Wednesday, June 14, 2006
Retirees get more life for their BUCK in Orangeburg, South Carolina
Comparing the tax burden of different states, families with an annual income of $60,000 will pay, per individual:
$1,518 - South Carolina
$2,434 - Georgia
$3,330 - North Carolina
$3,424 - Florida
In a cost of living comparison, South Carolina real estate market prices are consistently ranked 3% to 10% below the national average. Only in Hilton Head do prices exceed the national average by 3.6%.
As for property taxes (which are soon to be radically changed under new state laws), a $200,000 home is taxed as follows:
$1,275 - Camden (lowest in SC)
$3,032 - Newberry (highest in SC)
$2,000 - SC average
Another advantage for SC retirees is that their social security income is not taxable under state law. Social security income is taxable under federal law in all 50 states.
Communities like Aiken have become hot spots for retirees, particularly the half-backs ("half-way" back to the Northeast after moving to Florida) and horse lovers who are tired of the Florida hurricanes.
REALTORS would do well to market what South Carolina has to market retirees - LOWER TAXES and HIGHER QUALITY OF LIFE. The retiree market (presently dominated by the baby-boomers) is a growing niche market that is not impacted by the ups and downs of the stock market, interest rates, or the overall housing market. Retirees have a positive impact on all markets and the SC economy in general. "Sieze the Day!"
$1,518 - South Carolina
$2,434 - Georgia
$3,330 - North Carolina
$3,424 - Florida
In a cost of living comparison, South Carolina real estate market prices are consistently ranked 3% to 10% below the national average. Only in Hilton Head do prices exceed the national average by 3.6%.
As for property taxes (which are soon to be radically changed under new state laws), a $200,000 home is taxed as follows:
$1,275 - Camden (lowest in SC)
$3,032 - Newberry (highest in SC)
$2,000 - SC average
Another advantage for SC retirees is that their social security income is not taxable under state law. Social security income is taxable under federal law in all 50 states.
Communities like Aiken have become hot spots for retirees, particularly the half-backs ("half-way" back to the Northeast after moving to Florida) and horse lovers who are tired of the Florida hurricanes.
REALTORS would do well to market what South Carolina has to market retirees - LOWER TAXES and HIGHER QUALITY OF LIFE. The retiree market (presently dominated by the baby-boomers) is a growing niche market that is not impacted by the ups and downs of the stock market, interest rates, or the overall housing market. Retirees have a positive impact on all markets and the SC economy in general. "Sieze the Day!"
Friday, June 09, 2006
The Beauty of Orangeburg SC Housing is that we are behind all National curves (good and bad) by about 6 months...
Lereah says home sales are settling to a slower pace
RISMEDIA, June 8, 2006—
The housing boom has ended but sales at historically healthy levels will continue, and price appreciation will return to normal patterns across much of the country, according to the National Association of Realtors(R). David Lereah, NAR's chief economist, said home sales are settling into a slower pace.
"In recent years we were occasionally challenged to find appropriate superlatives to describe surprisingly high home sales," he said. "Now the housing market has cooled, but 2006 is still expected to be the third strongest on record. In this case, experiencing a slowing from a hot market is a good thing because we need a solid housing sector to provide an underlying base to the economy, and slower appreciation will help to preserve long-term affordability. But this is a time for the Fed to pause on rate hikes because we have some interest-sensitive housing markets that have become vulnerable."
Existing-home sales are projected to drop 6.8 percent to 6.60 million this year from the record 7.08 million in 2005. New-home sales are forecast to fall 13.4 percent to 1.11 million from a record 1.28 million in 2005. Housing starts are likely to decline 6.2 percent to 1.94 million in 2006 compared with 2.07 million last year. NAR President Thomas M. Stevens from Vienna, Va., said rising interest rates have slowed home sales in many high cost markets, while job growth has boosted sales in some moderately priced areas. "Broadly speaking, rising inventories have taken the pressure off of unsustainable home price growth," said Stevens, senior vice president of NRT Inc.
"For most of the nation, this means future home price gains will be much closer to the normal returns we expect from housing."
The 30-year fixed-rate mortgage should average 6.9 percent during the second half of the year, and the unemployment rate is expected to average 4.8 percent in 2006. The national median existing-home price for all housing types is forecast to rise 5.3 percent this year to $231,300. With more construction in 2006 taking place in lower cost housing markets, the median new-home price is projected to increase 0.8 percent to $242,900.
