Paul's Pearls

Where Does The Time Go

2011-12-24T13:38:00.003-05:00

It's Holiday season again. It seems just like yesterday that I wished everyone a Happy Holiday season and a prosperous 2011! Time flies, doesn't it!!

I haven't posted much here lately. Sorry about that. I did take a trip to New England in July and August, visiting relatives in New Hampshire and Connecticut and was gone for about 10 days. Then in the past month or so, I've had eye surgery on both eyes. A regular trip to the optometrist detected age related cataracts in both eyes, so I had lens replacement surgery on one eye on November 21 and on the other, December 12. As far as the results of the surgery....I CAN SEE, I CAN SEE, I CAN SEE!!

It takes a while getting used to though. After spending my life nearsighted, in other words, having great visiion for things up close, while things at a distance were blurry, I now have great distance vision, but have to wear reading glasses while looking at those those wordy, real estate contracts, lol. Yet, it's been a revelation and if you're, in the future, informed you have age related cataracts, don't hesitate to have the surgery!

As for real estate, it does appear that the abundance of foreclosed, bank owned and short sale homes is bing reduced. The last figures I saw for the month of November, 2011, indicated there were just over 7000 homes currently for sale in Oakland County. That's down from 12-13,000 a couple of years ago. An ideal, perfect balance situation though, would be about 5000-5,500 homes for sale. Interest rates also, are still at all time lows. So soon, hopefully, buyers will start jumping on the bandwagon to take advantage of those low rates!

I'd like again, to take this time to wish all of my clients, past, present and future, HAPPY HOLIDAYS! And may 2012 be your best year, ever!!!!

Really??

2011-08-08T12:36:00.002-04:00

Recently, while I was away on vacation, someone in my neighborhood, listed their home for sale with another agent for 199,900. This home is clearly priced 52,000 dollars more than any other home in the neighborhood and based on it's size and age, should sell for right around what a recent listing of mine (a perfect ten, just a primo beauty of a home) sold for in the subdivision, 120,000. That listing of mine took only 40 days to sell, based on the fact it's averaging 157 days to sell a home in my neighborhood and it appraised for 121,500, 1500 dollars over the sales price, which is very, very good!

So with this in mind, it's time again for a little lesson in what happens when you price your home and put it on the market for sale. You get an offer down the road. That offer includes a mortgage the buyer has to take out from a bank or mortgage company, in order to purchase the home. That bank or mortgage company then sends someone out called an appraiser, to appraise the property's value, based entirely on recent sales prices in the neighborhood. That appraiser comes up with the homes value and turns their findings over to the bank or mortgage company.

So if the house is priced at 199,900 and the buyer wrote an offer for 180,000 and the seller accepted it, you then hope that the appraiser accepts it. In the case of my neighborhood in Troy, the appraiser would more than likely appraise the property for about 120,000. That's a difference of 60,000 between the sales price offered and the appraised value of the home. That also means, the buyer now must way overpay for the home, by coming up with that 60,000 dollar difference out of pocket, or the deal is off, unless of course, the seller is willing to lower their sites just a bit and accept the appraised value of 120,000.

And so it goes and it's always gonee that way, frankly! Price your home to sell when you put it on the market. Look at the comparable properties your real estate agent presents to you. If you way, way, way overprice your home, it will just sit there for month after month and will not sell! The house will eventually get word spread that the "houses is not selling because there's something wrong with it" and thus buyers and their agents will stay away in droves!! Buyers, with good buyers agents, will stay away in droves anyway, knowing the house is way, way, way overpriced!

Here Comes Summer!

2011-05-30T09:11:00.002-04:00

Well, it's summer again! A happy time for many folks, although, I prefer fall myself with the beautiful colors Mother Nature puts out there for us to admire!

Summer means warm days, warm nights and it also means, we survived the great rains of the spring of 2011! I know many have flooded basements because of the oversaturaton of the land and with that, comes cleanup problems. If you're thinking about marketing your home, better get that basement spotless! While women among buyers will eyeball the kitchen and the baths, the men will spend most of their time, eyeballing the basement. Better have it ready for that "eyeball inspection."

Interest rates are still low, but not at the all time record low levels they were at a year ago. Still, rates are wonderfully reasonable compared to where they were say, 5 years ago and some banks and mortgage companies are even rolling out adjustable rate mortgages again. But shop cerefully, if your looking to buy a home or refinance your current home. Check into at least 3 mortgage companies or banks before making your borrowing decision.

As far as listing a home for sale, inventories are actually down as we "clean out" all of the foreclosures and short sales. But, it's still a buyers market out there and until the economy shows definate signs of improving, buyers are fearful of committing and sellers aren't putting their homes on the market unless they absolutely have to, due to things like an impending job transfer to another part of the country.

So whether you're listing, selling or just refinancing, or even if you're just going to stay there with a pat hand, enjoy the upcoming summer of 2011.

Wake Up America!

2011-04-28T09:46:00.003-04:00

I recently listed a home for sale in my subdivision and as I usually do, I sent out postcards to my sub, heralding the good news. A couple of days after sending the cards out, I get a phone call. It's from someone who also lives in the subdivision and they asked "Is that asking price you have listed on the postcard, correct?"

Well, I replied "Why, do you think it's to high?"

The response was a stunner..."No, I think it's way to low."

So we chatted. Turns out this fellow subdivision homeowner had paid about $200,000 for their current home 5 years ago and had put quite a bit of money into the home in upgrades since then. Now, here I was, their local, friendly Realtor, telling them their house was worth 35% less than what they paid for it. I could hear the current homeowner hyperventelating over the phone!

I asked "Haven't you been following the news for the last 4 or 5 years. We've been in a deep recession here in our area and home prices have fallen drastically as a result. There have been many foreclosures and short sales driving prices down." The homeowner asked, so I offered my explanation of a short sale.

I was next asked, when this situation would straighten out. I said predictions are that home prices won't rebound to their 2005-'06 levels for at least a decade. The homeowner was stunned. "I and my spouse are in our early 50's now. By the time that decade is up, we'll be in our early 60's." I told the homeowner that I often joke with friends that I paid $72,000 for my current home in 1984 and pretty soon, it's going to be worth.....$72,000. Right now, it's probably worth about 120,000 after having been up to about 190,000 5 years ago!

Hopefully this was a lesson learned for the hyperventelating homeowner, don't live in a fishbowl. And, everything I've posted here is all true!

Here and There, Financially Anyway!

2011-03-31T09:13:00.002-04:00

Well, spring is upon us and the thoughts of buying a new home are entering peoples minds. There are some real bargains out there, especially with prices continuing to fall. I joke to people that I paid $72,000 for my home when I baught it in 1984 and if prices keep dropping like they have been, in a couple of years, my home will be worth......$72,000!

2 stories on this recently caught my eye. First, was the announcement in late February that home prices continued to fall in 2010, over 2009. As an example, between October 1, 2009 and September 30, 2010, the story said, home prices in Troy, fell another 7.5% over the figures they were priced at for the previous year. It was stunning, yet interesting reading. And those price falls were everywhere in southeast Michigan. No community escaped the price fall!

The second story was in the newspapers just the other day, predictions that no one knows when prices will stop dropping. Homes are now selling for the prices they were fetching in 1994! I would not call it a "free fall" but don't believe anyone who tells you the real estate market has "bottomed out." No one knows. Even I for the past year plus, have been telling people the market has hit bottom, but I was just going on what economists were predicting.

My best prediction now, we are seeing foreclosures and short sales selling for higher prices than they were a year or two ago, a sure sign that eventually, the foreclosure and short sale market will dry up, leaving room for the private sale home to creep back into the marketplace. However, my feeling is that the "drying up" of the "problem" homes won't be complete until the end of 2012 or midway thru 2013. But what do I know, I've been wrong, along with everyone else on this issue, for a year and a half!

Happy 2011

2011-01-28T08:56:00.005-05:00

Well, the New Year is here and yes, if you've followed my blog, the helical piers are in! The job took about a week and a half because of the cold weather, the frozen clay earth and the dryness of that earth, but yes, the piering was finished and my family room was raised a little over half an inch on Wednesday, January 26, 2011 and then stabalized so that it will never sink again! It's almost level in my family room now, after having been way off level and the exterior cracks have closed somewhat. They also sealed a major crack in my basement in the opposite corner from the family room, which had been there for years and years, probably since my home was built in 1967.

Please also note, if you've been following the newspaper reports, home prices in our area have now sunk to 1994 levels. In other words, if your home was worth $200,000
in 2006, but was worth 120,000 in 1994, well then, you should put it on the market for the 1994 price, or somewhere close to it. You'll never get even close to that 2006 figure. Some people try, but then find out the house will never appraise for a mortgage and right now, the buying and selling of real estate is being run by appraisals. It just shows you how badly the economy affected Michigan and like I've been telling people all along, the country may have been in a recession, but Michigan was in it's worst depression since the 1930's.

I do believe sincerely that we have hit bottom and the economy in our state is turning around. But it's going to take a while for a noticable increase in home prices. The big thing is to get current inventory down and also purge the available
homes list of foreclosures and short sales. That is slowly but surely happening, but frankly, most of the home sales today are still foreclosures and short sales. And with interest rates rising to around 5% from historical lows closer to 4%, home buying and selling, just got a little tougher!

Got A New Problem At My House!

2010-12-10T15:46:00.004-05:00

Well, the last time I was on board here, I blogged about my roof replacement and how much the extra wood needed, cost me out of pocket. Well, a week or so after the roofers left, I had my satellite company come out to "refocus" my dish, because the roofing people had to move it. Well, during that process, I'm watching the satellite guy staple some wiring to the side of my house and I note that some cracks, which had long been there between bricks, had really widened. Of course, I had not been watching them closely, but it was far worse than needing some tuckpointing. At one spot near a windowsill under a picture window, the crack was nearly an inch wide! In the main part as the crack zig zagged down to ground level, it was half an inch wide!

