Because of you… We are still the #1 Team at Keller Williams Realty Peachtree Road and now ranked in the Top 50 amongst all Keller Williams Realty agents in the Southeastern Region. Thank you for trusting us to be your real estate agents for life!

We have closed 15 transactions since July 1, 2009! 11 out of those 15 came from your referrals. What an honor!

Through September, we’ve sold over $6 million dollars in real estate. We’re busy but we are never too busy for new clients. As we begin to approach 2010, please don’t keep us a secret!

Your agents for life,
Lesley and Andy

Congrats, Heather and Tim! Heather and Tim were first-time home buyers able to take advantage of these historically low interest rates and the $8,000 first-time home buyer tax credit. What a fantastic time to buy! They got an exceptional deal on a home in Concord Hall (desirable swim/tennis community) in Alpharetta! Don’t try and time the bottom of the real estate market – because no one can time it! And, don’t keep wasting money on rent. Take advantage of low rates and the first-time home buyer tax credit like Tim and Heather! The time to buy is NOW!

As if first time homebuyers needed another reason to buy a home besides historically low interest rates, depressed home values, and escalated inventories, the federal government has sweetened the deal.  Currently under the American Recovery and Reinvestment Act of 2009, qualifying taxpayers who purchase a home before Dec. 1 receive up to $8,000, or $4,000 for married individuals filing separately.  Buyers can claim the credit either on their taxes or in some cases apply it directly at closing.

Here’s how it works:

* The $8000 Tax Credit CAN be used toward additional down payment (above the 3.5% required by FHA), closing costs and prepaids in any situation.

* The $8000 Tax Credit CAN be applied by amending the 2008 tax returns for a 2009 purchase.  The refund will have to be processed and then returned to the customer to be applied for down payment.  See www.irs.gov/newsroom/article/0,,id=205416,00.html

* The $8000 Tax Credit CAN be applied to the required minimum investment of 3.5% down payment if the credit is delivered through a Government – FHA Approved Non-profit.  Since HUD is not overseeing the process of repayment, no non-profits to date have agreed to advance the money as they are unsure how they will be able to guarantee their re-payment.  A list of FHA non-profits has been attached for your review here.

NOTE: PLEASE be very cautious with the companies that are claiming to monetize the tax return as there are several companies offering this service at exorbitant rates.  Make sure you talk with your lender before you become a potential victim of fraud.

With the opportunities available to today’s first time homebuyer, it is important that you have a real estate agent who’s on your side.  You need an agent that will help you make the best investment for your future while meeting your short and long term needs and goals.  Andy and Lesley Peters with The Peters Company at Keller Williams Realty are proud to represent buyers in the metro Atlanta including Downtown Atlanta, Midtown Atlanta, Brookwood, Buckhead, Brookhaven, Decatur, Sandy Springs, Chamblee, Dunwoody, Norcross, Smyrna, Kennesaw, Marietta, Roswell, Alpharetta, Cumming, Duluth, as well as other surrounding metro Atlanta areas.  As homeowners and agents, we have lived and worked inside and outside the perimeter, and we appreciate the benefits of both locations.  For more information about The Peters Company, visit our website at www.thepeterscompany.com. You’ll also find us on Kudzu.com under “The Peters Company” where we have received well over 40 5-star reviews and are ranked as Atlanta’s highest rated real estate team. Give us a call today at 770-634-2782. Whether buying or selling, it would be our pleasure to help you maximize your opportunity and take advantage of this real estate market!

One of the joys of our job is to help our clients achieve their goals and through that process become good friends.  We have accomplished that yet again with Berkley and Lee.  Having first met with them in October of 2008, we decided in February to eventually rent their current Norcross townhome and help them find a “deal” on a larger Norcross single family home now.  While these results are not typical, we were able to secure them a deal alright at 83% sales/original list price.  Buyers are holding a lot of cards right now, but this was truly a diamond in the rough.  We closed on their new home on Thursday, and coincidentally we closed on the rental of their townhome on Friday.  We are so appreciative of the opportunity that Berkley and Lee gave us.  It was a real pleasure working with them, and best of all we made new friends in the process.

If you have been thinking about taking advantage of this market and need another opinion, we would be more than happy to invest an hour with you to determine your best move.  There are so many options out there for today’s Atlanta homeowner.  You can always reach us through the website at www.thepeterscompany.com.  We look forward to working with you!

