When is the Right Time to Buy or Sell?

“Be fearful when others are greedy and greedy when others are fearful.”
Warren Buffet, Chairman of Berkshire Hathaway and possibly the world’s most successful investor.

Scenario #1
• Houses selling same day they hit the market…
• With multiple offers being submitted…
• Offers are coming in without buyer having even seen the house…
• Home values are appreciating by double-digits.

Scenario #2
• Interest rates are dropping in an attempt to stimulate demand…
• Homes are sitting on the market 2-3 months, creating an inventory of supply…
• Less competition as other buyers are more hesitant…
• Homes are appreciating at a modest rate.

Most people choose to jump in under Scenario #1 because they are following others – other buyers, what the media is reporting, thinking they need to get in on the “hot” market. However if Warren Buffet is right, the best opportunity if you are looking to optimize your return on investment is to buy under Scenario #2.

Upstate New York has been fortunate to remain fairly steady throughout the housing boom (and bust) experienced in parts of the country. If you are looking to grow your investment the time to buy real estate is not when the market is going gangbusters; the best time to buy is in a market like today. The housing market, just like the overall economy, runs in cycles. When supply is low and demand is high, prices increase. The result? Good for sellers, not as good for buyers.

Today, we have the perfect climate here in Rochester if you are looking to buy....and also for those looking to sell as home values are holding steady in our market. We have a steady supply of homes coming on the market, interest rates remain low and prices in our region are very affordable.

So if you’re thinking of buying a home....or selling....don’t let the negative press turn you away. Call a Nothnagle agent today or 866-295-MOVE to get started!

Nothnagle Gains on National Power Broker Survey

RIS Media Real Estate Magazine released their annual "2010 Power Broker Report," in their April edition. Nothnagle Realtors rose to #33 in this year's report, an increase in ranking over the 2009 report. Nothnagle is the only Rochester-based company to make the list and the only company doing business in Rochester that actually moved up on the list. The ranking is based on transaction sides.

Last year Nothnagle transacted 8,753 units with a combined sales volume of $1.1 billion. At the time, Nothnagle only had offices in the Greater Rochester region. In February 2010, Nothnagle expanded into the Buffalo market through Nothnagle Realtors - Property Centre which is located at 499 Franklin Street. Nothnagle Realtors - Property Centre will soon be opening a second location in the town of Amherst this Spring.

Click here to view the full 2010 Power Broker report.

We Make Finding Your Next Home Easy

Nothnagle Realtors offers multiple ways for buyers to find information about properties for sale throughout the 25 county region that makes up much of Upstate New York. Through our affiliation with Leading Real Estate Companies of the World, Nothnagle is also your global connection....across the nation and around the globe.

Our exclusive 4-Sale Line makes shopping for a home easy, 24 hours a day. Just call 1-800-295-2797 and enter the 4-Sale Line property code to hear a brief description of the home.

Does your cell phone have internet capabilities? Capture the power of Nothnagle.com right in the palm of your hand with Mobile.Nothnagle.com.

In the Rochester area, visit over 50 homes in 30 minutes with our Sunday Showcase of Homes airing every Sunday on WROC Channel 8 at 10:30 a.m. Missed the program? View this week’s show online. In all regions, Nothnagle.TV allows you to create your own custom TV show

If you're on this blog then you're part of the 80%+ of buyers who begin their search on the Web. Thank you for visiting the region's #1 Real Estate site www.Nothnagle.com.....the only real estate web site you need!

• Search for thousands of homes available for sale throughout 25 counties in Upstate New York.

• Locate one of our premiere real estate professionals. A Nothnagle Agent has the knowledge, training and experience to help you through the buying and selling process.

• Create your own personal page at MyNothnagle. Receive new listings daily by email, save properties, rate listings, stay in contact with your agent.

• Need help? Click on our Live Chat feature.

• Learn more about our Home Services program, available before, during and after your move.

The Effect of Interest Rates on Buying Power

Aside from the tax credit that expires on April 30th, another incentive to buy now is the fact that while interest rates remain at historic lows that is about to change. If interest rates rise it makes your cost of ownership higher and may even price you out of certain price brackets. Bottom line, your cost to own the same home is higher and you may be forced to buy less home.

If you are trying to time the market for the "best" deal, you may be missing out. For every quarter-point increase in the interest rate, it will cost you $6,000 more for every $100,000 borrowed. On a $200,000 loan, it will cost you $50,000 per point. Any savings you may realize from a drop in home prices can easily evaporate as rates rise.