So, I approached a local home inspector with some pictures and he told me I needed piers put under my house and he recommended I get 3 estimates. So, I checked the Yellow Pages and found 3 companies that did helical piering and over the period of a week, got all 3 estimates, ranging from $9500 to $15,500. The $15,500 guy wanted to pier the entire back of my house with 12 helical piers, while the other two companies said that was not necessary. Just the family room had sunk an inch and a quarter to an inch and a half over it's 43 year life, while the other back corner of the house, had barely sunk a quarter of an inch at most. Something to watch the other 2 compnies said, but it doesn't need fixing right now.

So my choice was the mid price guy, about $9900. They'll put in 7 helical piers around the sides and back of my family room and raise it back up to level. After that, I can't have any repairs to the interior for about 6 months, because the house, the beams, the interior, all need to get used to the new "settings" as it were. And oh yes, the interior cracking is horrible, right in the same spot where the exterior brick cracking was going on with big splits in my drywall inside.
So I suggest you be observant of the exterior of your home, especially if you have cracking where mortar used to be between the bricks, if you have a brick exterior. And if your family room is on a slab, like mine. I have a nice basement, but a slab under that family room. Be aware, that the slab under the family room can sink, creating this cracking problem!

'Tis the season again. Seems just like yesterday that it was Christmas, 2009 and now, it's 12 months later. So from my "cracked" house to your "healthy" home, my wishes for a Happy Holiday! Seasons Greetings to all!

The Leaves Are Falling, The Vote Is Coming

2010-10-28T09:48:00.003-04:00

I love the fall. It's my favorite season. And we've been blessed in Southeast Michigan the past few years, with some glorious, warm, sunny autumns, well into November. So far as I type this, 2010 has not been an exception. We've had great weather leading up to halloween and more importantly, up to voting day, November 2. The recent "breezes" aside, it has been great and as for those breezes, well, something has to knock the leaves off the trees, right?

It's time for a voting pitch. No matter what party you're a member of, exercise your franchise on November 2 and get out and vote. If your candidate doesn't win and you didn't vote, you've only yourself to blame. The founding fathers gave us this priviledge and to me, it's the most important thing one can do for one's government, voting in the people you feel can run that government best. So, as an old radio jingle used to say, "be a good citizen, get out and vote."

Enjoy the fall and I look forward to future blogging about all things real estate. And if you have the opportunity and are inclined to either buy your first home or move up into a new one, you can't beat the mortgage rates we're seeing right now. All time, historical lows. Why, people are even taking advantage of 15 year fixed rate mortgages, to pay their homes off faster, at rates well under 4%. Nows the time to buy, as the economy finally appears as if it's starting to trend upward!

Autumn Thoughts

2010-09-22T12:13:00.002-04:00

Well, interest rates can't get any lower than this. They're already at all time lows of just around 4 1/4% for a 30 year fixed. Yet, I heard today on CBS Radio News, that demand for mortgages is down for the third straight month. I know it's tuff out there and that people are still worried about their jobs. But is it more that, or is it bankers and mortgage companies are being a little tighter with their money?

And also, this time, I'm the consumer giving you some advice from first hand experience. I just had my roof done and also new gutters and downspouts added. Now I had a second layer and shingles put on in 1996, along with new gutters and downspouts. This though, is more about the roof than gutters and downspouts. My home is 43 years old. Last week, I signed a contract for the work, which included 100 free square feet of plywood to replace the old plywood that had been on the roof since 1967.

Well, once the roofing company got up there, they discovered a ton of decaying, rotting plywood which had to be replaced, far more than the free, 100 square feet, far more. Also, several cracked trusses had to be shored up, at an added cost for 2 X 4's which were not in the contract. And the facia boards, on which the gutters hang, were rotting away and 75% of those had to be replaced at still more cost per board foot, not in the contract.

My point being, the cost of my roof job, has exceeded the original estimate on my signed contract by 16%! So be aware of these things. The roofing company, when they come out and give you an estimate of the costs, has no idea how much bad wood they'll find up there. My roof and my gutters look beautiful now and I've got a 30 year warranty on the shingles, PLUS a 30 year warranty on the company's workmanship. And yes, in case you ask, I was invited up on my roof, 4 or 5 times to see just how bad the wood was and what their plans were to fix it. I accepted each invitation, so I could see first hand, what was going on and I wholeheartedly agreed on the repairs.

I'm happy, but just be aware of these things if you're planning a roofing job in the near future!

Yes, Even Us Realtors Can Learn

2010-08-01T10:53:00.003-04:00

It's funny, but it happened to me, having to list a house as just a client, not a Realtor and having to sit, wait and sift through the offers. Now I know how a lot of you feel, when you're put in the same position.

As the executor of my parents estate after they both passed away in 2009, I had to put their house on the market in their native New Hampshire. I carefully sorted thru Realtors and decided the way to go was through the only real estate office in their little town of Kingston, New Hampshire. So I selected an agent from that office and she knew her stuff and was very helpful. The house went on the market in mid October, 2009. Now this house needed some work and as it turned out, cost me about $15,000 to bring it up to snuff to pass an FHA inspection. We had innumerable offers along the way, many "lowballs" which were rejected and finally, in mid April, came an acceptable offer of full price on an FHA deal, $185,000, but I also had to pay about 5% in closing costs for the young buyers.

At first, closing was scheduled for "on or before May 21, 2010." As it turned out, some of the necessary work to get the house up to snuff, had to wait until the weather turned warmer, like exterior painting. So around May 1, I started getting all kinds of phone calls here in Michigan, from New Hampshire. My Realtor, my New Hampshire attorney, contractors wanting to talk about their work and also wanting to get paid. It got to be so bad, 8 or 9 calls a day from New Hampshire, I finally threw my hands up in disgust because it was interfering with my work here in Michigan. So I decided on May 12, I'd had enough and it was time to get out of Michigan and head to New Hampshire.

I arrived there a week before the anticipated closing was scheduled and there was still work to be done, like chimney and fireplace crack repairs ($2300), septic tank draining ($150) and yes, I even had to rent a dumpster for the driveway ($500). In the case of these 3 jobs, I had to be there because the contractors involved, would not take a credit card number over the phone. They needed me there, in person, to hand them a check, another good reason why I "got out of Dodge" so to speak and headed to the Granite State.

Finally, came the big day, Friday May 21. Well, in came the call from my Realtor. The mortgage for the buyer wasn't ready yet, we'll have to close Monday the 24th. Then came Monday the 24th and again, "the mortgage isn't ready yet, we'll now close no later than Wednesday the 26th." I actually was allowed to get involved with the buyers mortgage person. I told him, "we'd better close, because I don't want this to spill past Memorial Day weekend into June, as I've got to get back to Michigan." Well, it didn't close the 26th either, but, with some arm twisting by my Realtor, we got a closing scheduled for the 27th at 1230pm at the county registrar of deeds office.

Finally, a closing! Yeah!! It took less than an hour and I had my check. A quick trip to the cemetary to say goodbye to Mom and Dad (I'll be joining them there, but I hope not in the near future) and I had had enough of New Hampshire!! I took the check and deposited it in my Bank of America account (they are all over the place, even in New Hampshire) and then, I hit the freeway and headed back to Michigan, arriving back in Troy the night of May 28, after an overnight stay in Syracuse, New York. My own, personal real estate story, successfully completed, even if delayed by almost a week due to unforseen forces!

And now, I can sympathise with some of the issues my clients have to go through!

Commissions!

2010-06-22T11:25:00.002-04:00

Today, what amounts to a sore subject for some people, paying a Realtor a commission to sell their house.

I was driving thru Royal Oak the other day and I noticed a "For Sale By Owner" sign. We Realtors call such properties FSBO's, pronounced fizz-bo. At the bottom of this Royal Oak "fizz-bo" sign was something else "Realtors 4%." Now what this means is, the "fizz-bo" homeowner is willing to pay a 4% commission to any Realtor who brings him a buyer. The industry standard is 6%, so either this "fizz-bo" thinks he's getting a big savings, or they don't realize how a commission is split! Of course, if he does pay 4%, he is saving money, but the industry standard for an agent who brings a buyer for the property, is 3%.

The standard 6% commission is split 2 ways, 3% to the listing office and 3% to the selling office. So your listing agent doesn't walk away with a 6% commission. Your listing agent doesn't even walk away with the 3% that goes to the LISTING OFFICE! That 3% is divided up between the listing agent, his or her company broker/owner and, if there is a franchise involved, like CENTURY 21 National, there's a franchise fee that both the company broker/owner and the listing agent pays.

A general rule of thumb, on a 6% commission, the listing agent is going to walk away with 1.32% of the sales price of the house, not 6%. So on a sale of $100,000, the 6% commission is divided like this, $3000 for the selling office, $3000 for the listing office. That $3000 for the listing office is then split into $1500 for the listing agent and $1500 for the broker/owner. The broker/owner then has to pay a 12% franchise fee, $180, as does the listing agent. So the listing agents actual take from that 6% commission is $1320 on that sale of $100,000!

And that dear friends, explains how real estate commissions are paid!

Goodbye Ernie

2010-05-05T16:57:00.002-04:00

I published this in the Detroit News Tiger Forum on the New's website on Wednesday afternoon, May 5. It is my Ernie Harwell story:

Back in 1997, I was working as a sportscaster at WJR Radio in Detroit. I had just been nominated in January, 1997, by my peers in the State of Michigan, for the 1996 Michigan Sportscaster of the Year Award, as presented in each state every year, by the National Association of Sportscasters and Sportswriters. There was only one other nominee, Ernie Harwell. So, I figured this was the end of that honor. Ernie had won the award something like 12 times previously. I had been nominated 7 or 8 times total during my career at both WAAM in Ann Arbor and WJR, but had never won and never expected to.

