Stacy's Daniel Island Real Estate Blog: 2009

Tuesday, December 29, 2009

Buying a Foreclosure

Here is an article with some tips on how to best approach this type of purchase:
http://money.cnn.com/2009/11/19/real_estate/buying_foreclosures_tips/index.htm?postversion=2009111905
One strategy that I think is interesting which is mentioned here is waiting. Banks typically have timelines for lowering prices and are unlikely to accept low offers right off the bat. It seems the first few weeks of having the property on the market is used to evaluate the price more than anything. The risk you take with that strategy is that you could potentially lose out on the property.

Tuesday, December 22, 2009

LMC and SFR Certified!

In an effort to become as knowledgeable as possible about "distress sales" including short sales and foreclosures, I have taken the appropriate courses and webinars to receive both a LMC (Loss Mitigation Certification) and SFR (Short Sales and Foreclosure Resource). I definitely have a tighter grasp on how best to handle these transactions, but the bottom line is there is new information regarding distressed properties coming out every day.
My peers and course instructors all agree that no two transactions seem to take the same path or have the same timeline, so again for Buyers and Sellers associated with these type of transactions, avoid specific expectations.
The most basic benefit a Buyer can gain by purchasing a distressed property is getting a great deal under market value. Often times the uncertainty and long timeline the buyer has to tolerate is worth it to them in the end.

Monday, November 16, 2009

Smaller Spaces - A Market Trend

I thought this was a great article from the WSJ:
http://online.wsj.com/article/SB125807017854346243.html?mod=WSJ_hpp_RIGHTInDepthCarousel
John Wieland has been very successful selling on Daniel Island even with the downturn in the market. Most of the homes Wieland has built in the past 12 months on the Island have been between 3,000-3,400 Square feet but recently they have added some homes in the 2,500 Square foot range to their portfolio on Pierce Street.
I think the key point in this article is that builders are not counting on things to go back to the way they were and that what we are seeing when people are choosing to simplify their lives by not living in such expansive quarters is a "a fundamental change in the way people are going to want to live."
In working with buyers recently it has become clear that they are downsizing their budgets as well as the space they "need" and prefer more practical floor plans with no wasted space.

Friday, November 6, 2009

Tax Credit Extension

Here is an article regarding the tax credit extension that will be valid on contracts written through April 30, 2010 for first time homebuyers and people who have lived in their current residence for over five years. This article has a quick fact sheet explaining who qualifies and the general terms of the tax credit:
http://www.usatoday.com/money/perfi/taxes/2009-11-05-homebuyer-credit-jobless_N.htm

Friday, October 30, 2009

Boeing Coming to Charleston

Boeing announced this week that they are coming to Charleston which is great news for the area's local economy. Here is an article that actually has a picture of some homesites in Old Landing on Daniel Island:

http://seattletimes.nwsource.com/html/northwestvoices/2010154620_boeingsloomingcharlestonmove.html
What better place for those relocating to live than Daniel Island!

Friday, October 16, 2009

Nationwide Tour Event Article

Check out this great article from the PGA Tour's website:

http://www.pgatour.com/2009/tournaments/h045/10/14/daniel.island/index.html
We are so excited this event is coming to the Island!

Tuesday, September 22, 2009

Terry Haas Tour of Daniel Island

Check out this new video tour of Daniel Island, hosted by the one and only Terry Haas, star of HGTV's Designed to Sell and proud Daniel Island resident!

Tuesday, August 25, 2009

Lease Options and Rent-to-Own

Over the past two years, we have heard from more and more clients expressing an interest in Lease/Options or Rent-to-Own listings. In fact, I am currently working with two such clients who both have homes to sell first. They are not comfortable with another mortgage. Here is a good article that mentions some of the pros and cons of these types of scenarios:
http://money.cnn.com/2009/06/02/real_estate/rent_to_own/index.htm?postversion=2009060416
I attended a class at the Association of Realtors earlier this year that covered this topic with the key point being that the best thing to do is consult your Realtor and attorney to make sure you have all of your bases covered since these deals can be extremely complicated.

Friday, August 21, 2009

Existing Home Sales Up

Here is a link to a great article with some positive news:
http://money.cnn.com/2009/08/21/real_estate/home_sales_rise_in_July/index.htm?postversion=2009082110
The article notes that affordability is the best it's been in 20 years with mortgage rates maintaining historical lows.

August Sales Activity

We have seen some spurts in activity recently both in condominiums at Pier View and homesites at Beekman Point here on the Island.
In the beginning of August, four condominiums at Pier View went under contract. This week, we saw four homesites at Beekman Point go under contract within a period of two days. Only six homesites remain available there.
Now that kids are back in school, we have seen an increase in activity which is typical for this time of year no matter what is happening in the market. In general, people have a more positive attitude about buying than they did last year at this time. Even if buyers are unsure if we will be out of the recession by the end of 2009, they do see the light at the end of the tunnel.
No one wants to hear the negative news anymore it seems which has had a positive effect on sales on Daniel Island.

