, December 26, 2009; A12
http://bit.ly/6nL4YE

After hitting an all-time low in early December, the average rate on a 30-year, fixed-rate mortgage rose to 5.05 percent this week and could climb to 6 percent by the end of 2010, if not sooner, according to giant mortgage financier Freddie Mac.

The results are noteworthy because rates have not topped 5 percent since the last week of October, when they reached 5.03 percent, based on the results of this closely watched survey, which polls lenders during the first three days of every week.

Many firms regularly track interest rates and come up with slightly different numbers because they survey different lenders at different times of the day or week. But several have reported the upward trend in recent weeks. They attribute it in part to the effects of the holiday season, when demand for buying and refinancing homes dies down and financial markets coast through the end of the year.

"However, this is also a glimpse of what we're going to see in 2010," said Greg McBride, a senior financial analyst at Bankrate.com, a personal finance Web site.

The key catalyst for interest rates going forward will be the end of a Federal Reserve program that buys a sizable chunk of mortgage-backed securities issued by firms such as Fannie Mae and Freddie Mac. That program succeeded in immediately pushing mortgage rates well below the 6 percent mark when it was announced last year.

But the Fed has committed to winding down the program by March. The central bank is betting that by gradually tapering its purchases, private buyers of mortgage-backed securities, who have largely been absent from the market, will return and rates won't rise much.

But Amy Crews Cutts, deputy chief economist at Freddie Mac, said interest rates are bound to rise to 6 percent by the end of 2010 because private buyers will demand a higher rate of return on the securities than the Fed did. Lenders may have to raise the rates they charge to consumers in order to make that happen.

"Extraordinary resources have been put into keeping the rates down and supporting the mortgage markets and it's hard to imagine that the rates can go much lower than they are," Crews Cutts said. "Anything we get at or below 5 percent is a gift at this point."

This week's Freddie Mac survey found that the 5.05 percent average on 30-year fixed-rate loans (with an average 0.7 point) was up from 4.94 percent the previous week but down from 5.14 percent at the same time last year. The all-time weekly low since the firm started tracking the numbers in 1971 was in the first week of December, when rates fell to 4.71 percent.

Many borrowers have not been able to secure the best rates because they lack the stellar credit scores and hefty down payments that many lenders now demand. Some who have tried to refinance have not been able to qualify because their home prices have plummeted to the point where they now owe more on their mortgages than their homes are worth.

But anyone who can secure a loan should not wait much longer, especially if they are looking to refinance, McBride said. Homeowners are more sensitive to interest rates when they refinance than when they buy a home.

"The difference between 5 percent and 5.5 percent could mean the difference between refinancing or not," he said.

But the interest rate is less critical to people who want to buy a home, McBride said. In that case, price and affordability should trump interest rates.

The general rule of thumb is that your monthly mortgage payment (property taxes and insurance included) should not exceed 28 percent of gross pay. All your loans combined -- mortgage, car, credit card, student debt -- should not exceed 36 percent.

"Yes, a higher mortgage rate would steal some buying power, but it doesn't price buyers out of the market entirely because 6 percent is still pretty low," McBride said. "If you can't afford the house with rates at 6 percent, you can't afford the house."

 

While we could debate Ms. ElBoghdady's conclusion that new home buyers care less about interest rates then those looking to refinance, the truth is rates have nowhere to go but up. If you are seriously looking for a new home why would you want to take the chance and pay more each month then you could have. Visit www.winchesterhomes.com or www.camberleyhomes.com and see their awesome selection of luxury homes at great prices in the best locations in Maryland and Virginia.

New tax credit may be worth pouncing on

By Kenneth R. Harney
Saturday, November 14, 2009

Take a close, hard look at the new $6,500 federal tax credit for "move up" home buyers that passed the Senate and House last week. Though it's been getting second billing to the original $8,000 credit for first-time purchasers -- now extended by Congress through June 30 -- the $6,500 credit for current homeowners just might have your name on it.

How does it work? When will it be available?

First things first: The new credit is available now. It took effect Nov. 6, the day President Obama signed the legislation. This means that if you fit the key criteria -- you've owned and resided in your current home for a consecutive five out of the past eight years, and your adjusted household income doesn't exceed $125,000 if you file taxes singly, $225,000 if you are married filing jointly -- you can claim the credit as soon as you close on a qualifying home.

That could be next week, next month or next spring. There is no actual move-up requirement in the new credit. In fact, homeowners who plan to downsize may prove to be significant users of the credit, along with people who are relocating because of employment changes.