Guess what? In March of 1997, it was announced I had won the voting, much to my total and complete shock. The morning I was notified I'd won, I'm sitting at home and my phone rings.....it's Ernie. He must have called the station and gotten my home phone number. "Mister Chapman, this is Mister Harwell." Those familiar Georgia tones and inflections. I replied "Hi Ernie." He then came back with "Congratulations on winning the Sportscaster of the Year Award. It's well deserved." Ernie did not have to do that, very few if any would have made that congratulatory call. I will never forget it. I'd known the man, not intimately, for my 13 years at WJR. What made it more special, was him not saying "Paul, it's Ernie. Congratulations." It was him using his wonderful salutation of "Mister Chapman." If he called you "Mister" you knew you were in Ernie's good graces.

It was a very special moment in my life and it shows the gentleman that he was thoughout his career and his life. God bless you Ernie. My consolences to Miss Lulu and your family.

Questions Answered On The Homebuyers Credit

2010-04-08T16:50:00.002-04:00

The April 30 deadline is fast approaching to get a deal signed and confirmed, in order to qualify for the credits being offer by Uncle Sam on home purchases. Here are some of the more commonly asked questions and their answers, courtesy of the National Association of Homebuilders!

1. How does a home buyer claim the tax credit?

Answer: The credit is claimed when the home buyer files or amends their federal income taxes. For qualifying homes, purchased in 2009 or 2010, the taxpayer must complete form 5405 and attach a copy of the settlement statement. In most cases, the settlement statement is a properly executed Form HUD-1.

In circumstances where a HUD-1 is not provided, such as purchasing a mobile home or a newly constructed home, the IRS will accept an executed retail sales contract(mobile homes) or a copy of the certificate of occupancy (new homes).

2. Does the homebuyer have to sell their current home in order to qualify for the $6,500 repeat buyer tax credit?

Answer: A home buyer does not need to sell their current home in order to be eligable for the repeat buyer credit. They can continue to own both homes, and rent or use their former home for something else, as long as it no longer serves as their principal residence. The taxpayer is required to use the new home as their principal residence, and live in it for at least 36 months, or they will have to repay their credit.

3. Do married couples both have to meet the eligability requirements in order to claim the credit, even if they file taxes separately?

Answer: Both spouses must fully meet all of the eligability requirements for either the $8,000 first time home buyer tax credit or the $6,500 repeat buyer tax credit, regardless of if they file joint or separate tax returns. However, if an unmarried couple purchases a home and only one person qualifies, the eligable person may claim the full credit.

4. Do all home purchases need to be completed by April 30, 2010, in order to be eligable for the credit?

Answer: There are 2 exceptions to the April 30 deadline. If the buyer enters into a binding contact by the deadline, they have until June 30, 2010, to complete the purchase. The deadline has been extended a year, to April 30, 2011, for members of the uniformed services, Foreign Service or employees of the intelligence community who have been on qualified extended duty outside the United States for at least 90 days, between January 1, 2009, and April 30, 2010.

I hope these questions and answers help and I hope you have the opportunity to take advantage of Uncle Sam's gift to homebuyers!

Don't Forget Your Tax Break!

2010-03-23T09:39:00.002-04:00

We're hearing a lot today about the up to $8000.00 tax break for first time home buyers, if their deals are written and accepted by April 30, 2010 and close by June 30, 2010. It's a terrific deal for first time home buyers, but there's also another part of the story I don't want you to forget and that's the existing home buyer!
Have your deals written and accepted by April 30 and close by June 30 and even if you're a current homeowner, you'll get a nice tax break of up to $6500.00.

Yes, these are incentives to help spur the sagging housing industry. I think a lot of us found out, Realtors included, how much this nation's economy was dependant on new and existing home sales. It turns out that new and used home sales were actually driving the economy for the past decade and when people stopped buying homes, well, in came the worst recession we've had since the Great Depression ended in the early 1940's. Personally, I don't think these government deals will be extended. They were extended once, but like "Cash for Clunkers" which was extended once, then ended, I'm expecting the same thing to happen with these housing incentives!!

So with these government incentives and with mortgage interest rates still close to historic lows, what's stopping you from stepping up to the plate and buying your first home OR, putting your current home on the market while looking for a new place in which to dwell?

It Is And It Isn't About Real Estate!

2010-02-15T21:36:00.006-05:00

On February 23, the voters in the City of Troy, go to the polls to vote on 1 issue in a city wide election, whether or not to raise the city's tax rate 1.9 Mills, or 29%. Now I have to admit, my property on Rhodes Drive, proudly displays a big "No" sign to a 29% tax increase and has displayed that sign for over a month. As I walk thru my subdivision daily (and I walk 2.5 miles a day, 4 or 5 days a week for health and exercise) I note the "No" signs are far out numbering the "Yes" signs, 2-1. I don't know if that means the mileage increase will lose 2-1, but it sure is interesting to see from their front lawns, how many citizens of the City of Troy are fed up. Someone has to recognize the economic turmoil the city's residents are in right now. Hundreds of Troy resident are losing or have lost their homes to foreclosures and shortsales because they can't afford their mortgages or their property taxes. And the city wants to raise those property taxes even more?????

On Friday, February 12, I received a postcard in the mail from the "Keep Troy Safe" committee. The return address listed on the postcard was that of Michael W. Hutson, who also happens to be the chair of the City of Troy Planning Commission. On this postcard, it clearly stated that the 1.9 mil increase, would actually not raise property taxes for Troy residents, but would reduce them $392.00 on the average Troy tax bill. Well, I sometimes wonder if the leaders of the city, elected and appointed, aren't so well educated and so well to do, that, like the rest of the country, who's leaders have lost touch with the public, our city leaders have lost touch too. Instead, they feel they know what's good for the city, far more than the people do.

Now I've lived in Troy on Rhodes Drive since 1984 and trust me, the City of Troy has been living high on the hog since I arrived. In 1984, the city had 60,000 people when I moved in. It now has 85,000+. It takes a lot of money to keep these city officials, elected and appointed, happy. Take the February 23 ballot for instance. On it, it talks about the 1.9 mil increase and mentions City Council will be able to use some of the tax increase in the future for "quality of life" purposes. I guess that means more bike trails, in a time of great economic hardship for the city's residents. I suppose it also means, eventually, a new city park in the south of Maple-Milverton area. Such a park would be greatly welcomed by our non resident, non tax paying, non English speaking aliens who live in the apartment complexes that line John R Road, across the street from Elder Ford. Well, we have a perfectly good city park right now, a half a mile north, called Brinston Park. Let them travel the half mile to a mile to enjoy that park like the rest of us area residents.

As a Realtor, I've seen Troy property values drop 25 to 30% in the past 3 years, after years and years of 3-6% annual increases in home values. Troy lived high on the hog on the backs of the people with those property value increases. Now it's time for the city to bite the bullet, as a majority of it's residents have. Tighten your belt Troy. Keep costs and expenses down for the next 5 or so years, while the City, the County, the State and the Nations economy recovers. No new parks, no new bike trails and please, don't insult my intelligence by telling me that 47 police employees will have to be laid off if the mileague doesn't pass. And why the picture of a fire truck on that Friday postcard, when we all know the city has an all volunteer fire department. And why the picture of the sand and salt truck, when the county takes care of our surface streets, while the city doesn't even plow in subdivisions unless there's at least a 5 inch snowfall. We've had one of those 5 inch storms thus far this year.

And why oh why, does the City of Troy own not one, but two golf courses, Sylvan Glen at Rochester Road and Square Lake and the very big, money losing, Sanctuary Lake Golf Course behind Troy Beaumont Hospital? Figures I've seen show that Sanctuary Lake is losing tens of thousands a dollars a month, 700,000 per year. Whenever I drive by, I rarely see anyone in the Sanctuary Lake parking lot, nor out on the course. Why could the city have not sold some of that land to Beaumont for their new expansion, which instead went across the street into Sterling Heights, helping that city's tax base. And as for the Troy Police Department, if there are layoffs when this 29% tax increase passes, will they be the folks who are taking care of the City of Clawson? In these tough times, why are Troy Police, now Clawson Police as well?

Basically, this proposal, as most of them do, pits the city's younger residents against the city's older residents. In my 64 years, I've heard it all from the communities I've lived in and every, single time, they insult my intelligence when they want a tax increase by threatening to cut back city fire, city police, the library, the community center and other city services to a "bare minimum." It's time for the people of the city to see what this proposed mileage increase is. An increase in our taxes when a majority of the city's residents can't even make ends meet now or pay for their homes. I urge everyone who reads this blog who is a City of Troy resident, to vote no, please, for our future, on the February 23, 29% tax increase! Come on Troy, the ladder to the top of that hog isn't as high as you think it is!

It's About Time!

2010-01-18T09:56:00.003-05:00

Yes, it's about time I said something here in this blog, so here goes.....something, lol.

I apologize for not posting for the last 6 months, but things were rather tough on the old Chapster during that stretch! First of all, on May 11, I lost my beloved father Reginald back in New Hampshire, at age 93 1/2. Dad had been living at home with his wife, my Mom Viola, almost until the end. He had spent his final month and a half alternating between a hospital and a rehab center. A fiesty character, he was very active until that final month and a half, mowing his own lawn, snow blowing his driveway and "puttering" around the house. He actually passed while I was home on vacation in May, so I did get to see him and speak with him, just a couple of days before he went to his final reward.

Then in mid September, I went home to spend 2 weeks with my Mom at their home in Kingston. All seemed well. I left New Hampshire September 24. On Sunday, September 27 while holding an open house in Troy, during a slow spell, I called Mom to check in. She always got a kick out of me calling her from a Michigan open house. Well, there was no answer. Then someone came thru the open house. After they left, I called my Mom again, and again, no answer. I called the local Kingston, New Hampshire police and gave them the lockbox number on my Mom's house. 25 minutes later they called me back and told me she was sitting in her easy chair in the living room, with no pulse. Mom was gone at age 87 1/2!

