September 27, 2007 - Is The Buyer's Market Almost Over?
September 18, 2007 - Lower Mortgage Rates Ahead!
September 16, 2007 - Nine Secrets To Sell Your Property For Top Dollar
September 10, 2007 - Myrtle Beach Boogies Again!
September 1, 2007 - Thank you!
August 28, 2007 - The Sky Falls on the Financial Press' Chicken-Littles
August 20, 2007 - Mortgage Woes = Lower Interest Rates?
August 13, 2007 - Myrtle Beach Is # 1 (Really!)
August 9, 2007 - The Real Mortgage Crisis
August 1, 2007 - Great Service Is Still King!
July 18, 2007 - Did Your Family Grow Up At The Pavilion?
July 14, 2007 - Hilarious FSBO Gone Wrong Case Study
July 13, 2007 - Friday the 13th - Are You Nervous?
July 11, 2007 - What You See Isn't Always What You Get!
Previous Entries

September 27, 2007 - Is The Buyer's Market Almost Over?

With the mortgage industry crisis topping the news recently, qualified real estate buyers have finally decided that now is the right time to crawl back out of the woodwork. Reports of competing buyer offers are on the rise again, which makes sense because these buyers are focused on the properties that are in good shape and priced to move.

Determining if the market is finally turning around is fairly straightforward. Is the amount of unsold inventory (i.e., listings) trending up or down? What about the number of sales? Number of days the property is on the market? And yes, finally... price.

A good example of a changing market right now would be Washington, DC. One of the hardest hit markets a year ago, the capitol district's average days on market peaked at 108 days back in February to 75 days in August, and median prices are up a whopping 25% since a year ago August.

With sales along the Grand Strand down a whopping 27% in August 2007 over August a year ago, our buyer's market is definitely not over, but properties that are in good condition and priced right have been moving in a reasonable amount of time.

And despite the media's doom-and-gloom predictions, Myrtle Beach is every bit the desirable location it was two years ago - and with prices back to 2004 and 2005 levels, the Grand Strand is even more attractive than ever!

September 18, 2007 - Lower Mortgage Rates Ahead!

Wall Street got a surprise this afternoon. Many expected a quarter-point cut in interest rates, but were treated to an unexpected half-point cut instead.

The prime rate -- which influences many consumer and business loans – is expected to follow the Fed’s rate cut. If so, the prime rate would drop to 7.75% from 8.25%. The prime rate has been at 8.25% for the past 15 months. For consumers, the rate cut will mean lower rates on many adjustable rate credit cards, home equity lines of credit and other consumer loans pegged to the prime rate. Some house-strapped consumers also will feel a slight break on their adjustable rate mortgages.

But the hope of many in the real estate and mortgage business is that this rate cut will filter down to primary mortgage loan rates and convince buyers who have been sitting on the fence for months to finally jump into the market, and take advantage of great deals and low rates.

This could be just what it takes to turn the market around - especially in a historically strong market like Myrtle Beach and the Grand Strand. We are watching carefully...

September 16, 2007 - Nine Secrets To Sell Your Property For Top Dollar

Selling your home - in any market - can be an exhausting experience, both emotionally and physically. But selling in today’s market, with lots of standing inventory, has become especially challenging for sellers and Realtors!

According to new Census bureau data, the vacancy rate of homes for sale is at its highest level since the bureau began tracking it forty years ago. This is not good news for property sellers. The prospect of sitting on a house that doesn’t sell for months on end is frightening, and takes an emotional toll on the seller. But here are our top nine ways to avoid emotional turmoil and sell your property for top dollar.