"Historically, home prices rise 1.5 to 2 percentage points faster than the rate of inflation, so the rise we anticipate in existing home prices this year is actually a little above the high end of historic norms," Lereah said. "The double-digit home price gains we saw in 2005 underscore what a superlative year it was."
Inflation, as measured by the Consumer Price Index, is seen at 3.1 percent in 2006, compared with 3.4 percent last year. Growth in the U.S. gross domestic product is likely to be 3.4 percent this year. Inflation-adjusted disposable personal income should grow 3.1 percent this year.
RISMEDIA, June 8, 2006—
The housing boom has ended but sales at historically healthy levels will continue, and price appreciation will return to normal patterns across much of the country, according to the National Association of Realtors(R). David Lereah, NAR's chief economist, said home sales are settling into a slower pace.
"In recent years we were occasionally challenged to find appropriate superlatives to describe surprisingly high home sales," he said. "Now the housing market has cooled, but 2006 is still expected to be the third strongest on record. In this case, experiencing a slowing from a hot market is a good thing because we need a solid housing sector to provide an underlying base to the economy, and slower appreciation will help to preserve long-term affordability. But this is a time for the Fed to pause on rate hikes because we have some interest-sensitive housing markets that have become vulnerable."
Existing-home sales are projected to drop 6.8 percent to 6.60 million this year from the record 7.08 million in 2005. New-home sales are forecast to fall 13.4 percent to 1.11 million from a record 1.28 million in 2005. Housing starts are likely to decline 6.2 percent to 1.94 million in 2006 compared with 2.07 million last year. NAR President Thomas M. Stevens from Vienna, Va., said rising interest rates have slowed home sales in many high cost markets, while job growth has boosted sales in some moderately priced areas. "Broadly speaking, rising inventories have taken the pressure off of unsustainable home price growth," said Stevens, senior vice president of NRT Inc.
"For most of the nation, this means future home price gains will be much closer to the normal returns we expect from housing."
The 30-year fixed-rate mortgage should average 6.9 percent during the second half of the year, and the unemployment rate is expected to average 4.8 percent in 2006. The national median existing-home price for all housing types is forecast to rise 5.3 percent this year to $231,300. With more construction in 2006 taking place in lower cost housing markets, the median new-home price is projected to increase 0.8 percent to $242,900.
"Historically, home prices rise 1.5 to 2 percentage points faster than the rate of inflation, so the rise we anticipate in existing home prices this year is actually a little above the high end of historic norms," Lereah said. "The double-digit home price gains we saw in 2005 underscore what a superlative year it was."
Inflation, as measured by the Consumer Price Index, is seen at 3.1 percent in 2006, compared with 3.4 percent last year. Growth in the U.S. gross domestic product is likely to be 3.4 percent this year. Inflation-adjusted disposable personal income should grow 3.1 percent this year.
Friday, June 02, 2006
Do Orangeburg SC Home buyers actually need an agent working strictly for them- or not?
Robert Bruss: Do homebuyers need their own 'buyer's agent?'
By Robert Bruss
Sunday, May 28, 2006
During this peak season when more houses and condos sell than during any other time of this year, prospective home buyers (especially first-timers) often wonder how to go about purchasing their first homes.
As I have often suggested, the first step is to get pre-approved in writing by a mortgage lender so buyers will know the maximum mortgage for which they can qualify. With a mortgage lender’s pre-approval letter or certificate (not just a worthless pre-qualification letter where the buyer’s loan application hasn’t been verified), the second step is to start looking at local houses and homes available for sale.
Most buyers begin their quest on the Internet, usually at www.realtor.com, where over 70 percent of today’s home buyers start their search. At this point, the home search can become murky.
Many prospective home buyers contact the home’s listing agent, either by e-mail or by phone. Although the listing agent is likely to be extremely helpful, few buyers realize that listing agent primarily represents the home seller, not the buyer.
Or another scenario might develop as prospective home buyers scan the weekend newspaper homes for sale ads, especially the advertised open houses. No matter how helpful and charming the real estate open house host agent might be, most prospective buyers don’t understand that agent legally represents the home seller, not the buyer.
In most states, a home’s listing agent can also represent the home buyer. When both buyer and seller fully understand the agent represents both parties, this is called a disclosed “dual agency.”