So between funeral services and estate things to take care on in New Hampshire, I've been busy in 2 states over the past 4 months! Anyone want to buy a 1457 sq ft ranch in Kingston, New Hampshire? If so, call my friend Lee Bartlett at the Merrill/Bartlett Agency in Kingston. She's MY real estate agent and she'd be delighted to speak with you about the home and I'd be delighted for you to speak with her about the home.

As for here in our area, home values seem to have bottomed out, but they will not be rising anytime soon. It will take a while. You know Michigan, first into a recession and the last one out! But please think about taking advantage of the new programs out there, including the tax break for both first time buyers and repeat buyers, that are in affect until April 30. It's a great way to get into a home while receiving a nice tax break from your Uncle Sam!

I've said this before and I'm saying it again. I'll make every effort to post here at least once a month in 2010, or more as situations warrant! HAPPY NEW YEAR!!

It's Been A While!

2009-07-01T15:01:00.003-04:00

Sorry there has been no post by me since late March, but my elderly father, back in New Hampshire, had been going thru some health problems since mid March and finally passed away May 11 at age 93 1/2. He lived a long and fruitful life and was very active until being hospitalized in March. He still mowed his own lawn, got out the snow blower to clean off the driveway and did a lot of "puttering" around the house almost to the end! About the only thing he couldn't do anymore was drive a car. He couldn't pass the eye exam and lost his license at age 87. My Mom is still around, living in New Hampshire and she's 87 and just got her drivers license renewed for another 3 years.

But enough about me. How about you? If you're a first time home buyer (or have not owned a home of your own for the past 3 years), are you ready to take advantage of the $8000.00 first time home buyers credit, established by TARP, as part of our economic recovery program? You must close on your home by midnight, November 30, to get the credit and under some programs, the $8000.00 can be used as part of your downpayment. It would seem to be a great way for a first time buyer to fullfill their dreams of home ownership, while also helping the U.S. economy to get back on it's feet.

Also, for anyone who has been following this, or worrying about this, you may know, that our company, CENTURY 21 Town & Country, filed for Chapter 11 Bankruptcy Protection in March. Well, we exited bankruptcy protection yesterday morning,
June 30, and we are back, stronger than ever, with our 7 remaining offices, Troy, Birmingham, Rochester, Clarkston, Shelby Township, Clinton Township and Grosse Pointe and 500 agents. So good news for all of us, first time homebuyers and for the many agents working under the umbrella of CENTURY 21 Town & Country and our owner, John Kersten.

Spring Has Sprung!

2009-03-21T10:10:00.003-04:00

Remember last March when we got all of that snow? I think it was like the 4th snowiest March on record. This March, nothing, as the month came in like a lamb and may go out like one as well!

On the real estate front, interest is picking up around our CENTURY 21 Town & Country Troy office. Our 80+ agents in Troy, including me, are being kept hopping by a huge increase in phone calls over the past 3 weeks, people wanting to look at houses! There's been a similar increase in home showings in March. So there is a pent up demand out there. Here in Troy though, in February, the median sales price was 170,000, compared to about 220,000 in February, 2008. That's not unusual though for this time of year, as the higher priced homes, that will bring the median sales price up, don't usually come on the market until April, even May. That's why it's best to get your home on the market now, to avoid the rush. Yes, sales prices are down considerably from where they were 3 or 4 years ago, but you're also going to get a nice bargain on the new home you buy!

The last I checked on Thursday March 19, 30 year, fixed rate mortgages were running at about 5.50% with a 720 credit score and no points with a 20% downpayment. With a point, that rate was down to 4.75% with the 720 credit score and 20% downpayment. An FHA 30 year fixed rate mortgage, with a 620 credit score and 3.5% down, was running at 5.75% with no points, 5% with one point. For all of the latest on mortgage rates and for the best advice and service possible, give my pal Dave Tumey of Cambridge Mortgage a call, at 248-526-2210!

Another good point to make on the housing market is, with these rates, you can't miss! People have been buying up foreclosed and bank owned homes and that market is starting to deplete, which means that the time is coming, when buyers will have to stop looking at foreclosures and bank owned properties and start looking at good, solid private owned homes! IT WILL HAPPEN!! Oh, and happy spring!

Good News!!

2009-02-18T14:35:00.002-05:00

Well, here it is, mid February and already there's severral pieces of news! First of all, there's a big benefit for first time home buyer, in the new, Economic Stimulus Bill. First of all, let me state that the bill defines a "first time homebuyer" as a person who has not owned a home for at least 3 years. Now for the good part. If you're a "first time homebuyer" and you buy a home between 1/1/2009 and 9/1/2009, you'll receive up to an $8000.00 credit on your federal income taxes. So you'll receive a credit on your taxes of 10% of the purchase price of the home up to $8000.00! In other words, purchase a home worth $150,000 and you'll receive the $8000.00 credit. Purchase a $70,000 home and you'll receive a credit of $7000.00. This is a great way for first time buyers, to get into a home more easily AND the credit does not have to be paid back.

Another piece of good news on the financing front, FHA has increased the size of their loans in our area under the new Economic Stimulus Bill to $297,500. That's an increase in the amount that FHA will finance of about $26,000. So for those thinking about buying a home in the $300,000 range, you can now get FHA financing! We're all still waiting on the analysis of President Obama's home mortgage recovery plan, which was announced in Phoenis this afternoon!!

Finally, you may have heard this on the radio or seen the story on TV or read about it in the newspaper. The company where I am an "independant contractor" (a salesperson working strictly on a commission basis), CENTURY 21 Town & Country, did file for Chapter 11 bankruptcy on Thursday, February 12. This has no affect on me whatsoever, nor does it affect my clients. CENTURY 21 Town & Country has been the top producing firm, in the entire CENTURY 21 worldwide system for 13 consecutive years. Our service and committment to quality is unquestioned. As a company, we will emerge from Chapter 11, even stronger and more viable than before and will continue to serve our clients with unparalled service and quality, for many more years to come!!

We are not the first, large local real estate firm to file for Chapter 11 bankruptcy protection in the past several years, nor will be be the last. It's all a result of the current economic conditions in the real estate industry. Many other companies nationwide have filed for Chapter 11 and have emerged stronger and better companies after their re-organizations. Why just yesterday, Donald "You're fired" Trump, filed for Chapter 11, again! So I look forward to and CENTURY 21 Town & Country looks forward to serving the public and our cherished clients, not only now, but in the weeks, months and years to come!

Interesting Stuff

2009-01-23T11:01:00.002-05:00

Well, again it's been a while since I've posted. I vow to try to post at least once a month in 2009 and by the way, I hope everyone out there had a good Holiday season and a happy start to the new year! I got to visit New Hampshire, again (3 times a year now), to visit my parents who celebrated their 65th wedding anniversery just before Christmas. They had actually been displaced by that huge ice storm that whalloped New England on December 11. They're home was without electricity for 8 days. My folks tried to stick it out for 3 days without heat, but that was enough and they went to a shelter which had been setup in their community. By the time I got there to start my 2 week vacation, they had been back home for 4 days. Also, you could not believe the destruction I saw. About a half mile south of my parents home, a large elm tree snapped in half and abviously took some utility wires with it, then about a mile north of their home, not only did a large oak tree split in half under the weight of the ice, but a utility pole along the side of the road split in half and toppled over. No wonder my favorite 93 year old and 86 year old were without power for 8 days!

Just thought I'd let you know of something exciting on the real estate front. If you are a first time buyer, you can take advantage of a First Time Homebuyers Credit which has just been setup since the first of the year, as part of the Economic Recovery Act. If you have purchased or will purchase a home between April 8, 2008 and July 1, 2009 and you are a first time homebuyer, or have not owned your own home for the past 3 years and are buying now, you are entitled to a credit of $7500.00 on your federal income tax. It's like an interest free loan of $7500.00, in that you have to repay the $7500.00 to Uncle Sam, over a 15 year period. This is for the purchase of a main home. It's not good for vacation homes or rental properties.

There are some other stipulations for getting this credit, but it's worth checking out at this website: http://www.IRS.gov and there's more good news. Right now the powers that be in Washington under the new administration, are talking about waiving the payback rule. In other words, if they approve the rule change, you would be able to get the $7500.00 First Time Homebuyers Credit and NOT have to pay it back. So stay tuned! I'll have more on this, as it becomes available. In the meantime, visit that IRS website or contact my favorite mortgage banker, Dave Tumey of Cambridge Mortgage at 248-526-2210.

Housing Prices In Recession

2008-10-22T13:52:00.002-04:00

Well, not that you didn't know this already, but if we aren't in a housing recession right now, then my name isn't Paul Chapman. I've had two of my listings either sell or go pending in the past month and in both cases, the home sold or will sell, for far less than the owner paid for it!!

House number 1, was purchased in May, 2006 for $385,000. It closed in late September for $315,000 after 10 months on the market. If my math is correct, that's a loss of about 18% in the homes value in a little over 2 years. House number 2, as I write this, is pending and will close within the next couple of weeks after 6 months on the market. It was purchased for $161,000 in April, 2000 and will close for $118,500! That's a loss of about 26% in value over a period of over 8 years.

The National Association of Realtors (NAR) has a campaign out this year which says that over time, a home will double in value every 10 years. Now this may be true, but it's hard telling that to folks who right now, are "upside down" on their mortgages. This is something none of us in the real estate business have ever been through, so it's hard to judge what's going in. This is new territory for all of us. But over time, a home, if you hang on to it, will be a good investment.

Home buying is like the stock market. You have to be in it for the long haul. Buy a home now and turn around and sell it within a couple of years and you could find yourself "upside down." But take the case of house number 2. They had the home for over 8 years and look at the loss they took. Luckily, they are not "upside down" on their mortgage. It's just that they purchased another home and were getting tired of making two mortgage payments, so they are selling the house I have listed at a sacrifice price!