1. Establishing the appropriate selling price for your home is critical! Initially setting the price too high inhibits offers and causes a house to sit on the market and become known as a ’stale’ listing. Setting the price too low may give away thousands of dollars in profit. Either way you lose.
2. Accessibility is key. In today's competitive market, buyers who can’t get easy access to view a home will move on and look - and purchase - elsewhere. Remember, the more accessible you make your home, the greater your chances become for finding a qualified buyer who will pay a fair price for it.
3. A buyer's first impression is everything. Many sales are lost because of cluttered rooms that weren’t de-cluttered, unpleasant odors that weren’t addressed, and thorough cleaning inside and out that wasn’t done! If a buyer is able to look beyond these things, and makes an offer on your home, it will almost certainly be for much less than you'd expect.
4. Minor repairs and simple maintenance will often yield more than double the repair cost at the time of sale. Buyers buy what they see. They always perceive repair costs to be higher than they usually are, and makes them wonder what else you haven't fixed. Simple repairs not being taken care of ahead of time can easily lower an offer on your home by thousands of dollars.
5. If your home isn’t warm, inviting, and presented in ’showcase condition’ to highlight the homes best features, it will make a huge impact on buyers’ perception of value . . . again resulting in a lower offer on the home.
6. You must remember that once you put your home on the market, you can no longer view it as ‘your’ home. You need to depersonalize the space so the buyers can imagine themselves living there. It is a product to be sold, and should be viewed as a dollar and cents business transaction.
7. Every market is controlled by supply and demand. Right now our supply is greater than demand. Buyers are taking this opportunity to shop dozens of homes to compare prices and value. It is imperative that you offer them a home that is in 'showcase condition', generating a greater perceived value.
8. Sellers - and Realtors - who continue to rely solely on traditional methods to market their home will be outperformed by those willing to be innovative in this competitive market. Thinking outside the box in order to find new strategies for attracting potential buyers will greatly increase your chances for a more profitable sale. Be creative with your listing. Offer a home warranty (or other ways to help your buyer sleep well at night) in return for their submitting a serious offer (by being preapproved for financing). Remember, time is money, and why waste time, effort and emotion negotiating with a buyer who ultimately can't buy?
9. Signing with the right real estate agent is key to having a pleasant, profitable selling experience. Their knowledge, marketing methods, negotiating strategy and willingness to go the extra mile can have a huge impact on your success and the profitability of your sale. Choose wisely!

Knowledge can make all the difference in the successful sale of your home. A little time spent now on properly preparing your home as a product to be sold – and a coherent marketing strategy - can save countless hours of frustration . . . and thousands of dollars in profit!

September 10, 2007 - Myrtle Beach Boogies Again!

Did you miss the Beach Boogie & BBQ event over Labor Day weekend? This end-of-summer event that draws the annual Myrtle Beach Sun Fun Festival to a close was a huge success and a jewel in the crown of our Chamber of Commerce and the local Shriners. Price & Company Realty's Tom & Linda Hammond were there!

When we arrived, we were greeted at the handicapped parking area by a truly happy gentleman. As we walked around we were continually greeted by friendly folks, who were thoroughly enjoying themselves, while working to see that all of the guests had a great day. Everything was planned perfectly. Parking was well laid-out with plenty of shuttle busses and golf carts to take you where you wanted to go; driven by happy, courteous people!

The Wheels At The Beach Antique Car Show was terrific! I fell in love with a 1960 white Corvette with silver inserts and black leather upholstery.

Interspersed along the wandering paths around the lake and fountain were local vendors, set up in tents and displaying their wares, including jewelry, games and food. The vendors themselves were an outstanding group of friendly folks having a great time.

Beach music abounded for the entire day, featuring local bands and vocal groups including The Embers, The Footnotes and The Sound Factory. I loved hearing those old sounds that bring back memories of time spent shagging on the beach. Also included on the slate of performers was a marvelous little 7 1/2 year old girl with a great big voice named Gabbie Rae. Remember her name; you'll be hearing about her again!

