Archive for April, 2008
It’s Still a Numbers Game
April 14th, 2008 categories: Real Estate News, Relocating
Now that the Masters golf tournament is over for another year, the Spring house hunting season has officially begun.
Each year, about mid-April, the Northern Virginia housing market begins to heat up. For those planning a reassignment or relocation to the area, late April to mid-June is when the buyers come to town in droves. These days, it appears to be the ideal time for that Spring house hunting trip. With temperatures in the 60s & 70s, blue skies & a comforting breeze, the conditions make it less of a chore and more an invition to enjoy the natural experience of the journey. And, today’s local paper, the Free Lance Star made the thought of buying more inticing for many. While the front page headline “HOUSING PRICES IN TWO-YEAR DIVE”, wasn’t telling us anything we didn’t already know, the account made a number of valid points.
John McClain, the deputy director of George Mason University’s Center for Regional Analysis, whose has closely studied housing trends in the Washinton Metro area since the mid 1970s, says the market’s advance until 2004 was a reaction to years of price stagnation and increases in job and wage growth. Additionally, McClain contends, as do many other market experts, that “irrational exuberance”, coupled with:
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Low interest rates
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Lax lending standards
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The expectation of many homebuyers for a substantial return on their investment
resulted in an economic or housing bubble, that was doomed to burst sooner or later.
According to GMU, 10-12 percent of the total listings in Stafford and Spotsylvania counties are short sales or foreclosures. The building boom, coupled with the high rate of foreclosures and short sales have resulted in a home inventory that is extremely high, the perfect storm for home buyers. Will these conditions last long? It may be difficult to predict the future of the home market, or the overall economy. But, one thing is certain, it took years of bad credit, bad loans, and bad decisions to get us into this mess. There’s no reason to think that the journey to clearer skies for the housing market won’t take just as long. For any home buyer, that’s a deal too good to be true!
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Hitting the “Sweet Spot” for Home Buyers
April 6th, 2008 categories: Market Trends
During my teenage years, when I first began to have an interest in the stock market, the book about investing recommended to me at the time was Benjamin Graham’s, The Intelligent Investor. It has been described by many of the most successful traders on Wall Street, as the “best book on investing ever written.” Graham saw a distinct difference between speculation and investing. Investments were defined by Graham as those which “upon thorough analysis, promises safety of principal and a satisfactory return.” He considered those not meeting this criteria as speculative.
These investments should be based on the financial condition of the companies. Graham believed that when a company was available at a discount to its intrinsic or actual value, a “margin of safety” existed that made it a promising investment. Many of us have heard that simple investing advice of “Buy low, Sell high”. Well, that’s exactly the point of Graham’s valuation method.
As we’ve watched the mortgage mess unfold during the past couple of years, more than a few interested friends and associates have asked, “So, do you think it’s a good time to buy a home?” While none of us can predict the future, as we look at the current market, depressed home prices, the huge inventory of homes for sale, and extremely low interest rates, this Spring may be the an ideal time to make that value investment by purchasing a property.
In attempting to value a property, there are a number of factors to consider.
These include:
- Square footage
- Number of bedrooms and bathrooms
- Location
- Includes lot features , proximity to schools, commuting options, and shopping
- Condition of the property
- Home faetures
- Current home inventory
One of the most obvious ways to get an accurate valuation of a home is by contacting a real estate agent. Not only does the agent have an understanding of the local market, but they can also provide the prospective buyer with a Comparable Market Analysis (CMA), which is an accurate current record of comparable homes similar to the subject home that have sold recently, or within the preceeding six months. Generally, the CMA will also include homes that are active, are currently under contract, and those that have been withdrawn from the market during that time period. However, it should be remembered that the “Sold” homes are the ones you’re looking for. These are the only homes on the CMA that indicate the value someone was willing to pay. For those interested in determining where the bargains are in the home market, there are no shortage of resources. Other resources available to determine home values include online resources like HomePrice.net, Zillow, Comparablemarketanalysis, among others.