Again, people keep asking me "when will the housing market snap out of it." All along I've been telling them, by the summer of 2010, even though many, who know far more about the economy than I, were saying we'd snap out of it during the second quarter of 2009. With the current financial crisis, even those who know far more than I about economics, have adjusted their thinking to right about where mine was all along, the second quarter of 2010.

Has It Been This Long?

2008-07-23T17:37:00.002-04:00

Has it really been almost 3 months since I've posted anything here? I can't believe it. Well, since I last posted I've taken a 2 1/2 week vacation to New Hampshire in late May and early June and I discovered one thing while there. Their economy may be better than it is here in the State of Michigan, but they're having the same problems real estate wise that we are here! They just started a little later than we did. Our real estate "free fall" began in the summer of 2005. Theirs began about a year later. I also sense that Michigan will be the last out of our real estate problems, when compared to the rest of the country.

I keep reading and watching and listening to reports which say the country will pull out of it's economic problems in 2009. Even economists here in Michigan are saying the same thing about the State economy. I doubt that however, so I'm telling folks plan on the rebound coming in 2010! I realize that's a long wait, but it's going to take that long to clear out all of the housing inventory that's currently for sale in our area. It won't be an easy stretch, but we have bottomed out in my opinion. But right now, we're just sort of meandering around on level ground, not going up, home values wise and not dropping fast, either.

As for when your house will be worth what it was say, in 2004, you've got a long wait. Once this housing crisis turns around, don't expect your home to instantly jump in value to where it was 4 years ago! No, it will take 5 to 7 years to recover the value that your home lost. So if Michigan starts to come out of this slump in 2010 and your home was worth $200,000 in 2004, expect it to be worth $200,000 again in 2015! After that, don't expect the 4% to 6% rise in home values per year that we had in the late 1990's and early 2000's. Growth will be at a more modest 2% or so per year. Them's the cold, hard facts as they say. That's MY opinion and I'm sticking to it!!!

Happy rest of the summer!

Losses and Gains

2008-04-28T16:28:00.002-04:00

When someone passes on to their great reward, they leave a void which can last forever. I still haven't gotten over the passing of my baby sister Linda in March, 2000. I've lost 3 good friends who were agents in my office, over the ten years I've been there, Grace Wu, John Fry and Paul Fiore. Recently, we've lost 3 outstanding Detroit area sports personalities. I have to admit, I did not know Sonny Grandelius, the former star MSU athlete and coach and for that, I am a lesser man. But I did know George Puscas and I'm saddened this afternoon to hear of the passing of Will Robinson.

I met George many times covering all kinds of events, because he was a columnist and covered many events. His 65 years at his beloved Detroit Free Press will probably go down as the longest tenure of anyone at that newspaper. I would not miss his weekly "Love Letters" column and had missed it greatly since he finally hung up his typewriter in 2006. Whether it was at a Lions game, a Tiger contest, at Joe Louis Arena for the Wings, a U of D hoops game or even the Unlimited Hydroplane races, George was always helpful to this onetime young reporter. He will be terribly missed and we may not see his like again.

Will Robinson was a ground breaker. He was the first black head coach in the Detroit Public School League, coaching both football and basketball. In 1970, after leading the Pershing Doughboys to their second state basketball title in 4 years, he left the PSL to become the first black head coach at a Division One university, Illinois State where he coached all American and future Piston head coach Doug Collins. In 1976 at age 64, he took on a new role at an age when most men are ready for the rocking chair. He became Piston's scout. He already had been a scout for the Lions for whom he had discovered Lem Barney. With the Pistons, he discovered Joe Dumars and Dennis Rodman and was a confidant to many Piston players including Isiah Thomas. Will was a fun man to be around, always upbeat. He never looked his age. He finally did retire as an assistant to Dumars in 2003. He died this morning at age 96.

They always go in threes. My sympathies to their families.

By the way, what a day Sunday, April 27 was. Nationally and locally it was called 'The Big Open House." From talking with several agents in my office and from my own experience at my open house, I know there was a terrific turnout of people, looking at homes. Some 2000 were on display in Southeast Michigan alone. Congrats to the organizers and hopefully, it will turn out to be one of the steps that brings our local housing economy back to life!

A Leap of Faith

2008-02-29T15:28:00.004-05:00

Well, as I write this it's a rare day, a once every 4 years day. Leap year day, February 29! So, since it's so rare and since I'm in a rare mood, lets do something I never do, lets talk politics shall we?

I see Wayne County Executive Robert Ficano has gone on record today as saying Detroit Mayor Kwame Kilpatrick should not be pressured into resigning. He further stated that his thoughts on this could all change if Wayne County Prosecutor Kim Worthy charges the mayor with purjury in the text messaging scandal. I feel Ficano is right. No matter what you may think about his private life, Kilpatrick has done more for the City of Detroit as mayor, than any of his predecessors over the last 40 years combined, dating back to the 1967 Detroit riots. He's bringing business back into the city and he's striving to improve neighborhoods which, in my opinion, is the real key to making Detroit a world class city again. For years, city leaders felt improving the downtown riverfront area was the key and they neglected the neighborhoods.

Many of the "letters to the editors" I see in the 2 Detroit dailies and the public voices I hear on Detroit talk radio stations, are not the "voices" of Detroit. They are outsiders, like me, living here in the suburbs. Maybe they feel they can tell Detroit and the mayor what to do, because they work in Detroit as I did for 15 years and thus, pay a city income tax, as I did. But they don't live there, they live in the suburbs. Many don't even work in Detroit. If you don't live there, what right do you have to tell the city what to do? Reporters can be very selective sometimes as to who they talk to on the streets, when they talk to residents. My sources tell me, many Detroit residents don't even want to talk to reporters. So how can you get a true feeling about what's going on in the heads of the Detroit electorate if they won't talk with you?

Yes, I'm in a rare mood. But not rare enough to want to stunt Detroit's recent growth. Detroit's "hip hop" mayor may have done some illegal things, but that's for the courts to decide. His youth and his surrounding "posse" have made him feel like king of the mountain. Yet he is a smart, sharp guy and a great public face for the city. However, if it becomes clear that his public face is being hampered by his private face, then yes, there should be hell to pay. As Ficano said, if Kim Worthy charges the mayor with purjury and he's found guilty, then he must go! But for now, let him stay on the job and do his thing, which is reviving this once great middle American city. As one Detroiter, not suburbanite, said on the local TV news the other day, "why don't they just let the mayor alone and let him do his job for the rest of the term for which he was elected?"

Strictly Baseball On This One!!

2008-02-13T20:42:00.002-05:00

I watched much of Roger Clemens and Brian McNamee's testimony before Congress today and came away thinking what a dog and pony show. With a war going on in Iraq and Afghanistan, with Michigan and soon, much of the rest of the country in recession due to an economy that's in shambles, mostly due to homes sales and mortgages and with possibly the most important Presidential election in this country in years on the horizon and Congress is worried about the use of steroids or HGH in baseball? One Congressman even asked Clemens today what uniform Clemens would wear when he enters the Hall of Fame. Come on Congress, get a life!!

And then there's the media. I turned on one of the local sports talk stations and low and behold, they're telling me how Clemens is being "crusified" by Congress. Well, from where I was sitting, both here at home and then later on my real estate office computer, I saw McNamee getting his share of verbal abuse from the Congressmen and Congresswomen who were on hand. But then again, that's the media, ready to dub someone guilty until they're proven innocent. Think O.J., Robert Blake and others.

Hey, I don't know anything about this steroid usage issue, whether Roger did or didn't. Yes, I do care, because if he did, it's just another black eye for baseball. The game will continue getting black eyes, until they hire an independant commissioner, similar to what we had before Bud Selig took the job. Big Bud at the time, was a baseball owner and he continued in that capacity for quite some time after taking on the commissioners post. The leaders of the game, must clean up their own act before they can even think about cleaning up the sport itself. Lets bring in another Kenesaw Mountain Landis or Bart Giamatti to bring baseball back where it needs to be, untainted and unquestionably the "national pastime."

The Current Real Estate Trend

2008-01-23T11:06:00.000-05:00

I don't know if you saw the article in Monday's Detroit News entitled "2008 may be brutal again for Michigan real estate," but there were some interesting points made in the article, which was written by Nathan Hurst.

According to Realcomp, which is the multiple listing service most used by Southeast Michigan agents, home sales in our area have fallen 14.4 percent since 2004. But the even bigger news is the average sales price of a home in Southeast Michigan fell 17.3 percent over that same time span, 2004 to 2007. So if your home was worth 200,000 in 2004, today it would be worth 165,400. Yet, as an agent, I'm seeing homeowners and their agents, still trying to list that home for 200,000! The problem with that, is the eventual appraisal. If someone puts an offer in on that home for say 190,000 for the sake of argument and the seller accepts, within a couple of weeks, the appraiser for the buyers mortgage company is going to visit the home. That appraiser will go back 6 months to check recent sales prices in the neighborhood and they'll see that similar homes in that sub have been selling for 165 to 170,000 and they won't be able to appraise that 200,000 listing for it's 190,000 sales price. Thus, the mortgage company won't give the buyer a mortgage and THE DEAL IS OFF!!!! Sellers seem to forget the appraisal process when they price their homes and this was a good example of what COULD happen.

The Detroit News article goes on to say that new home construction in our area is at it's lowest level in 40 years. The article also says 2007 foreclosures were up 65% over 2006 figures.
But there are great bargains out there and of course, if you're a buyer, I'd love to show them to you. They are everywhere and with the Fed cutting interest rates 3/4's of a point on Monday, expect the interest rates on 30 year fixed rate mortgages to fall even further, to record lows, closer to 5% interest than to 6%.

If you'd like to learn more, give me a call at my office number, 248-526-2193 and I'd love to chat with you about the opportunities in today's real estate market.

It's That Time Again

2008-01-10T14:06:00.000-05:00

I haven't blogged anything for just over two months, so I guess it's time to crawl out of my hole, end the holiday break and vacation and put my nose to the grindstone once again!