Let's not forget about the food! On Friday, there was the Anything But Pork competition, but Saturday featured the Official Barbeque Competition of South Carolina, called Smoke On The Beach, which made the whole place smell delicious! This was a good thing, since there was barbeque for sale everywhere you looked throughout the event site. But the food highlight was the International Federation of Competitive Eating's BBQ Sandwich Eating Championship. The winner ate 45 sandwiches in just 10 minutes, followed close behind by a young professional eater with 43.5 sandwiches and a tiny lady professional eater with 25. A local man, non-professional, managed to eat 23 sandwiches in 10 minutes. That means that the winner ate four and a half sandwiches per minute! He is now the World Champion Pulled Pork Sandwich Eater as well as Coney Island Hot Dog Eater Champion!

Kids were well entertained with inflatable rides, games, balloon art, spider jump, tethered hot air balloon rides and more at the Wendy's Kids Zone.

The success of this festival, only in its second year, is a fine example of how well our community works together to show off our beach and entertainment to the rest of the world. To everyone involved: Well Done!

September 1, 2007 - Thank You!

This Labor Day weekend, take two minutes out of your day to go to www.LetsSayThanks.com. Pick out a thank you card design, and Xerox will print and mail it to a member of our armed forces currently serving in Iraq . Best of all, it costs you nothing. Whatever your political persuasion, and your feelings about the war, our troops can always use tangible evidence of our support!

Happy Labor Day Weekend!

August 28, 2007 - The Sky Falls on the Financial Press' Chicken-Littles

The National Association of Realtors is reporting that home sales for the month of July were down 9% from the same period a year ago. Add to this the recent triple-whammy in the financial press of dismal housing starts, housing permits and mortgage lender meltdowns, and you can guess what we expect to see when the August numbers are released next week.

A closer look at the real numbers reveals light at the end of the proverbial tunnel.

The Commerce Department reported both housing starts and permits down sharply, but simultaneously, new home sales rose 2.8%. Do the builders see something we don't?

The financial press certainly thinks they know it all. Their stories this summer revolve around more than 100 mortgage lenders having closed up shop or declared bankruptcy. People arriving at the closing table to find that their lender has disappeared. Foreclosures are up. Buyers waiting for prices to drop, mortgage rates to drop, and the economy to improve - all at the same time.

But how bad is it, really?

"For buyers able to qualify for conventional financing, there are ample opportunities in the current market," said Pat V. Combs, President of the National Association of Realtors. "Availability and pricing of conventional loans are reasonable, and FHA-insured mortgage applications have been rising as low- and moderate-income buyers seek alternatives to subprime loans."

The financial press has been ignoring the vast majority of lenders who have been quietly funding loans all along, from FHA lenders to neighborhood credit unions, who stayed away from the subprime market. Bad news sells newspapers and television advertising, but the fear seems to have taken on a life of its own - much to the detriment of even the stock market in recent days, down more than 5% in the last several weeks.

So, where's the good news that the Third Estate has been ignoring? Take your pick! All bode well for our local real estate market:

1. Interest rates are on their way back down. Nationally, we're seeing rates beginning to hold steady at May levels.
2. Builders have cut prices and added incentives. Here on the Grand Strand, Centex and Portrait Homes have cut prices and Lennar is now advertising in-house mortgage rates as low as 5.5%.
3. Nationwide unemployment claims are down this week, but local unemployment is much lower and has remained steady.
4. Looking for a mortgage? Primary lenders like Bank of America and Wachovia, as well as most FHA lenders and credit unions, are having no trouble funding mortgages for qualified borrowers.

Just remember... bad news in the press does not always equate to bad news in your neighborhood.

August 20, 2007 - Mortgage Lending Troubles Could Bring Lower Interest Rates

Interest rates paid on government-backed three-month Treasury bills dropped more today than in the wake of the September 11th terror attacks, and just under the plunge during the stock market crash of 1987.

T-bill yields have been falling for five straight days. Scared investors have been pouring money into the ultra-safe government-backed debt instead of mortgage-backed securities. The three-month T-bill fell 82 basis points (100 basis points equals 1%) to 2.94%, the largest drop since October, 1987, when the T-bill fell 85 basis points on the day the market crashed. By comparison, the T-bill dropped only 39 basis points on September 13, 2001. Today's decline brought the yield to its lowest point since May of 2005.