Analysts and forecasters are predicting that we will soon rise from the 5% level into 6% range by year's end. Some are even predicting rates will go as high as 7%. For those who bought a home in the 1980's or early 90's (remember when 9% seemed like a great deal?), these rates may still seem low but the effect of $50,000 or $100,000 additional cost on your loan is substantial.

If you're waiting for the economy to get better, if you're waiting for the media to tell you that we've turned the corner, if you're thinking that all of the mortgage money has dried up....you may be missing out! Although we're at roughly 10% unemployment, 90% of Americans are working. When the media tells you we've turned the corner, it may be too late....interest rates will have risen dramatically by that point. And contrary to what you may read/hear, there is still mortgage money available. Just talk to one of our partners! In the Rochester region, over 1800 individuals and families have purchased homes since January 1st and most with financing.

Don't delay....and if you can get in under the April 30th deadline, there's up to 8,000 more reasons to buy a home today! Contact a Nothnagle agent today to get started.

Spring Maintenance Tips

Now that the snow has melted away, it's time to prepare for some routine maintenance this Spring. Regular maintenance of your property will help you avoid expensive repair and replacement costs down the road.

1. Gutters. April showers bring May flowers but will also bring you big problems if your gutters are clogged. Remove any blockages and look for signs of bending, damage, and areas where water has been diverted onto the roof or siding.

2. Inspect your roof. Shingles can take a beating during the winter months. Also, check for any damage around sun roofs and/or chimneys to prevent any potential leaks.

3. Examine exterior. Walk around and check your siding, look for loose or rotting wooden boards, caulk any gaps between siding and window frames.

4. House numbers. Make sure your house numbers are still clearly visible on your mail box and the outside of your home. In the event of an emergency, it is critical for responders to be able to see your house number in order to locate you quickly.

Many repairs you can do yourself inexpensively. If you don't have the time or know-how, Nothnagle can help! Check out our list of service providers offered through our Home Services. Our participating vendors have been screened for quality and are insured.

Still Time to Qualify for Tax Credit!

These are historic times and one of the biggest benefits to ever hit the real estate industry is going to expire at the end of next month. If you are in the market to buy, or thinking of buying, don't let this unprecedented opportunity pass you by. For first-time buyers, there are 8,000 compelling reasons to buy before April 30th! (6,500 compelling reasons for qualifying "repeat" buyers)

If you are thinking of selling, now is the time! With all of the buyers currently in the market, they need more inventory to choose from. If your home is priced right and marketed properly....it will move quickly.

Some quick facts on the Tax Credit:

1. You still have time but don't procrastinate....buyers must be under contract by April 30 and closing must take place by June 30.

2. A first-time buyer is defined as someone who has not owned a principal residence in the past three years. First-time buyers can qualify for 10% of the purchase price, up to $8,000.

3. An eligible repeat buyer is someone who HAS owned and lived in a primary residence for five of the last eight years. Note - you do NOT need to currently be a homeowner as long as you meet this residency requirement. Repeat buyers can qualify for 10% of the purchase price, up to $6,500.

4. Income limits are $125,000 (individual) and $225,000 (married). A partial credit may be available for buyers falling in higher income brackets (up to $145,000/$245,000).

Visit www.Realtor.org for more information on the Tax Credit, as well as links to IRS forms to claim your credit.

Our agents are very busy and our sales are reflecting the activity in the market place. Since the beginning of our fiscal year on October 1, sales have been up almost 30% over the same time period from the preceeding year. Nothnagle agents have the tools, resources and training to get the job done!

Nothnagle.com - The Only Real Estate Site You Need!

Did you know that you can search throughout 25 counties in Upstate New York, right from Nothnagle.com? Choose from Rochester, Buffalo, Syracuse, Watertown, Oswego, Cortland, Olean, Niagara Falls, Corning, Elmira....and everything in between! Seach for waterfront properties throughout the entire Finger Lakes region, the Great Lakes or local waterways. Nothnagle.com makes it easy.

Need to expand your search beyond Upstate New York? We can help! Through our affiliation with Leading Real Estate Companies of the World, we can connect you to over 10,000 communities across the United States and even around the globe. Nothnagle is the local representative of LeadingRE, the largest network of over 600 premier locally-branded firms producing almost $300 billion in annual home sales. LeadingRE brokerages represent one-third of the U.S. real estate market.

Looking for open houses? Luxury homes? New constrution? Commercial? HUD Homes? Nothnagle.com is your connection!

Nothnagle.com makes it easy to find your next home.

Prevention Tips

Spring is around the corner! And with Spring comes warm weather....and insects? While many people may not realize it, houses in Upstate New York run the risk of pest infestations from wood-destroying insects such as termites, carpenter ants and carpenter bees.