Good news for buyers! Did you know that mortgage interest rates are back down below 6% on a 30 year fixed? I just spoke with my regular mortgage guy, Dave Tumey of Cambridge Mortgage and he tells me the rate yesterday, was 5.875% on a 30 year fixed, while today it bumped back up to 6% on the nose. So it does vary from day to day. Many in the real estate industry feel there's a lot of pent up demand out there for home buyers so with mortgage rates dropping from the 6.25 to 6.375 they were at a few months ago down to 6% and lower, maybe these buyers will start crawling out of the woodwork, just like I've crawled out of my hole to write this blog! If this is true, it means the poor real estate market we were in since mid 2005 may have finally bottomed out and there's nowhere to go but up. Just don't look for any of those special mortgage rates and "low cost" loans that were out there a few years ago. Such deals almost ran the mortgage industry and the nations economy into the ground!

I guess I'm also obligated to write something about sports so here goes, in no special order. While I've been away from blogging:

Roger the Dodger (of questions that is) has said he didn't do steroids. Do you believe him? I Don't. In his Sunday interview with Mike Wallace, he looked awful clammy to me, like he was ready to sweat bullets at any time. Good thing he wasn't attached to a lie detector then. I can't believe that Andy Pettitte, Roger's good friend and Roger were outed by the same trainer. Then Pettitte admitted to it, but Roger is still in denial.

Lloyd Carr retired as Michigan football coach and Michigan, after a 4 week search, landed Rich Rodriguez as their new head coach. Hey Rich, wanna buy a house? Congrats to Lloyd on a career well done and for that sweet win over Florida on January 1. Now if Rich can find himself a quarterback and replacements for the likes of Manningham, Hart, Arrington and Long, UM might win another 8 regular season games next year! Difficult system adjustments are ahead.

The Lions finished their season, losing 6 of their last 7, thwarting their media critics. I got sick of hearing from the media after the Lions were 3-2, that they'd lose their last 11, to finish 3-13. Then after they were 4-2, they'd lose their last 10 to go 4-12. Finally when they were 6-2, they'd lose their last 8 to finish 6-10. I saw the 2007 Lions season as a 4 win improvement over 2006 and if they win 4 more next year over this years 7 victories, watch out!!!!!

The Wings are the best team in hockey, by far, but Hockeytown has turned into a ghost town as far as attendance goes. Well gee, what did you expect, to win the Stanley Cup in January? Just shows to go 'ya how little the regular season means. It's the playoffs that count and local Wings fans have heard that song before about the Wings being hockey's best, October thru April, only to fall flat in May. And Darren McCarty isn't the answer. It goes far deeper!

Finally, that whopper of a Tiger trade with the Marlins. The Tigers get a 24 year old superstar in the making in Miguel Cabrera and a young 25 year old former Cy Young Award runner up for a handful of unproven prospects. WOW! Print your World Series tickets now Mike Ilitch! Boy the pressure on Jim Leyland in 2008 will be enough to make him smoke. Oh, wait a minute, he already does. The Tigers will be beasts in the Central, but the BoSox lie in ambush.

So that's it for blogging for now. Hopefully it won't take another 2+ months before I have something else to say. But then again, I always have something to say, it's just finding the time to do it in that's hard!

To Sell Your House, Make It Shine

2007-10-30T16:28:00.000-04:00

Recent stories ARE true, we definitely ARE in a downtrend in the real estate market. Since the middle of 2005 here in Metro Detroit, it's turned from a sellers market, where sellers could literally name their own price, to a buyers market where buyers can literally name their own price. There are many, many more homes on the market at this time of year, than there were at a similar time in any year, from the late 1990's to 2005. As a result, there is a "glut" of homes on the market, meaning a buyer has many homes to choose from fitting his or her needs. An example would be a buyer looking for a ranch in the $200,000 range. 5 years ago, there may have been 10 houses to look at, matching the buyer's criteria. Today, there are 40. So what to do to make your home stick out amongst the "glut.".

First and foremost, price it right. A buyer who's done their homework and a good real estate agent will know value when they see it. An agent can just look on the Multiple Listing Service, see a price in a certain neighborhood and know it's priced to high and may not even show your home. If you price your home to high with the thought of gradually reducing the price a bit at a time, you could be in for a long wait for an offer. While your house sits on the market, more and more houses are entering the marketplace making your high priced home, even less desirable.

Second, make your home sparkle. Remove the clutter and open it up. Do work both inside and out to give the home more curb appeal. Inside, paint walls, polish floors, shampoo carpeting and follow the advice of your Realtor who knows what's appealing to buyers currently out there looking, because in many cases, your Realtor is also working with buyers and he knows what their current likes and dislikes are.

Third, choose your agent carefully. Select at least 3 agents from 3 different companies to interview. Many sellers think the important thing is what commission the agent will charge. But MARKETING is the key. An agent may charge you a low commission, take a picture or two and put your home on the Multiple Listing Service and that's it! A full service broker WILL charge a higher commission, but will not only take pictures and put your home on the MLS, but will do virtual tours, put your home on many Internet websites, buy print advertising and will constantly keep you informed about what's happening in the marketplace. The full service broker could get your home sold weeks, even months faster than the "commission cheapie."

All in all, it's not easy being a seller. There are big decisions to make and I'm here to help you make the right choices!

Let The World Series Begin!

2007-10-24T12:42:00.000-04:00

Well, it's World Series time and I have to say I think the Red Sox will take the Rockies in 6 games or less. Now I have to be careful here, as a native New Englander and lifelong Red Sox fan, not be to biased. Boston has been going to World Series since the first one was played, back in 1903, when the then Boston Pilgrims beat the Pirates. Back then, there was no such thing as Fenway Park. The Boston franchise played it's games at the Huntington Avenue Grounds, now the site of Northeastern University. Fenway Park didn't open it's doors until April 20, 1912 and what a season that was for the renamed Red Sox in that fine piece of real estate.

One of the big differences between Detroit baseball and Boston baseball is the Tigers are not a regional team, they basically draw from Michigan, Northwestern Ohio and parts of Western Ontario and that's it. The Red Sox are New England's team, drawing fans from all six New England states and the Canadian Maritimes in what really is a regional franchise. And that's where the great 1912 Red Sox team comes in, the first Boston team to win a World Series with the nickname of Red Sox. With a roster full of New Englanders, they beat John McGraw's Giants. The 1912 Red Sox featured 2 eventual Hall of Famers, outfielders Tris Speaker and Harry Hooper, neither of whom were New Englanders. Catcher Bill Carrigan was from Lewiston, Maine. Pitcher Ray Collins who went 2-1 in the World Series and was from Burlington, Vermont. Backup 1st baseman Hugh Bradley, 4th outfielder Olaf Henriksen and 20 game winner Buck O'Brien were all from Massachusetts. There was even a Michigander on the 1912 World Champion Red Sox, utility infielder Neal Beal from Grand Haven.

Finally, one of the great clutch hitters of his era anchored the infield at third base. Burlington, Vermont's Larry Gardner! Now I met Larry in 1975 in Burlington, where I worked in radio. Here was this white haired little man, at that time age 88, at a dinner I attended and I was introduced to him. Turns out I knew little about him other than I was told he played at one time for the Red Sox. Well folks, Larry Gardner should be the third Hall of Famer from that 1912 Boston Roster. He started at third base for 4, count 'em, 4 world champions. The 1912, '15 & '16 Red Sox and the 1920 Indians. He had a lifetime average at 289 and just under 2000 career hits. A superb fielder along with his clutch hitting, Gardner, like fine wine, actually became better with age, have back to back 100+ rbi seasons with the Indians in 1920 and 1921 and his batting averages got higher as he got older. His stats stand up to any third baseman who's ever played the game!

Larry Gardner retired from major league baseball in 1924 and went back to Burlington to become head baseball coach and athletic director at his alma mater, the University of Vermont from the late 1920's until the early 1950's. The indoor track facility at the school is named for him and his former 1912 Red Sox teamate and fellow UVM grad Ray Collins, the Gardner-Collins cage. Larry Gardner was also a lifelong friend of University of Michigan baseball coaching legend Ray Fisher, who was also a native Vermonter and they annually coached against each other in the summer Northern Collegiate Baseball League, which was based in Vermont.

So when you think of regional major league teams, don't forget the Red Sox and that team of 1912, which opened Fenway with a bang, won a World Series title and with a quarter of their roster being New Englanders, earned the Boston franchise the title of "New England's Team."

For those of you who are new to Larry Gardner's name, he died in 1976 at age 89, a few months after I met him. Check out his stats for yourself by clicking on this link. You'll be amazed at what this man did in his career of basically 13 full seasons and 4 world championships, I promise you:

http://www.baseball-reference.com/g/gardnla01.shtml

He belongs in Cooperstown! Thanx......Paul

October, the 10th and Greatest Month!

2007-10-12T14:31:00.000-04:00

I love October. The weather in my opinion, is the best of the year. Early in the month, warm temperatures, then later crisp days and nights as winter draws near. The color of the leaves in their autumnal change lets you know that winter is just around the corner and many sports, high school and professional, start to go full bore in. In baseball, it's the playoffs and World Series and the pro basketball and hockey seasons are just beginning. The pro seasons are way to long though. I remember when I was a youngster, the World Series ended in mid October and the pro basketball and hockey playoffs finished in April.

Sports wise, the Tigers season was a disappointment in that injuries derailed them. They should bounce back strong next year with Pudge Rodriguez still there to lead. They'll find a new shortstop, possibly Cesar Izturis of the Pirates and look for them to enter the Adam Dunn sweepstakes to get a heavyweight and heavy hitting left fielder. In hockey, the Red Wings will disappoint their fans once again, with a great regular season then a slip and fall in the playoffs. When will Wing's management realize you must be competitive in the playoffs and win the occasional Stanley Cup, to keep putting fannies in the seats? It doesn't matter whether they play in the east or west, whether they are allowed to fight or not. What matters is to win cups and the Wings are now 5 seasons removed from their last title, soon to be 6.