A majority of insiders now expect the Fed to cut rates in the next 30 days, even after they cut the Fed Funds rate from 5.75% to 5.25% last week, between meetings. Interest rate futures traders predict a 100% chance that the Fed will lower rates by its next meeting on September 18th. 86% of those bets are for rates to drop to 4.75%, while the balance is for a cut to 5%.

Some experts predict this quick 1% drop in Fed Funds rates will precipitate lower mortgage rates as well.

Wouldn't that be great news?

August 13, 2007 - Myrtle Beach Is # 1 (No, Really!)

Which two words are more popular, according to search engine Yahoo - Lindsay Lohan or Myrtle Beach?

Yahoo reported last week that the term "Myrtle Beach" was the top hit on its search engine, ahead of top searches like Lindsay Lohan and Britney Spears. In addition, AOL reported that Myrtle Beach is the most-searched beach in the United States. And if that weren't enough, a national survey ranked Myrtle Beach as the second most popular family summer leisure destination, right behind Orlando, Florida. We're in good company!

"All of this positive attention could encourage more visitors to consider Myrtle Beach," said Brad Dean, of the Myrtle Beach Chamber of Commerce. The Hard Rock Park and The Market Common, both scheduled to open next spring, could also be generating the added interest.

Apparently all of this interest in Myrtle Beach is working. The Myrtle Beach airport reported 13.3% growth in the number of passengers during the month of July, compared to the same month in 2006. It's the 11th consecutive year of growth at the airport. Much of the traffic increase can be attributed to the local growth of Spirit Airlines, and new local startup Myrtle Beach Direct Air, which has more than doubled its monthly passenger numbers since starting service in March.

All of the reasons folks have purchased real estate here are now stronger than ever, and Myrtle Beach is now more popular than ever. Add in a buyer’s market, and you’ve got the best of all possible worlds!

August 9, 2007 - The Real Mortgage Crisis

Despite what you may have heard or read, the real crisis in the mortgage lending world isn't being talked about at all. But speak with anyone who has applied for a mortgage recently, and you'll hear that consumer trust in mortgage bankers, brokers and lenders has fallen sharply. Mortgage advertising and lead generation activity is turning consumers away in disbelief. And, worst of all, this negativity may be putting the entire industry's reputation at stake.

Harris Interactive recently conducted a poll of 2,383 adults. The results were shocking, to say the least. 22% were convinced that mortgage advertising and marketing is not credible, or even downright deceptive.

During the housing boom, the world of mortgage lending experienced unprecedented growth, but unfortunately, it also opened the door for historic levels of predatory lending, fraud and financial crimes that led to a slew of lawsuits and organized crime investigations. Some consumers are starting to use words like conspiracy, fraud and collusion in their everyday conversations about mortgages, and this is sending up huge red flags in the corporate offices of many lenders, already feeling the heat for the growing foreclosure problem on top of the subprime meltdown.

Alas, there seems to be no good news for mortgage lenders these days. In their efforts to fix the problems, they've had to raise interest rates, which in turn pushes monthly mortgage payments higher and higher - and then finally out of reach for more and more consumers. These rate hikes in turn affect adjustable mortgages, which has pushed an ever-growing number of borrowers into foreclosure.

The industry has a long way to go to regain the public trust as a whole. Individual mortgage bankers and brokers will have to spend much more time and effort explaining to potential borrowers what they can afford, what they can expect, and spend more time guiding their customers through the loan process. Those dubious individuals that make empty promises, or don’t deliver on their word, will find their days numbered.

But perhaps there is one bright spot here, after all. Mortgage professionals who are able to adapt, flourish and succeed during this crisis will discover that they have created a network of consumers and real estate professionals who trust them and their companies, and who happily refer others their way.