Once a major infestations occurs, you will need the services of a professional to eliminate the problem. But focusing on prevention will help you avoid having a problem down the road.

1. Clear plant overgrowth - shrubs and bushes should not touch the house.
2. Caulk cracks in the exterior of the home - even the smallest of openings can be a conduit into your home.
3. Remove and replace damaged exterior wood on your home. Keep unfinished or weathered wood painted to help prevent rot and decay.
4. Do not store firewood near the house. Keep firewood elevated at least five inches off the ground and a minimum or 20 feet from the house.
5. Keep attic vents clear from getting blocked by debris. Good ventilation is critical to preventing moisture buildup.

For more information, check out this article.

Part 3 - Why NOW is the Time to Buy!

Yes....we're going to say it again. Tax Credit! This is unprecedented in the history of the real estate industry and has been driving home sales for months. But there is an end in sight. The tax credit is scheduled to end this Spring and there has been no indication (to date) that the federal government will extend it. As it stands now, eligible buyers must be under contract by April 30, 2010, and close by June 30, 2010.

First-time home buyers are defined as anyone who has not owned a residence in the past three years prior to the purchase date. First-time buyers can qualify for 10% of the purchase price, up to a maximum of $8,000. Last Fall, the tax credit was extended to "repeat" buyers, i.e. buyers who have owned a home for five of the past eight years can qualify for up to a maximum of $6,500.

If you are holding out waiting to see if a "better deal" will come along....you may miss this opportunity! If the credit exceeds your tax liability, you get CASH back. That cash is what is helping drive the economy....that cash is often spent on furniture, appliances and improvements to your new home. 20% of the Gross Domestic Product (GDP) is real estate-related.

If you are on the fence and thinking about buying, we urge you to get out there, see what's available, take advantage of the low interest rates and if you fall within the income guidelines for the tax credit....you may have 8,000 (or 6,500) compelling reasons to buy a home before April 30th!

For more information on the tax credit, please visit the NAHB Tax Credit Information page.

Part 2 - Why NOW is the Time to Buy!

Let's not forget, the house you buy is a home first and an investment second. After surviving the past couple years and the economic recession, Americans' priorities are shifting. Where years before we may have looked at our home as a status symbol, today many Americans are grateful for having a roof over their head. It's back to basics for many people, where having a job, steady income and the safety net of your house is enough. The net worth of American households droped $14 trillion dollars during this recession. That's not a typo, that's a "t" for TRILLION. This will have a long lasting effect on us for years to come, long after we recover.

With at times over 10% of the population unemployed, millions of homes being foreclosed on, the credit crunch and fear of the unknown, many individuals and families have moved back toward more intrinsic values and wanting to find meaning in our lives. Many people have found comfort and compatibility in family and friends gathering around the home instead of traveling on vacation or going out for meals.

Home is our comfort zone and while it is an important investment, the focus should not be entirely on the cost of the house, the tax benefits or building equity. It also needs to be balanced with all of the the fulfilling experiences that come with owning your own home.

Part 1- Why NOW is the Time to Buy!

In the next series of posts we're going to give you several reasons why buying a home is an opportunity you don't want to pass up in today's market.

In some parts of the country, prices have dropped by double-digit percentage points. In the Upstate region of NY, our prices have help fairly steady through the past couple of years. But regardless of the downward pressure on prices anywhere in the country, in the long term real estate will eventually return to historic returns. Even through the ups and downs of the the past decade, real estate was a better investment than the stock market....hands down.

RETURN ON INVESTMENT Jan 1, 2000 - Dec 31, 2009

DOW JONES -5.6%
S&P 500 -20.9%
NASDAQ -43.9%
REAL ESTATE +56.2%

So where would you want to invest your money, in stocks or real estate?

Geneseo Real Estate Firm Merges with Nothnagle Realtors

Youngs and Linfoot Real Estate is now Nothnagle Realtors! In a joint announcement, John Linfoot of Youngs and Linfoot and Nothnagle CEO Armand D’Alfonso shared the exciting news with their respective sales teams today.

Youngs and Linfoot has served the Genesee Valley region through their staff of highly professional agents since its inception in 1937. The Nothnagle Geneseo Branch will operate out of the current Youngs and Linfoot location at 81 Main Street.

Broker/Owner John Linfoot said, “Our company has always taken great pride in our ability to provide buyers and sellers with professional and personal service for over 70 years. In joining with Nothnagle, we will now be able to provide our clients with enhanced tools and technology. The end result will be that our clients and agents will Get More with Nothnagle.”

“Being able to bring the Youngs and Linfoot team under the Nothnagle umbrella adds tremendous value to the service we can now provide our Genesee Valley clients. They are a very productive and experienced sales team and we are thrilled to have them on board,” said Nothnagle CEO Armand D’Alfonso.