The buyers are out in full bloom already, braving this flood weather we have experienced recently in Atlanta.  We’re working with homebuyers in Norcross, Alpharetta, Roswell, Sandy Springs, Brookhaven, Buckhead, and Decatur.  Rain can’t keep people away, and it’s just wonderful to see the pickup a little earlier than expected.  Atlanta home sales are on the move.  Our phone continues to ring daily with new homebuyers ready to take advantage of the market.  With the new buyers also come new listings.  In the past week we have added three new single family listings in Decatur, Sandy Springs, and Buckhead.  You’ll note those listings on our blog.  Week after next we will be adding a foreclosure listing in the well known Park Place condominium building of Buckhead. 

Remember that it’s only a buyer’s market if you’re buying.  If you are a seller, think like a buyer.  If you are interested in learning more about our metro Atlanta market and perhaps how you can take advantage of it, we would love to spend an hour with you over lunch, coffee, or at your home.  We have some wonderful statistics, tips, and tricks for ensuring that your next move is a great move.  If you are an intown Atlanta homebuyer, we would like to meet with you, and if you are an Atlanta first time homebuyer we definitely want to meet with you!  This is an amazing market for you first timers!  All the best. -Andy & Lesley

Courtesy of WSJ, by way of Freddie Mac

We get that question about a handful of times every week.  Just like the real estate market, the answer is rather pat.  We won’t know until things start going up when we have hit the bottom.  The bottom will be in our rear view mirror by the time we figure it out.  Back to the mortgage market.  It’s hard to imagine things dropping further as it relates to rates.  We are already in unchartered territories considering we are at all time lows.  Current 30-year averaged rates sit at 4.85%, the lowest point figure ever recorded since Freddie Mac started recording in 1971.  You can take a look at the chart above for an indication of how far we’ve come in the last year. 

Everyone is trying to “time” the market, whether its in real estate, in mortgage rates, the stock market, etc.  It’s impossible to time the market.  Like playing with fire, sooner or later you are going to get burned.  A recent Reuters report reveals some interesting insight from one of the mortgage insiders, John Koskinen, the head of Freddie Mac.  Koskinen ”said on Friday that U.S. home loan rates are near their bottom and any further decreases will be small.”

So, the moral of the story here is that you don’t want to let the bottom pass you by.  It’s a great time to buy real estate.  It’s a great time to refinance if it’s financially feasible for you to do so.  We are lower than low at this moment.  Rates are lower than they have been in over 37 years.  It’s been said that a roughly 1% rise in your interest rate is comparable to paying 10% more for your home.  It’s hard to imagine a better position to be in.  If we can help you take advantage of this market, we would love to help.  www.thepeterscompany.com

We are blessed to intimately know many diverse areas of Atlanta, including inside the perimeter from Downtown north and the outer arc of DeKalb, North Fulton, and Gwinnett Counties. There is perhaps no market we know better than the Buckhead/Brookhaven market. Lesley and I have been fortunate to help buyers and sellers here for years. We have fortunately seen the rise, and unfortunately we have seen the fall. Isn’t that the case everywhere, and won’t it always be the case? The answer is certainly yes, and while the popularity of intown Atlanta’s Brookhaven sustained and sheltered property values for an extended amount of time, it has, like all the other areas, given way to the market. Having shown property in Brookhaven quite a bit recently, there are areas which were historically high flyers that are now prime for the picking for the first time homebuyer again. Ashford Park, the babydoll on the eastside of Brookhaven, has some unbelievable deals right now. As of today, there are 100 active listings in Ashford Park, and I don’t think I’m going out on a limb here by saying that you can get what you want for the price you want. New construction infill became “the way” of the neighborhood several years ago, and now that the market has softened there are some amazing new homes available at a mere fraction of their original list prices. Drew Valley, which is the across the street neighbor to Ashford Park, has even better values. For years Brookhaven home values grew in double digits to the point that prices really grew out of the first time homebuyer’s wheelhouse price range. With values being down 10% or more over last year, the first time homebuyer is coming back to the area! Personally, I think that’s a great thing. The first time homebuyer brings a lot of energy into the community. They renovate houses. They spend money. They make the area better. What goes up must come down, and that has been the case with the real estate market time and time again, but buying real estate in desirable areas like Brookhaven never goes out of style.