Some states have statutes allowing the listing agent to represent the home seller while another agent working for the same brokerage, called a “transaction agent,” represents the home buyer. Depending on state law, there are several other possibilities.
But home buyers should be certain they fully understand who represents whom. In a dual agency situation, the one agent theoretically represents both buyer and seller. Such an agent owes a fiduciary duty of honesty, truthfulness, and full disclosure (with notable exceptions) to the other party.
However, this is an inherent conflict of interest situation for the dual agent.
To prevent misunderstandings, most states now require real estate agents to provide written agency disclosures to home buyers and sellers who they represent in the sale. At this point, smart home buyers ask, “Who really represents me?“
Do homebuyers need their own “buyer’s agent?” The answer in most situations is probably “yes.” The reason is a buyer’s agent, who is truly looking out for the buyer’s best interests and using the best efforts to find a house or condo meeting the buyer’s needs, will emphasize to the buyer the pros and cons of each residence inspected.
But a “dual agent” representing both home seller and buyer can hardly be expected to do so, especially pointing out the drawbacks of a listed home under consideration by the prospective buyer.
Any licensed real estate sales agent or broker can be a buyer’s agent representing the home buyer in the transaction. A typical buyer’s agent can represent any home buyer, but also take listings of local homes for sale.
However, when a buyer’s agent shows homes listed for sale by that agent, or another agent working for the same brokerage, then the dual agency issue occurs.
In most buyers’ agent situations, the buyer’s agent receives half of the sales commission paid to the listing agent. This commission split is usually stated in writing in the local Multiple Listing Service (MLS) disclosure between MLS member agents.
Just because the home seller pays the listing commission, which is then split with the buyer’s agent, doesn’t mean the buyer’s agent works for the home seller.
However, when a buyer’s agent shows a prospective buyer a “for sale by owner” house or condo where there is no listing agent, if the seller refuses to pay the buyer’s agent any sales commission, then it becomes the obligation of the buyer to pay their buyer’s agent a commission. For this reason, many buyers’ agents require their buyers to sign a written buyer’s agency contract, typically for 30 to 60 days.
Any real estate agent can be a buyer’s agent to help locate your home purchase. In addition, there are a few exclusive buyers’ agents who represent only home buyers, never accepting listings from home sellers.
The best way to locate a successful buyer’s agent is to ask friends and business associates who have recently purchased a house or condo for their buyer’s agent recommendations. Because the drawbacks of not having a buyer’s agent can be costly, especially when the same agent represents the home seller, home buyers should spend considerable effort to locate an effective buyer’s agent.
If a buyer’s agent requires a written buyer’s agency contract exceeding 60 days, buyers should be aware they will be “tied up” with that buyer’s agent even if they find a home to purchase on their own. For this reason, unless you have received a superb recommendation to a buyer’s agent from a recent home buyer, it is best not to sign a long-term buyer’s agency contract.
Home buyers need their own buyers’ agents, just as most home sellers hire listing agents to represent their best interests. Likewise, home buyers need a separate buyer’s agent looking out for their best interests. Representation by a “dual agent” who represents both seller and buyer creates an inherent conflict for the home buyer. For more details, please consult a local real estate attorney.
© 2006 Naples Daily News and NDN Productions. Published in Naples, Florida, USA by the E.W. Scripps Co
By Robert Bruss
Sunday, May 28, 2006
During this peak season when more houses and condos sell than during any other time of this year, prospective home buyers (especially first-timers) often wonder how to go about purchasing their first homes.
As I have often suggested, the first step is to get pre-approved in writing by a mortgage lender so buyers will know the maximum mortgage for which they can qualify. With a mortgage lender’s pre-approval letter or certificate (not just a worthless pre-qualification letter where the buyer’s loan application hasn’t been verified), the second step is to start looking at local houses and homes available for sale.
Most buyers begin their quest on the Internet, usually at www.realtor.com, where over 70 percent of today’s home buyers start their search. At this point, the home search can become murky.
Many prospective home buyers contact the home’s listing agent, either by e-mail or by phone. Although the listing agent is likely to be extremely helpful, few buyers realize that listing agent primarily represents the home seller, not the buyer.
