Guide Me Home to North Jersey

The spring 2010 Real Estate market is upon us. If you are a buyer or seller, you are probably asking whether to buy or sell now or wait. The real question is: how will the price of homes and interest rates be affected by the following combination of circumstances:

• The expiration of the first and repeat home owner’s tax credit (April 30, 2010.)
• The expiration of the Fed program which protected interest rates by purchasing mortgage backed securities (March 30, 2010.)
• The current foreclosures on the market and the rising delinquency rates (3.5 million in January 2010 vs. 2.8 million in January 2009 according to Fox News RealtyTrac report).
• The increased number of bank owned properties coming on the market.

Supply and demand is clearly at play here. Steve Harney, the nationally recognized real estate guru of Keeping Current Matters, recommends in his January 26, 2010 article, to buy now if the Feds let the current tax credit program expire. He also recommends selling now while demand is still high. We saw what happened to the demand in November when the first tax credit expired, pending sales fell by 10%. In addition, Harney says, prices are projected to fall and not regain footing until 1st quarter 2013. As for mortgage rates, 5 of the top economic publications such as HSH & Associates, Moody’s, Washington Post, Barry Habib, and Morgan Stanley all project rates will rise to between 6% and 8%.

Why is all this important? There is a definite relationship between mortgage rates and home prices. Generally, for every point the mortgage rates increase, the value of the house you can buy is reduced 10%. For example, if you wish to take out a $200,000 loan at 5.0%, your monthly mortgage payment will be $1,074. However, if you borrow $200,000 at 6% your monthly mortgage payment will rise to $1,199. To remain at $1,074, the value of the house you can purchase must be reduced to $180,000.

It becomes clear that the time to act is right now. All the positive forces in the market right now (low interest rates and the 1st time and repeat homeowner’s tax credit to highlight the most important), make this a great time to buy or sell. Let’s talk before interest rates dramatically rise reducing your ability to buy or sell the most house for the best price.

Posted by:Mary Jane Benedetto

In New Jersey, as part of the inspection process, homes are tested for radon. Radon? Most people are unaware of what it is as it is something that can’t be seen, tasted or smelled.

Radon is an odorless, colorless, radioactive gas that is the second leading cause of lung cancer in the USA, according to the Surgeon General. Based on that, you naturally will want to know what the level is in your new home, but even if you aren’t moving, it’s best to test if your home has never been tested.

Radon occurs naturally as a result of the breakdown of uranium and can come into the home through small cracks in the foundation, openings around pipes or pits. Levels of radon in geographical areas can vary, and even fluctuate, from home to home in any given neighborhood.

Radon is measured in picocuries per liter (pCi/L). Testing is easy. It can be done either with a do-it-yourself testing kit or by a professional. If, after testing, your home has a level of 4.0 pCi/L or above, “the U.S. Environmental Agency (EPA) and the N.J. Department of Environmental Protection (DEP) recommend that you take action to mitigate your home if your test results indicate radon levels of 4pCi/L of radon or more”.

First, you need to find a qualified radon mitigation expert. You can call the state for a list, or go online at http://www.njradon.org . Speak to several, and then choose the company that best suits your needs. The EPA website offers a “Consumers Guide to Radon Reduction: How to fix your home” that has a great checklist of questions. It is relatively easy to fix (think new roof or replacement windows.) The process is one of two types: preventing it from entering the home or removing it once it enters. Again, the EPA website has a clear explanation of what can be done. Remember to retest once the mitigation is complete.

Still have questions? If you are buying or selling a house, Turpin Realtors has a booklet that can describe environmental issues for home buyers and sellers prepared by the New Jersey Association of Realtors.  You can also call the Radon Hotline 1-800-SOS-RADON.

Posted by:Mary Jane Benedetto

Mendham Office
8 East Main Street
Mendham, NJ 07945

Phone: 973-543-7400 ext. 19

Email: ampyontek@turpinrealtors.com

View Alaina’s Listings

Alaina May Pyontek, a well-respected broker-sales associate in the Mendham Office, is a top producer with a long record of successful sales. Known for her outstanding negotiating skills, she is a consistent member of the company’s Million Dollar Club.

A real estate professional with many years of experience, Alaina joined Turpin in 1992. She embraces the company’s commitment to quality and integrity, which reflects the way she serves her buyers and sellers.

A friendly, outgoing personality as well as her attentiveness, diligence, organizational skills and sensitivity all contribute to Alaina’s success. She truly loves her work and respects the real estate profession, a viewpoint that characterizes all her dealings. Alaina is a popular member of the Mendham sales team, receiving praise from sellers, buyers, attorneys, fellow Realtors and referral agents.

During her earlier ten-year career as a speech and language pathologist, Alaina became adept at problem-solving and recognizing the needs of others. She has a Master of Science degree in communications disorders.

Clients and co-workers remark on Alaina’s attention to detail and smart marketing plans. She puts her exceptional real estate knowledge to work in today’s market, always keeping the best interests of her buyers and sellers in mind.

Going the extra mile defines Alaina’s professional work ethic. She attained her broker’s license in 2005.

She is passionate about family, friends, travel and real estate. Longtime residents of Morris County, Alaina, and her husband Fred, have raised their two children in Chester Township, where they have resided since 1990.

Bernardsville Office
163 Morristown Rd
Bernardsville, NJ 07924

Phone: 908-766-6500 ext. 241
Cell: 908-391-5570
Email: swagner@turpinrealtors.com

View Susan's Listings

Susan brings an extensive background in marketing, finance and sales support to Turpin. She developed her broad business skills in the telecommunications and business intelligence industries, and now uses these skills to successfully market and negotiate real estate transactions. A graduate of the University of Delaware with a BS degree in Finance and Economics, Susan also has an MBA from Rutgers University.

Clients and co-workers describe Susan as someone who is committed to her buyers and sellers, is technologically astute, and is an effective listener and problem-solver. Drawn to Turpin based on the company's unparalleled reputation, she has become a valued team member who is known for her professional style, caring attitude, and ability to get the job done.

As a 20+ year resident of Peapack-Gladstone who attended Basking Ridge schools, Susan can offer relocating clients firsthand information about local schools, housing options, and more. She is active in the community as chair of the Peapack Gladstone Open Space Advisory Committee and as a member of St. Luke's Church in Gladstone. Susan is married with three children in the Bernardsville school system.

Susan's personal philosophy about her clients' needs is summed up this way, "Real estate is both an important personal and financial decision. I am committed to providing the highest level of service so that my customers can achieve their goals."

Susan welcomes the opportunity to help you with your real estate needs.