In attempting to make an informed decision about the home or property your investing in, it’s always wise to do the necessary research to ensure you’re getting the most value for your money. Today’s housing market is a very good one for the buyer or investor looking for a good value. As it is in baseball, golf or tennis, there’s nothing like hitting that sweet spot when executing the swing properly. But that perfect execution depends on proper preparation, set up, and timing. In today’s market, timing is the buyer’s luxury. With today’s market conditions, mortgage rates, and inventory of homes, you’d be hard pressed to find a more intelligent investment than a home that’s for sale.
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Iwo Jima and Beyond!
April 2nd, 2008 categories: Military Installations
From Interstate 95, about thirty five miles South of Washington D.C., as you’re heading north, you can see off to your right, what looks like a large extension of a building pointing to the heavens, at close to a 45 degree angle. For those unfamiliar with the Quantico area, what you are looking at is the uppermost part of this nation’s National Museum of the Marine Corps.
While its’ design structure might seem unusual to some, the pattern is actually an abstract model of the flag raising at Iwo Jima, which was used for the USMC War Memorial located just outside of Washington D.C., in Arlington, VA. 
As our nation’s newest National Museum’s honoring our military heritage, the hall’s exhibits include:
- Leatherneck Gallery
- Making Marines
- Legacy Walk
- World War II
- Korean War
- Vietnam
- Global War on Terrorism
- Combat Art
- Temporary Exhibits
- Iconic Artifacts
While each of the exhibits will interest you, and probably surprise many whose closest exposure to military life is watching the latest war movie, the “Making Marines” exhibit is a must see. While you’re trip through Marine boot camp won’t have you reciting the Marine Corps Rilfeman’s Creed , it will certainly give you an appreciation of what it takes to be a Marine.
For those interested, there are volunteer opportunities available that you won’t find at other National Museums. These include, among others, functioning as a greeter to those visting the Museum, assisting with interactive exhibits, or simply providing customer service to visitors. These and other openings are available for those who desire a bit more involvement than just a visit.
A visit to the National Museum of the Marine Corps is a great way to spend a day (or two or three – there’s lots to absorb!) with family or friends. It’s easy to get to and a can’t miss with its blend of architectural beauty, history, and a an account of those whose sacrifice make our liberty possible. So, next time you want to get away for a day or two or just an afternoon, stop by and see a piece of history you won’t soon forget.
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Something New In Old Town
April 1st, 2008 categories: Real Estate News
One of the attractions of Fredericksburg, Virginia, is a part of town called “Old Town“. Like the title implies, it is the historic district or area of the city whose roots go back to colonial days. For many visiting this historic city, Old Town is a must see. These days, those old streets are dotted with stores, coffee shops, brick walkways, and tree lined neighborhoods. Many vistors spend weekends relaxing and simply enjoying the casual atmosphere. In addition to the many shopping attractions, the local neighborhoods include homes built in the late 1800s, many of those having been restored to like new condition.
But for many of these visitors, and potential homeowners, while they love the stroll down these historic streets, historic or dated is not what they’re looking for in their next home. So, what is one to do if they want to be close to everything in Old Town Fredericksburg yet desire something newer for a home? The answer is may be quite simple. If you don’t mind the condominium lifestyle, Cobblestone Square condominiums in downtown Fredericksburg may be just what you’re looking for.
This new development is a joint effort by national homebuilder K. Hovnanian Homes and the local Garrett Development 
Corporation. Available floor plans include one and two bedroom units ranging from 600 to 1500 square feet. The amenities include, among other things, private parking (always at a premium in Old Town), a fully equipped Fitness Center, and a community clubhouse and pool.
If, like many, you’re new job has you bound for the Northern Virginia area, you might want to take a look at all that Fredericksburg has to offer before settling on where you might want to live. This historic city has much to offer, both old and new. The many restaurants, bits of history, and assorted stores will give you planty to see and enjoy. But, when it’s time to go home and relax, you might want to consider the new place in town, just down the street, the Cobblestone Square Condomininiums.
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