Or another scenario might develop as prospective home buyers scan the weekend newspaper homes for sale ads, especially the advertised open houses. No matter how helpful and charming the real estate open house host agent might be, most prospective buyers don’t understand that agent legally represents the home seller, not the buyer.
In most states, a home’s listing agent can also represent the home buyer. When both buyer and seller fully understand the agent represents both parties, this is called a disclosed “dual agency.”
Some states have statutes allowing the listing agent to represent the home seller while another agent working for the same brokerage, called a “transaction agent,” represents the home buyer. Depending on state law, there are several other possibilities.
But home buyers should be certain they fully understand who represents whom. In a dual agency situation, the one agent theoretically represents both buyer and seller. Such an agent owes a fiduciary duty of honesty, truthfulness, and full disclosure (with notable exceptions) to the other party.
However, this is an inherent conflict of interest situation for the dual agent.
To prevent misunderstandings, most states now require real estate agents to provide written agency disclosures to home buyers and sellers who they represent in the sale. At this point, smart home buyers ask, “Who really represents me?“
Do homebuyers need their own “buyer’s agent?” The answer in most situations is probably “yes.” The reason is a buyer’s agent, who is truly looking out for the buyer’s best interests and using the best efforts to find a house or condo meeting the buyer’s needs, will emphasize to the buyer the pros and cons of each residence inspected.
But a “dual agent” representing both home seller and buyer can hardly be expected to do so, especially pointing out the drawbacks of a listed home under consideration by the prospective buyer.
Any licensed real estate sales agent or broker can be a buyer’s agent representing the home buyer in the transaction. A typical buyer’s agent can represent any home buyer, but also take listings of local homes for sale.
However, when a buyer’s agent shows homes listed for sale by that agent, or another agent working for the same brokerage, then the dual agency issue occurs.
In most buyers’ agent situations, the buyer’s agent receives half of the sales commission paid to the listing agent. This commission split is usually stated in writing in the local Multiple Listing Service (MLS) disclosure between MLS member agents.
Just because the home seller pays the listing commission, which is then split with the buyer’s agent, doesn’t mean the buyer’s agent works for the home seller.
However, when a buyer’s agent shows a prospective buyer a “for sale by owner” house or condo where there is no listing agent, if the seller refuses to pay the buyer’s agent any sales commission, then it becomes the obligation of the buyer to pay their buyer’s agent a commission. For this reason, many buyers’ agents require their buyers to sign a written buyer’s agency contract, typically for 30 to 60 days.
Any real estate agent can be a buyer’s agent to help locate your home purchase. In addition, there are a few exclusive buyers’ agents who represent only home buyers, never accepting listings from home sellers.
The best way to locate a successful buyer’s agent is to ask friends and business associates who have recently purchased a house or condo for their buyer’s agent recommendations. Because the drawbacks of not having a buyer’s agent can be costly, especially when the same agent represents the home seller, home buyers should spend considerable effort to locate an effective buyer’s agent.
If a buyer’s agent requires a written buyer’s agency contract exceeding 60 days, buyers should be aware they will be “tied up” with that buyer’s agent even if they find a home to purchase on their own. For this reason, unless you have received a superb recommendation to a buyer’s agent from a recent home buyer, it is best not to sign a long-term buyer’s agency contract.
Home buyers need their own buyers’ agents, just as most home sellers hire listing agents to represent their best interests. Likewise, home buyers need a separate buyer’s agent looking out for their best interests. Representation by a “dual agent” who represents both seller and buyer creates an inherent conflict for the home buyer. For more details, please consult a local real estate attorney.
© 2006 Naples Daily News and NDN Productions. Published in Naples, Florida, USA by the E.W. Scripps Co
Buying a home in Orangeburg SC - best thing you could do- RENT? not if you can help it
U.S. home prices were 12.54% higher in the first quarter of 2006 than they were one year earlier. Appreciation for the most recent quarter was 2.03%, or an annualized rate of 8.12%. The quarterly rate is about one percentage point below the rate from the previous quarter and is the lowest rate since the first quarter of 2004. The figures were released Thursday by Office of Federal Housing Enterprise Oversight Acting Director James Lockhart, as part of the House Price Index (HPI), a quarterly report analyzing housing price appreciation trends. "These data show average housing prices still growing stronger than some might have expected," said Lockhart. "They do indicate, however, that price growth is moderating in some parts of the country, particularly in areas where prices have been rising the most."