First time homebuyers, you already know this, but I would be remiss if I didn’t mention it time and time again. The goverment is giving away $8,000 in tax credit through December 1st of this year. There are special stipulations so contact us for details. In addition, these are the lowest interst rates on record in over 30 years, and a glut of inventory gives you the pick of the litter. Smart buying decisions right now will translate into money in your pocket in the future. For more information on the Buckhead/Brookhaven area or if we can help you in any of the other areas of Atlanta, please contact us via email at andy@thepeterscompany.com or via the “contact us” page on our website. We would love to help you maximize your opportunity in this market.

Having attended at least one listing appointment per week for the last several months, we have had to share our fair share of bad news.  In fact, we talk more people out of selling than into selling.  That’s the truth.  As we have said before, we are in the market of selling homes, not listing homes.  If we take a listing it is because we think we can sell it.  This is not the market to get what you want for your house, and it’s really not, in some cases, the market to get what you need.  If I can paint with a broad brush here, I don’t think I’m going out on a limb by saying that inventories remain high and homeowners remain frustrated. 

There is some positive though.  This strange market we are in has created a counter culture for the rental market for the landlord and the tenant.  It has become harder and harder to secure financing thanks to the tightening credit market so more and more renters are looking to take advantage of the market not by buying, but by renting.  What does that mean? 

Many homeowners find themselves upside down on their mortgage or simply refusing to take a large loss by selling their home.  So, what’s a homeowner to do?  Rent it baby!  As in the resale market, a well priced rental home rents fast.  It’s really a great time for the tenant too because they are, in many cases, able to rent a home/townhome/condo at a discount versus the traditional apartment complex.  It’s a win-win for everybody because these new opportunities for tenants allow the landlord homeowner to move on and accomplish goals as well, such as moving up, down, or out of town. 

We have been fortunate to work with some smart couples recently that did not let the market scare them.  In fact, they are rolling with the punches and maximizing their opportunity.  Two couples in particular have already bought or are under contract to buy their “move up” home while renting their current condo/townhome.  This window of opportunity to buy in a perfect storm of high inventory, depressed home values, and historically low interest rates will not last forever.  The smart buyer understands the economics of this decision beyond the initial sticker shock of two mortgages.  A break even on a rental, or even a slight negative cash flow, can pay massive dividends when coupled with a purchase in these times.  As said before, money can be made in an “up” market, but a whole heck of a lot more can be made in a “down” market. 

If you want to move, but you feel stuck or out of options, let’s talk.  We have some great ideas, and we will be happy to discuss the options available to you with no obligation to buy whatsoever.  We aren’t here to talk you in to anything.  We don’t operate like that.  In fact, I think our clients would agree that we are fairly conservative on the risk front.  Regardless, we have relevant statistics and ideas to share with you, and we want all of our clients to make the decisions that are best for them and consistent with their long term goals.

One of the easiest ways to achieve success is to always surround yourself with good people.  In business, I’ve always found a way to build a strong network team of professionals that I know and trust.  These pros provide me with wise counsel, add value to what I do, and just as importantly, provide my clients’ with the same level of service and knowledge that I strive to give.  One of those professionals on our team is Brad Trussell, an All State Exclusive Insurance Agent.  Brad happens to be our personal insurance agent, and Lesley and I appreciate his willingness to consult with us and our clients on the differences, pitfalls, and benefits of insurance coverage.  I have asked Brad to contribute periodically to our blog.  My goal is to provide relevant information across the board for the homebuying consumer.  I hope you find the information helpful.  This particular article by Brad is about the importance of getting your homeowner’s insurance right.  Many thanks to Brad for his valuable insight.

Insurance Tidbits:  Why does Homeowner’s Insurance get short sided?

by Brad Trussell, All State Exclusive Agent (bradtrussell@allstate.com)

When is the last time that you turned on the TV and saw a commercial about Homeowner’s insurance?  Auto insurance gets all the press in the commercials you see on TV, and while it does carry the most potential exposure liability, what is the biggest and most valuable asset that you own?