Thursday, July 16, 2009

Foreclosures Down, Homes Sales Up in South Carolina

Here is a link to a recent article showing foreclosures are down statewide:
http://www.scbizmag.com/content/view/126701/1/
Note that in Berkeley County, foreclosures are down 21.8% from the first quarter of this year.

In other positive news, it looks like homes sales are up 13% statewide:
http://www.scbizmag.com/content/view/127138/1/
Charleston saw a 9.4% increase in home sales from May to June.

Tuesday, July 7, 2009

Daniel Island Get Fit Challenge 2009

Hello! Daniel Island, the Daniel Island Property Owners Association, the City of Charleston Recreation Department, and the Daniel Island News are sponsoring Daniel Island's "Get Fit Challenge 2009." This is a contest that will be similar to the "Biggest Loser" where the winner is chosen based on percentage of total weight lost (based on a weekly weigh in) and is awarded a cash prize.
There was a brief Orientation meeting last night that more than a hundred people attended. The organizers handed out event/workout schedules and clarified the rules. The total charge to participate is $25, and the deadline to sign up is tomorrow by 5:30. For more information follow this link:
http://www.hellodanielisland.com/getfit.html
Different Island businesses have volunteered their time to educate the community about health, nutrition, and fitness. Workouts range from karate to hip-hop dance class and there is something for everyone. You do not need to be an Island resident to participate. I encourage anyone who is interested to sign up soon!

Tuesday, June 30, 2009

Daniel Island's Fourth of July Celebration

Here's what happening on the Island to celebrate Independence Day 2009:
http://myislandtown.com/index.php/daniel-island-independence-day-celebrations/2009/06/
These are memorable events that can be enjoyed by the whole family and they certainly represent what makes Daniel Island such a special community.

Wednesday, June 24, 2009

Pier View Condominiums on Daniel Island

Trammel Crow Residential, the Builder of Pier View condominiums on Daniel Island, cut prices an average of 12.5% in May on their 1, 2, and 3 bedroom floor plans. Since the price reductions, 6 condominiums (about 10% of the remaining inventory) have gone under contract. For those who are considering a condominium on the Island, I think there are tremendous values here. There is still a wonderful selection to choose from with great floor plans and fabulous marsh views.

Tuesday, June 23, 2009

Charleston Ranks 2nd in the Nation for Young Professionals

One of the great things about Charleston is that it appeals to people in all stages of their life. We all know it is a great place to raise a family and that retirees flock to the lowcountry, but I thought this was an interesting article to share for young professionals looking to relocate here:
http://www.scbizmag.com/content/view/123112/1/
Being a young professional in Charleston, I appreciate it's size. We have big city amenities in a relatively small area. I love all of the little subsections of Charleston that have their own unique charm, like Folly, the Old Village, Sullivan's, and Summerville for example. Seems like you could never run out of fun things to do with friends and family and can always continue to discover new bars and restaurants. The quality of life here is ideal for young professionals.

Tuesday, June 9, 2009

Vespa Pizzeria to open on Daniel Island

Here is a link to the new website for Vespa Pizzeria which should be opening soon on Daniel Island:
www.vespapizzeria.com
The menu looks great and aside from pizza, they will offer gourmet entrees and healthy salads. They'll also deliver their delicious meals to you on a Vespa! Sounds like another great addition to the Island!

Monday, June 1, 2009

Reading with Realtors 2009

Reading with Realtors just wrapped up another successful year at the James Simons School in downtown Charleston. My husband Hayden and I have participated in this program since it started in 2007. Area Realtors visit the school once a week for an hour. So far I have worked with three very bright 3rd graders. They'll read to me for about 40 minutes and then we'll chat about what they are learning in school or play educational games for the remaining time. The kids LOVE having their reading mentor visit each week. My reader Shayniah would literally jump out of her seat when I would pick her up in her classroom on Tuesdays.
Teachers at the school personally select children who they think have the potential to improve their grades and test scores. The children are tested at the beginning and end of each year and in the third grade for example, the grade level average of improvements for end of year testing was 7.2% improvement and the third graders who participated in the Reading with Realtors improved by 10.2% on average. We definitely think the program has been a success and I commend our Realtor Association for creating such a wonderful opportunity for us to give back to our community

Here is a picture of a few of the kids that participated in the program this year at our year end picnic last week. We held a book drive and Daniel Island Real Estate participated by being a drop off location. At the picnic each child was given a new backpack full of books to take home for summer reading. They were so excited to have their own books to read this summer!

Friday, May 29, 2009

May Aerial Photos of Daniel Island

This photo shows Smythe Lake, where the Charleston Symphony Orchestra recently played the Memorial Day "Concert in the Park." The weather was perfect and fun was had by all!

You can see at the top of the photo to the right construction of new homes, and to the left the new homesites on Beekman Point with outstanding views of the marsh & Wando River.

The new Clubhouse is offically open for business!

Daniel Island Park residents are enjoying the new Clubhouse's amenities including the new grill room, men's locker room, and pro shop.

Here is the latest photo of the new homesites along Ithecaw Creek Street that back up to the Ralston Creek golf course - imagine watching the Nationwide Tour Championship from your back porch!