In football, the Lions will have their ups and downs this year, but I still see them finishing at 8 and 8, which might get them into the playoffs. Michigan football will go 8-4 in the regular season, a far cry from what was expected, but Mike Hart will be one of the finalists invited to New York for the Heisman Trophy ceremonies. And the Michigan State Spartans will have a winning season and will go to a bowl game. As for the Pistons, well, they like the Wings, are getting older, but there is hope that some youth will be infused with their new draft picks. They'll be competitive again but I don't see them getting to the NBA Finals.

As a Realtor, October signifies a slow down in the selling season, a chance to put on the brakes a bit and reflect back on the year 2007. As a Realtor in the only state in the union that's in recession right now, it's been difficult and I don't see it getting any better for us, Realtors or our clients, until mid 2009, so hang in there. October is also a time to look ahead for all of us to set our sights on that new year that's just around the corner. I can't wait for the excitement of 2008, with new hope ready to burst from every seam. The elections will be upon us soon and that will also bring change.

I can't wait. I love October!

Post Season Baseball

2007-10-03T16:05:00.000-04:00

Well, the regular baseball season is over and I for one, was disappointed that the Detroit Tigers did not fare better in their quest to repeat as American League Champions. What my feeling is, the Tigers 2007 showing was disappointing due to injuries. Kenny Rogers gone for most of the year, Fernando Rodney out for a month and a half and Joel Zumaya missing more than half the season, cost the Tigers 10 or 12 wins in my opinion and you add those 10 or 12 wins onto their final season win total of 88 and the Tigers are Central Division champions and in the playoffs. On other Tiger issues, nice to see Jim Leyland get a contract extension and I think that will be the route the Tigers use with Pudge Rodriguez. Rather than picking up his 13 million dollar option for 2008, I think they'll extend him 3 years at around 9 or 10 million a year, keeping him in a Detroit uniform thru 2010, if Pudge will accept that. What the Tigers need more than anything now is a left handed thumper to play leftfield, a new shortstop, preferably with a great glove more than a big stick and a veteran starting pitcher even if Rogers comes back.

As for the post season, in my opinion, the best team I saw the Tigers play all year was the California Angels. They have a great combination of speed, hitting and pitching and they looked more like a National League style team, whenever the Tigers played them . I really think the Angels will take the American League Championship and I have a feeling Lou Piniella will work his magic with the 2007 Cubs, as he did with the 1990 Cincinnati Reds and lead them into the World Series. It's my belief that the Angels will prevail in a 6 game Series, to bring home the bacon to Los Angeles for the second time in 6 years. I just wish the ol' singing cowboy, Gene Autry, could have lived to have seen his Angels win a title. He meant so much to the game over the years. The Cubs will give the Angels a battle in the series, but California has to much veteran experience when it comes to the playoffs.

As for real estate, an agent asked me in the office today, how many homes were for sale in Troy right now. Well, a check on the multiple listing service on my trusty computer, revealed 607. Before the Michigan recession began a couple of years ago, that figure in late September/early October would have been in the 350 homes range. Another agent asked, well if there are currently 607 Troy homes on the market, how many Troy homes have sold this year. Another check turned up the figure of 515 home sales in Troy since January 1, 2007. At the rate of 607 sales a year, that's enough real estate inventory to last thru next July! By the way, a third agent told me that 68 of the homes for sale in Troy are foreclosures, clearly 11% plus of the 607 homes available. Don't believe we're in a statewide recession? Well, those real estate figures speak the truth more than anything else speaks about our current Michigan economy!!

The Real Estate Downturn Continues

2007-09-28T14:39:00.000-04:00

Sorry I haven't blogged for 3 weeks, but I've been out of town on vacation! No high speed internet, just dialup available where I was in good ole' "Hooterville," where they say, "the internet, what's that?!"

While away I did manage to read the Detroit papers daily via that slower than slow dialup and I noted that area home prices are down 18% from their levels of 3 years ago. WOW! That means a home that sold for 200,000 in 2004, today would sell for 164,000! Now if you paid 200,000 for that home in 2004 and put a nice 10% down and borrowed the rest, well, you see where I'm headed. You borrowed 180,000 on a 30 year fixed and probably today owe 173,000 or so on that mortgage. Meanwhile Mister real estate man (or woman) is telling you your home is only worth 164,000. This is what we call a "short sale," where the homeowner actually brings money to the closing table to pay off their mortgage, their real estate costs and taxes, just to get out of the house and move on. This is why not only in Detroit, but nationally, we're in the fix we're in economically. Plus here in Metro Detroit, we've been in a big economic turndown for the past 3 years anyway and the rest of the country is just starting to catchup with us.

If you're not in a "short sale" situation, good for you! If you're thinking about trading in that old home for a newer, bigger model, remember, your home may be worth 18% less than it was 3 years ago, but, that new home you're planning on buying is worth 18% less as well! So it all comes out in the wash. If you're waiting for the price of your current home to rebound to 2004 levels, good luck. It will take YEARS for the current market to recover back to those 2004 price levels, so if your planning on selling and getting something bigger and better, remember what I just pointed out. That new bigger and better home will be at a nice bargain price as well!!

This and That, But Mostly That

2007-09-05T12:27:00.000-04:00

It's September, time for football and baseball to take over our thoughts as the long summer days start to turn towards those cold winter nights. Real estate wise, I wonder how many people realize the second busiest real estate season, begins after Labor Day and lasts until Thanksgiving. When is the busiest real estate season? That's an easy one, March, April, May and part of June until the kids get out of school. Incidentally, if your wondering, it is still very much a buyers market, especially for first time buyers. They don't have to worry about selling their current home and there's some great deals to be had out there.

As far as sports, The Detroit Tigers seem to be tripping all over themselves to fall out of the pennant and wild cards races. Many are blaming things on manager Jim Leyland. Fans tell talk show hosts and sports forums that "Leyland has to go." That his strategies are "outlandish and nonsensical." Well, last season every move Leyland made turned to gold. This year, he makes those same moves in the same game situations and the moves all seem to backfire. Yet Leyland did not rip the 17 wins that Kenny Rogers posted last year out of the pitching rotation, nor did they give Garry Sheffield shoulder problems, which took him away just after the All Star break, leaving the Tiger offense in shambles since.

Then there's the Michigan Wolverines, losers to Appalachian State. Is it time for the Lloyd Carr era to end? He's given the university to much of his time and effort to not be able to call his own shot. However, the currently 38 year long Bo Schembechler era at the school, must end once Lloyd steps down and that means no promotion from within. New blood and fresh faces are needed. It's time to go outside the Wolverine family for a younger coach who can give the program a good 20 or so years, just as Don Canham went outside of the Wolverine family to name 39 year old Bo Schembechler head coach back in 1969.

Beat The Glut!

2007-08-17T14:22:00.000-04:00

To show you how far down home prices have gone in Metro Detroit after years of steadily rising prices, most good agents are now quoting 2001 figures when they do a competitive market analysis (CMA) on a home. Several weeks ago, I did a CMA in my Troy subdivision and the couple who owned the home, said "we'd love to list our home at the 2001 price." Well, not really and here's why.....

They lived in a medium sized ranch that sits on a main street. Living on a main street means you discount the value of the home 5 to 10% over similar homes in the sub that are not on a main street. In 2004, this home would have gotten an asking price of $182,500 with that main street discount included, but in 2001 it's selling price would have been about $160,000. Home prices in Troy rose about 15% from 2001 to 2004. I quoted them what I felt was a generous listing price of $169,900. They have since listed with another broker for $176,500.

Another point for those waiting before listing, hoping for a return to pre 2005 prices, don't hold your breath! That wait could last 4 or 5 years before market prices rebound. The current Southeastern Michigan housing market appears to be steadying after 2 solid years of declines, but it's not ready to go up and the big reason is the housing glut. 75,000 homes on the market in Metro Detroit speaks for itself. There are buyers out there, but with 75,000 homes to choose from, compared to around 25,000 available in Augusts prior to 2005, buyers can be very picky. The best thing a homeowner can do right now, fix or update your home so when the time comes to market it, it will be appealing enough to "beat the glut."

Bonds Works For Me!

2007-08-09T10:50:00.000-04:00

So Barry Bonds is now baseball's all time, home run king. Congratulations Barry!! Is it possible we've all misjudged this man over the years? I saw an interview with him on Wednesday night August 8 on "The Best Damned Sports Show Period" on Fox Sports Network and Barry came across as very genial and friendly in the lengthy sit down with Giants broadcasters Duane Kuiper and Mike Krukow. Detractors might say "well Bonds was being interviewed by a pair of his own, a couple of ex major league ballplayers and current Giant broadcasters." That's true, but it's not like these 2 guys were "schlock's." Krukow, a former pitcher and one time 20 game winner with the Giants and Kuiper, a longtime shortstop with both the Indians and Giants, are both 5 time Emmy award winners. Both had excellent questions for Bonds in my opinion and both shared incites into his career as both had played against Bonds.

And it was great to hear Hank Aaron inject his two cents worth in a pre-taped recording which was played on the scoreboard after Bonds had broken Hank's record. Aaron's words were well chosen and hit the mark right on the bullseye. I did hear some local Detroit sports talk show hosts claim that Hank looked "uncomfortable" on camera as he read his statement. But having followed Hank's career over the years, I remember him as always being "uncomfortable" in such situations! Hank is and was always a quiet and humble man. The fact that he was not on hand live for Barry's record breaker, doesn't surprise me. Hank said he did not want to become the center of attention and take away from Barry's moment. After all, Babe Ruth was not on hand when Hank broke the Babe's all time career home run record (the Babe was dead at the time!) nor was future Hall of Famer Roger Connor on hand when the Babe broke Roger's career home run record (Roger was alive and well and living in his home town of Waterbury, Connecticut).