The most common mistake seen in the homeowner’s insurance market is a homeowner’s policy that insures the home for the market/sell price.  The reason for this mistake is that when you buy a home, you are buying the home AND the land that the home sits on (also known as “the lot”).  However, there is no homeowner’s insurance policy that provides coverage for the dirt that the home is built upon (your homeowner’s policy will provide liability coverage for incidents that take place on the property, but there is no physical damage coverage).  Therefore, your insurance agent should work with you when writing your homeowner’s policy to ensure that you are not over-insuring your home, or worse yet, under-insuring your home.

Most insurance agents have access to a company provided estimator that uses the characteristics of your home to calculate an appropriate replacement value (cost to re-build your home).  Examples of these characteristics can be: exterior walls (brick, siding, stucco), number of bathrooms, is the home built on a slab, have a crawlspace or basement, among many others.  Another measure in calculating a replacement cost of your home would be to know the “cost per square foot”.  Typically, homes can range from $100/sq. ft. to $180 sq. ft. depending on the size and materials used to build the home.  Once you obtain this square foot value, you simply multiply the cost per square foot by the square footage of your home, but make sure to back out any garage and basement square footage.

If you have any further questions regarding your homeowner’s coverage, then contact your local personal insurance agent or feel free to call my Allstate office at (404) 842-0399.

 Brad Trussell, Allstate Exclusive Agent  3925 Peachtree Road, Suite 150  Atlanta, GA 30319  (404) 842-0399

Everyone is looking for a deal.  Unfortunately that deal sometimes needs some sweat and nails to realize its full potential.  So, how do you do it?  In the past most people bought the home and then financed the renovations.  The problem with that is that it’s typically a construction loan or a general personal loan, which can carry a larger interest rate.  What if you could buy a house and finance the repairs/renovations on the front end before you even start?  You can, and it’s called a 203(k) loan.  The loan follows the common FHA lending guidelines, which allows you to put down as little as 3.5% down.  I think it’s important to start from the source when trying to explain the loan and its benefits.  FHA is a division of HUD so click here for HUD’s specific information on the loan.  Standard FHA loan limits apply at $346,250, which is an increase over last year.  Rates typically for this particular loan are only moderately higher (approximately .50% higher).  Currently FHA purchase loans are around 5% so this rehab loan would fall somewhere in the 5.5% range.  Although higher than a conventional loan in the high 4% range, this is still an amazingly low interest rate, historically speaking.

We recently attended a seminar about the 203(k) sponsored by our friends at Countrywide Home Loans, and they provided us with some great Q & A on the loan.  Countrywide is one of the only lenders utilizing this loan currently.  Here is some great information from Countrywide:

Top 10 203K Questions

1.       What is the difference between a regular 203K and a streamline 203K?

• Streamline – between 5K and 35K with no structural changes to the property
• Regular – greater than 35K and / or structural changes to the property

 2.       Is the borrower allowed to perform the work to the home?

·         Yes but very difficult to get approved.

3.       Is the house appraised “As is” or with work completed?

• The house is appraised taking repairs / rehab into consideration of the value.

 4.       How long do you have to complete the work?

• Up to 6 months.

 5.       It the rate higher on a 203K than a regular FHA loan?

• Yes.  Anywhere from .5% to 1% higher in rates.

 6.       Is it harder to qualify for a 203K than a regular FHA loan?

• Yes. 

 7.       Are the 203K limited to single family residences?

• No.  The program can be used for owner occupied 1 to 4 unit dwellings and condos.

 8.      How does the contractor get paid?

• The contractor gets paid through Countrywide’s escrow department.  They are allowed 2 to 5 draws depending on the cost of the rehab.

 9.       What type of out-of-pocket expenses should the buyer be prepared to pay?

• There is a home inspection or an FHA consultant fee to determine the scope of the work.  The cost varies from $300 to $1,000. 

 10.  How long does it take to close and receive the first draw?

• We need 60 days to close and it will take up to two weeks after closing to receive the first draw

With mounting foreclosures, the savy homebuyer can buy lower than low, rehab a house, and realize some major equity all within a single loan.  We would be happy to help you find that diamond in the rough so you too could take advantage of the market and all the possibilities it presents.  If you have additional questions about the 203(k) loan or any other loans, we encourage you to talk with Scott Meldrum at Countrywide Home Loans.  Scott can be reached at scott_meldrum@countrywide.com.