Andrew Kachaylo will serve as Branch Manager, and Michelle Schlossel, Senior Branch Manager, of the Nothnagle Geneseo Branch. John Linfoot will remain on as an Associate Broker and consultant. Nothnagle’s current branch location of 128 Main Street will be relocated to 81 Main Street later this month.

The Stability of Upstate New York's Housing Markets

Recently the Federal Reserve Bank of New York published an article, Bypassing the Bust: The Stability of Upstate New York's Housing Markets During the Recession. While we frequently hear national media reports on the collapse of housing markets in some parts of the country, regions like Upstate New York have not been affected.

Buffalo, Rochester and Syracuse all ranked in the top 10% of metro areas in terms of home price appreciation in 2009. Yes, that's not a typo....it's supposed to say price appreciation! We also have had lower rates of delinquency and foreclosure the article states because we didn't have as many subprime (or nonprime as the article labels them) mortgages taken out during the year preceeding the recession.

Areas like California, Nevada, Florida had a lot of buyers securing subprime loans - many of which went into default. These are the same states that had a dramatic and steep rise in housing prices during the "boom" years. Combined with lenders issuing loans to individuals with poor credit scores and a high debt to income ratio, it was a disaster waiting to happen.

Nationwide, between 2005 and 2008, home sales dropped 30% nationwide. But the good news for Upstate NY was a decline of only 10% in sales across the region. If you look at Chart 1 on page 2 of the article, you can see the steady trend in sales over the past decade.

In terms of home prices, from 2000-2006 Rochester saw an increase of 3.8%; Buffalo 4.8%; Syracuse 6.2% and Albany 10.1%. Even during the recession years, Albany only saw a drop of 1% while the other cities saw an increase of 1% - 2.3% from 2008-2009. In fact, Elmira saw a 6% increase in home prices from 2008-2009. Looking at Chart 3 of metro areas home price appreciation from 2000-2008, you find cities in California and Florida down 15-25%. Some communities are still in a free fall and haven't hit bottom yet.

While homeowners and agents alike were envious of the home sales and price appreciation in other markets during the boom, sometimes slow and steady wins the race. Some communities have been devestated by the housing "bust," but in Upstate New York our housing market remains stable and is an important economic driver in our communities.

If you're thinking of buying or selling but have been hesitating because of the market conditions, contact a Nothnagle agent today to get the real story on our housing market....you may just be surprised at what you find!

Are You Considering a Career in Real Estate?

Nothnagle Realtors is hiring! Have you ever considered a NEW CAREER in Real Estate Sales? Have you already taken the licensing course and don't know what to do next? You've come to the right place!

If you're thinking of real estate as a career, we invite you to find out more about the licensing process and what Nothnagle has to offer you at one of our upcoming Career Day seminars. The seminars are free and there's no obligation, no pressure...just a source for information gathering.

What are some of the benefits of a career in real estate?

• Offers unlimited earning potential.

• Flexibility! As an independent contractor, you make your own hours.

• You are the boss of your own business…..we give you the support and guidance, but it’s your business.

Nothnagle has training and unprecedented support to ensure your success in a new career. If you already have your NYS salespersons license, our next exclusive Face Trac training course begins Wednesday, April 14th. There's still space available! Call 585-624-3370 x. 223 to register.

Our Fast Trac course offers comprehensive training on every aspect of real estate sales. Attendees graduate from Fast Trac and are prepared to hit the ground running. This course will teach you not just the fundamentals but will give you the confidence you need to be successful.

All real estate companies are not the same....Nothnagle can make the difference! See what our agents have to say about us.

Routine Maintenance Best Prevention

Ongoing, routine maintenance is critical to preserving your home's value and preventing expensive repairs down the road. Homes that have not been maintained may lose 10% or more of their value when put on the market. Remember, you only have one chance to make a first impression and regular, preventative updates will make your home easier to show and easier to prepare for showings.

Be proactive instead of reactive by regularly cleaning gutters and replacing furnace filters. Touch up chipped and faded paint periodically. Other suggestions include selecting a different room to update each year, make it a practice to touch up all of the painted mouldings throughout your home each year, regularly shampoo your carpets to prevent wear and tear. A thorough "Spring Cleaning" to declutter, update and make minor repairs will pay off greatly down the road, from preventing serious damage resulting in replacement costs to making it easy to whip your home into shape to put on the market.

Don't have the time (or desire) to do these things? Check out our Home Service providers that have all been pre-screened for quality and service. We offer over 100 services, covering everything from pet containment to cleaning services to remodeling to landscaping....and much more!