If you fit the criteria and are considering buying another home sometime in the coming year, you might want to speed up the process and sign a contract by April 30 and close by the June 30 expiration date. Think of it this way: If the government is willing to give you $6,500 to act a little faster than you had originally planned, hey, why not?

Some other key features of the $6,500 credit:

-- Whatever you intend to purchase, the home cannot cost more than $800,000.

-- The replacement home must become your main residence. There is no requirement in the legislation that you sell your current home. You could rent it out, turn it into a second home or list it for sale later in 2010 when prices might be higher. If you plan to retain it, however, make sure you move into the new house on the day you close so that there is no question it was your principal residence at that time.

Visit www.winchesterhomes.com to find out how you can take advantage of the $6,500 credit, whether you are moving up or moving down. Winchester Homes has a great selection of tax credit single family and townhomes in Maryland and Virginia.

 

 Long-term mortgage rates this week hit their lowest level in five weeks.
Charlotte Business Journal - by Jeff Clabaugh Washington Business Journal

Long-term mortgage rates this week hit their lowest level in five weeks.

Freddie Mac says the average rate on a 30-year, fixed-rate mortgage was 4.91 percent in the week ending Nov. 12, down from 4.98 percent the previous week.

Rates on 30-year mortgages have been below 5 percent for five of the last seven weeks.

A year ago, 30-year money averaged 6.14 percent.

The rate on a 15-year fixed-rate mortgage averaged 4.36 percent this week. That’s less than the one-year adjustable rate, which now averages 4.46 percent.

“Mortgage rates eased further over the week, helping to promote an affordable home-purchase market and stimulate refinance,” says Frank Nothaft, chief economist at the Federal Home Loan Mortgage Corp. (NYSE:FRE). “This comes at a time when house price declines are moderating and consumer demand for prime mortgages at commercial banks has picked up.”
 

With Rates this low and the ability to get up to a $8,000 tax credit with a home purchase by April 30Th 2010 why wait?

Winchester Homes has a large selection of homes that qualify for the tax credit. With our Builder Best program you can lock in today's low interest rates for up to one year. Find out how you can build "Your Home. Your Way" with Winchester Homes in Maryland or Virginia.

Visit www.winchesterhomes.com to find out all the details.

 Winchester Homes is proud to have been selected MNCBIA Builder of the Year for the high volume category. The fact that this award is determined by our peers makes it especially rewarding to win. We thank all of the associates of MNCBIA and congratulate others that received awards especially the great team at Elm Street Development. Elm Street is the developer of the very successful Clarksburg Village community of which we are thankful to be a part of.


MARYLAND-NATIONAL CAPITAL BIA PRESENTS 2009 “MEMBER OF THE YEAR” AWARDS


(Silver Spring, MD) – The Maryland-National Capital Building Industry Association (MNCBIA) honored seven of its’ members last night with the 2009 “Builder of the Year”, “Developer of the Year”, “Subcontractor/Supplier of the Year” and “Associate of the Year” awards. The Awards are voted on by MNCBIA’s Builder and Associate members based on criteria including professionalism displayed by the builder or developer and his employees; the quality of work of the builder or developer; and the working relationship between the builder or developer and his subcontractors and suppliers.
 
Winning the Builder of the Year-Small Volume (1-20 units a year) was K&P Builders, Inc. of Bowie, MD. Winning Builder of the Year-Medium volume (21 to 100 units a year) was Rosemark DesignBuild of Laurel, MD. Winning Builder of the Year-Large Volume (101 to 200 units a year) was Miller & Smith Homes of McLean, VA. Taking home the award for Builder of the Year-High Volume (over 200 units a year) was Winchester Homes, Inc. of Bethesda, MD.
 
The Developer of the Year award was presented to Elm Street Development, a development firm headquartered in McLean, VA, focusing on land development throughout Maryland and Virginia.
 
The Subcontractor/Supplier of the Year award went to Eastern Concrete Foundation of Upper Marlboro, MD. And taking home the award for Associate of the Year award was Charles P. Johnson & Associates of Silver Spring, MD.
 

The MNCBIA is a regional organization of 600 building and development companies representing the interests of more than 15,000 employees of the building industry and its affiliated professional and service firms operating in the Maryland counties of Calvert, Charles, Montgomery, Prince George's and St. Mary's and in the city of Washington DC. Online at www.mncbia.org.