Finally, I heard one of the best comments I've ever heard on the "Bonds and steroids" issue the other day on another one of those local sports radio talk shows. The hosts were talking about a possible asterisk being placed by Bond's name for holding the career homer record. A caller phoned in and told the hosts that if you put an asterisk by Bond's name for holding a "tainted" career home run record, then "you'll have to put an asterisk by every major league baseball record which was made prior to 1947." That would be all of the yearly batting champions, all of the annual hits leaders, all of the season's wins leaders, all of the shutout leaders, all of the yearly home run champions, etc. Why place an asterisk before all of those records? Replied the caller "Because blacks were not allowed to play major league baseball before 1947."

Bernanke and the Fed

2007-08-07T16:08:00.000-04:00

So the Federal Reserve Board has kept interest rates at 5 1/4% with no sign of dropping them for the near term anyway, which will more than likely be for the rest of 2007. If there's any good news from the Fed's August 7, 2007 meeting, it's that they didn't raise rates, which I say with my tongue firmly planted in my right cheek. So what does this all mean for the real estate consumer? Frankly, very little. It means the Fed is worried about a slight upswing in inflation, even though employment remains high and economic growth nationally is still solid. Our economy, nationally, is still humming along.

It's surprised me in my years in real estate, how many people think that mortgage interest rates are based on what Alan Greenspan and now Ben Bernanke and their colleagues do with the Federal Reserves interest rates. But such is not the case. That 5 1/4 rate that the Fed held steady at, is what the Federal Reserve charges other U.S. banks to borrow money from them. If you want the real barometer on what's happening with mortgage interest rates, keep an eye on the 10 year, U.S. Treasury note. It's rate will always be your basic rate for a 30 year fixed mortgage.

Yes, what the Fed does is important, because it shows what they feel about the U.S. economy, not the home mortgage market. So the next time you hear someone touting on radio or TV "better get your mortgage now, before the Fed raises interest rates," pay little heed to what they're saying. One thing I do know for sure right now, when it comes to mortgage rates, you're better off with a 30 year fixed than with anything else. And this final note, for those who think house prices are not dropping. My next door neighbor in Troy closed on his house last week, selling it for $178,000. 4 years ago, he paid $201,000 for it and it's a beautiful home!

Does Bonds Deserve Bud (and vice versa)

2007-07-23T16:36:00.000-04:00

Well, maybe Barry Bonds deserves a Bud if he breaks Hank Aaron's record of 755 career home runs soon, but that's a Bud as in the beer, not Bud as in Commissioner Bud Selig. After all, then Commissioner Bowie Kuhn was not on hand when Aaron hit number 715 in 1974, to break Babe Ruth's career mark. Was it a slight in 1974. I think not. Will it be a slight this year if Bud isn't on hand for the record tying and record breaking bombs. Again, I think not! Potentially to many games involved and to many cities to see.

By all accounts, Selig was on hand in his hometown of Milwaukee and I might add here, the hometown of the commissioners' office, over the weekend past, as the Bond's led Giants took on the hometown Brewers with Barry just 2 homers away from tying the record. He didn't hit a homer though. So, what if it takes 10 games for Bonds to hit a pair of homers to tie. Should Selig attend all 10 games. An emphatic NO! And likewise, after Bonds ties the record, if it takes another, say 6 games to break the record, should Selig be at all 6. Again, an emphatic NO! I would hope the Lord High Commissioner of Baseball has better things to do than to traipse around following Bonds from city to city. After all, there is the business of baseball to be taken care of and that business is more than Bonds chasing a 33 year old career home run record. So bravo Bud on your decision to stay away from the Bonds Circus for potentially game after game and city after city. This Buds for you!

Also on the subject of baseball, it was nice to see the Tigers honor baseball hall of famer Norman "Turkey" Stearnes on Friday with a plaque being attached to the walls of Comerica Park commemorating his career exploits with the old baseball Negro Leagues and more specifically with the Detroit Stars. Tiger owner Mike Ilitch, President Dave Dombrowski, manager Jim Leyland and other Tiger players and dignitaries were on hand, along with members of the Stearnes family and other celebrants. Yet, "Turkey" was voted into Cooperstown in 2000, but is still on the outside looking in, in the city he eventually called home, Detroit. The plaque honoring Stearnes is on the outside of the stadium walls at Brush and Adams not inside the stadium walls, sadly, though I'm sure not intentionally, it seems symbolic of the fact that Stearnes and others from the old Negro Leagues were on the outside, looking in, when it came to having a chance to play major league baseball!

OK, So now What?

2007-06-08T14:16:00.000-04:00

You're thinking about a new home and you're putting your current home on the market, while trying to make a decision on the amount of possession time you should keep on your current home after closing. My recommendation has always been 30 to 45 days! Why? Because this allows you enough time to find your new home, without panicking into the "But Paul, if my house sells where am I going to live" question. You'd be surprised how many in this situation do panic. But that 30 to 45 day window will give you plenty of time to find your next home! Trust me, it will. It works!! You just have to be aware of what area you want to move into next and make sure you have several neighborhoods to choose from and become familiar with, so that you're ready to strike when you accept an offer on your current home.

In today's real estate market, it's not wise to go out there and find a new home, while your current home is "for sale" but has yet to recieve an acceptable offer. Homes placed on the market today, may sit unsold for months at a time and if you panic and put an offer in on a new home before you've gotten your old home sold, you would be trapped into paying 2 mortgages for months, putting a real strain on your family's economic structure. We're seeing THAT more and more, where people have panicked and gotten trapped into paying 2 mortgages and they wind up with one or possibly both homes in forclosure!! It's a sad reflection on our current local economy, so be careful how you handle it.

With the 30 to 45 days after closing plan for possession, you get an acceptable offer on your current home and you'll still have up to 2 1/2 months to find and close on your new home (the 30 days more or less that it will take the deal on your current home to close, plus those extra 30 to 45 days possession time.) I just had the home of a young family I had listed in Sterling Heights, sell after almost 4 months. Through those 4 months, they were chomping at the bit, wanting to buy that next home, but they followed my advice and waited until they had an acceptable offer on their Sterling Heights abode. Then we put a bid in on a beautiful new construction home in Macomb Township. Both homes will close about 5 days apart, with their current home closing first. The key, they pretty much knew the neighborhoods they wanted to live in and they were ready to strike, once they got that acceptable offer on their current home.

So you see IT DOES WORK!! Just another one of "Paul's Real Estate Pearls."

Is Anybody Worried About This?

2007-05-29T10:14:00.000-04:00

Here's one out of left field for you Detroit Tiger fans. With 4 of their players, including 2 major stars, Magglio Ordonez and Carlos Guillen, being natives of Venezuela, is anybody worried that Venezuela's left leaning president, Hugo Chavez could literally end their baseball careers. Pitcher Wil Ledezma and utility infielder Omar Infante are also Venezuelans. I bring this up because Chavez has recently nationalized the Venezuelan oil industry and just this past weekend, closed down his nations top ranked television station, TV-Caracas, after 53 years on the air, allegedly because they were anti-Chavez.

More and more, Mr. Chavez seems to be following in the footsteps of his hero, Cuban boss Fidel Castro and that's my point. I remember as a young boy, Castro banning his Cuban major leaguers from returning to play American baseball. Some of them at that time, like Reds slugger Tony Perez (then playing in the minor leagues) and future Tiger Tony Taylor (then playing with the Cubs), elected not to return to Cuba in order to continue their major league careers. They were then forever banned from returning to their homeland. To this day, the only way a Cuban can play major league baseball is to defect and seek political asylum. It's a shame, because over the years, Cuba had produced some great major leaguers. Mr. Chavez has recognized that the world depends on his nation's oil supply. When will he notice, as Castro did nearly 50 years ago, that his second biggest export is major league baseball players!

Recently, I've been taking clients out to look at new construction homes, "spec" homes if you will. Homes built by the builder on the speculation that someone will but them. Many of those homes I've looked at, have been sitting vacant for not only months, but several years! Their prices have fallen drastically from what the builders were originally asking and their are some great, new home bargains out there. Recently, the U.S. Commerce Department reported that the sale of new construction, soared in April. But now, predictions out of Washington are that it will take at least until 2011 for new home sales to completely recover to where they were 3 or 4 years ago!!

How About Those Red Wings!

2007-05-23T17:36:00.000-04:00

Congratulations to the Detroit Red Wings on a fine season, just concluded. When this year began, I doubt that many of us would have predicted that the Wings would reach the NHL's "Final Four," but they did. I know from listening to our two Detroit sports talk radio stations over the past few days, that there are fans out there who are unhappy about the Wings-Ducks series outcome. They complain about everything from Nick Lidstrom's stick to Dominik Hasek in goal. Dom had a great series, make no mistake about it and lets hope, despite his 41 years, that the "Dominator" decides to return for at least one more year with the Wings. He's proven that, even at his age, he's still one of the leagues best goalies. As for Nick, he's always been one of my favorites. Lets continue to marvel at his skills in hopes that he spends a few more years wearing the captain's "C", before he hangs up his skates and returns to Sweden for good. There's a sports waiting for him at the Hockey Hall of Fame when he does skate off into the sunset. He's marvelous to watch and a good person off the ice as well.

It was disappointing to see many empty seats at Joe Louis Arena during the playoffs, but I guess with the local economy being what it is, local sports attendance must suffer, just like we in real estate and our sellers, are also suffering. Yes, it's a buyers market out there right now and I don't see it changing any time soon. My best guess, the local real estate market will begin to improve in the spring of 2008. Meanwhile, if you're a buyer, there's a lot of terrific bargains out there. Your Realtor can show them to you!

I will use this blog to not only comment on the local real estate market, but as you can see, on other issues, both news and sports, as well. Stay tuned as they say in radio 'cause "you ain't seen nothin' yet."