August 1, 2007 - Great Service Is Still King!

With the cat yowling in the 'protective' carrier (for whose protection?), I was about to leave the house today when the phone rang. It was the veterinary office in full apology mode. It seems that there was an emergency, and they were calling to inquire if I would like to reschedule our appointment so as to avoid waiting "up to an hour" this afternoon.

Think about this. With one well-placed 30-second phone call, this business (a) avoided a disappointing customer experience (waiting around for an hour); (b) allowed me to better prioritize my time (rescheduling, even at the last minute); (c) demonstrated their complete understanding that my time is just as valuable as theirs; and last but not least, (d) created in me a customer for life.

Now, you would think that in a service industry with one of the highest dollar amounts per transaction, that every real estate agent on the Grand Strand would provide equal, if not better service than a small veterinarian's office. But just this morning I received a voicemail message from local real estate agent who wanted to show one of our listings. Unfortunately, she did not leave her full name, didn't leave a telephone number for me to call her back, and had never heard of the property she wanted to show - and had no clue where the property is located. One can only wonder about the level of service she provided to her customer!

If you are looking for a great veterinarian on the Grand Strand, please visit Seaside Animal Care in Calabash. If you are looking for similar service from a Real Estate company serving North and South Carolina, look no further than Price & Company Realty. We recognize and appreciate great service because our wonderful clients deserve nothing less.

July 18, 2007 - Did Your Family Grow Up At The Pavilion?

Did your family grow up coming to Myrtle Beach and spending hot summer days at the Pavilion? Although the oceanfront amusement park landmark is no more, several of its rides have a new home at Broadway at the Beach, near Jimmy Buffett's Margaritaville. And fans who want to take a ride down memory lane can enjoy "The Last Ride: Memories of the Myrtle Beach Pavilion," a 30 minute documentary next month on South Carolina's public television network, ETV.

Burroughs & Chapin Company, which owned the park, plans to build a mix of stores, restaurants, lodging and attractions there, but is reportedly waiting until the Myrtle Beach Downtown Redevelopment Corp. begins the planned boardwalk stretching from Second Avenue to 14th Avenue North.

Price & Company Realty clients who may not have access to South Carolina ETV are welcome to contact us and request a complimentary copy of the documentary.

July 14, 2007 - Hilarious 'For Sale By Owner' Case Study

We've all heard - or experienced - things going wrong between the time we execute a contract for sale and the close of escrow. But I've finally found the perfect example of what happens when unsuspecting folks try to manage a complicated half-million-dollar transaction by themselves... but what makes this story so compelling are the contracts, emails and other supporting documents included as proof. Click Here to read this FSBO-Gone-Bad Case Study.

July 13, 2007 - It's Friday the 13th - Are You Nervous?

It's Friday the 13th. Big deal, right? Well, actually... it is such a big deal that nearly $1 billion worth of commerce won't happen today, because people are afraid to fly, travel, and shop.

But you're not one of those people, right?

Maybe you are. Many people do things every single day because, know it or not, they're a little bit superstitious.

When you yawned this morning, did you carefully cover your mouth? Probably so. It's what we do to be polite. But there's more to it than this--people used to think that your soul would rush out of your body if you issued an unprotected yawn.

But Friday the 13th is special. Maybe you never thought of Friday as unlucky. Fridays are payday for most working stiffs. It's the start of the weekend. There's even that "TGIF" restaurant. Friday is also the Muslim Sabbath and is the day for religious gatherings.

But Friday also carries negative connotations. For starters, Eve is rumored to have given Adam the apple on a Friday, according to Donald Dossey, founder-director of the Phobia Center in Asheville, North Carolina. Jesus was supposedly crucified on a Friday. And on which day of the week are the most pink slips handed out? You guessed it.

The number 13 has been feared for a long time, too--except in Italy, where "Fare tredici!" or "To make thirteen!" is the slogan of the national lottery, where, if you get a thirteen, you win.

Would you have purchased or rented your house or condo, if it was number 13? Did you know that more than 80 percent of elevators don't have a button for the 13th floor? The U.S. Navy won't launch a ship on Friday the 13th. And, as a former flight attendant once told me, many people just won't fly on the 13th, unless they're headed to Las Vegas. Apparently, the unluckiest day has an opposite effect when you're gambling.

We usually think superstitious people just don't know any better, but that's pretty snobby of us. Superstitions are so common that sometimes we don't even recognize them for what they are. Is it really bad luck, for example, for the groom to see the bride before the wedding? Why do brides wear something old, something new, something borrowed and something blue? Superstitions, all of them.

Ten years ago this fall, I got married with something blue in my bride's pocket. So far, it's been a great marriage. Knock on wood.

July 11, 2007 - What You See Isn't Always What You Get!

Real estate agents are in the middle of an ethical debate surrounding their use of creative license in their MLS listings. Property sellers and real estate agents looking for that elusive "edge" are skirting the ethical boundaries of the law by airbrushing property photographs before posting them on the local MLS or their websites.

The National Association of Realtors says that 83% of home buyers search the internet before buying. Given that most of these net-savvy buyers can look at a huge number of listings very quickly, they can just as quickly rule out many properties based on what they see in the pictures. And as internet users continues to increase, airbrushed or retouched photos are becoming ubiquitous.

Two years ago, Jonathan Miller, a Manhattan real estate appraiser, bought a house outside New York City. Shortly after the sale, he looked up the listing on the Web site of the seller's agent and noticed something unusual: The utility lines running over his house were nowhere to be seen in the listing photo. They had been airbrushed out of the picture. Although he would have bought the house anyway, Miller says, he was annoyed by the falsified photo.

"We physically saw the property, and therefore the utility lines, before buying, but did they really need to modify the photo that much? It didn't really seem right, either legally or ethically."

Miller posed this question on his blog, and agents and graphic designers across the country debated the ethics of altering photos to show homes in their best light. Some saw no problem with it; others said it crossed a line. "I was really surprised by the debate," Miller says. "But it seems like what happened to me was one of the least-harmful examples."

Home photos for real estate listings are taken by agents or professional photographers. Some agents rely solely on photographing the best angle. Other agents upload photos into a software program such as Photoshop, where they can crop, edit and visually enhance the images. It's still a gray area about how much "Photoshopping" is too much. The National Association of Realtors' code of ethics requires agents to provide a true picture, although some touching up is allowed. So it's up to each agent to decide what the limitations are.

Before & After

Randy Cohen, who writes "The Ethicist" column for The New York Times Magazine, calls it unambiguously unethical and deliberately deceitful. "There's no such thing as an objective photo unless you take it from all angles. You might photograph the backyard from a particular angle to emphasize the view of the waterfall, and no one would quibble. But if you deliberately remove a bush to get that view, you're definitely crossing the line. Deliberately obscuring the fact that there's a landfill across the street is not ethical.

"Sellers should set a slightly higher standard and give potential buyers a clear understanding of what the house is like. To do that, you should select a certain view of the room, yard or house and present that to the public. The more you deviate from that, the less ethical your conduct."

Bart Wilson, chief marketing officer of Voyager International, a firm that does photo and video graphics for real estate companies, says, "It's kosher to Photoshop out a garden hose mistakenly lying out on the front lawn or make a sunset look more colorful. It's another thing to remove trees and make the neighbor's house look 4 acres away instead of right next door."

Others will alter a photograph and then put a disclaimer on it or nearby, stating that the photograph has been visually enhanced.

For now, it's best that you ask your Realtor up front. Sellers should confirm whether their Realtor will doctor photographs; buyers should ask their Realtor to confirm with listing agents the absense of (or the identity of) any doctored photographs.

For the record, Price & Company Realty does not permit the publication of any altered photographs in any of our listings.

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