Tuesday, May 26, 2009

Team Cook's Listings

Public MLS Access

The public now has access to MLS through the website www.charlestonrealtors.com. This provides the same up to date information that Realtors have access to. If you are searching for property on Daniel Island you can type "Daniel Island" into "subdivision" and all listings on Daniel Island should come up. This, going forward, will be the most accurate, up-to-date source of information on homes for sale and rent in the Charleston area.

Wednesday, May 6, 2009

Concert in the Park - May 16

Don't forget to mark your calendars for the Charleston Symphony Orchestra Concert in the Park this year! This event will be held as Smythe Park and begins at 6 p.m. on May 16th. Bring out your best picnic spread as prizes will be awarded! The music will begin at 7 p.m., and for those of who who have not attended before this event is not one to miss!

Thursday, April 23, 2009

New Aerial Photos of Daniel Island

The new Daniel Island Clubhouse Expansion is almost ready to open! The New Golf Shop opened just yesterday and the "Grand Opening" will be coming up soon, just in time to enjoy the warm April weather on the golf courses!

Sun shining on Smythe Lake and the Wando River!

The new homesites in Daniel Island Park are well on their way,
who wouldn't want a view like this?!?

Tuesday, April 7, 2009

Web Celeb moving to Daniel Island

I just came across the great article about the guy who started the #1 Twitter app:
http://charlestonbusiness.com/news/27119-twitpic-creator-entrepreneur-plans-move-to-charleston
The guy can live anywhere, and guess where he chose to move???

Monday, March 23, 2009

Great new article from Realtor.org

This is a great article I just read in Realtor Magazine which briefly summarizes why we are in this market and what it will take to get out of it:
http://www.realtor.org/rmosales_and_marketing/articles/2009/0904_selling_customerquestions

In summary, here are some key notes:

Home values appreciated an average of 26.5% from 1980 to 2000. From 2000 to 2006 prices appreciated an average of 89%! So the point is we in a time of "correction" adjusting towards a more stable market for a healthier future.
A normal market has 5 to 6 months of inventory. You can determine the inventory supply in your neighborhood by dividing the number of homes for sale in your price point by the number of homes sold per month. I would use the last six months as a fair guideline.
I also love the point about when to buy in the business cycle. The market was crazy during the "Euphoria "cycle. The idea then was buy it before someone else did. I fell victim to that fear myself. The lowest risk time to buy is between the cycle of "Despondency" and Despair" and I think it is fair to say we're there :).

I don't think anyone anymore questions whether or not this is a good time to buy. My clients today realize they are looking at really cheap money, great pricing, and fantastic selection. They may still be "waiting for the bottom" but none of us know when the bottom will hit until it passes us by.

We just received new aerial photos of the development progress on Daniel Island, and you can really see the changes in Daniel Island Park since the last pictures in February. With the streets ready for paving, it is much easier to see the layout of where homes will be built along the Ralston Creek golf course.

To the left is the latest photo of the new areas being developed in Smythe Park. You can see "Beekman Point" in the upper left corner near the Pierce Park pool. Many of these future homesites will back up to the marsh and Wando River and have spectacular views.

Also, you can see that several of the homesites in the Old Landing (on the upper right side of the photo) already have homes being built. Most of these homesites were sold just last year, which shows how fast the building process can go! We just released several John Wieland Homes as presales along Wando View Street. You can see by the construction activity they are already starting to prepare the lots for building these homes which should be complete by November 2009.

It really is amazing to see the changes. Just 2 years ago this was almost entirely vacant land and now every time I walk around Smythe Lake, it seems like another home is nearing completion!

Thursday, March 19, 2009

The Fed's Move

Yesterday the Fed made an aggressive move to invest money in buying mortgage backed securities. So what does this mean for the housing market? In short, we should expect to see interest rates, which are still at historic lows, stay where they are through 2009. Here is a link to a good article that goes a little more in depth:
http://www.cnbc.com/id/29760360/
So with prices and interest rates where they are, this continues to be an excellent and unprecedented buyer's market.

Tuesday, March 10, 2009

Daniel Island Farmer's Market

Daniel Island will be hosting a Farmer's Market on Thursday afternoons at Family Circle Tennis Center beginning April 30th. The market will run weekly through September. There will be different vendors including farmers with fresh produce, food and drinks, and children's activites. The market will be open from 4p.m. to 7p.m. so it will be perfect to stop by on your way home from work and pick up a few things! For more information please visit www.danielislandfarmersmarket.com.

Thursday, March 5, 2009

Family Circle Cup - April 11-19, 2009

Now is the time to get tickets for Family Circle Cup here on Daniel Island! Venus and Serena have both committed to play along with many of the world's top players. Visit the website at www.familycirclecup.com to learn more. I have attended every year since I moved here and it is such a fun event!

Wednesday, March 4, 2009

Daniel Island Launches New E-zine

Daniel Island now has a new online lifestyle magazine at www.myislandtown.com. It is a great way for people to learn about all that the Island has to offer from shopping and dining to Island events and amenities. It is great for residents and people who are considering moving to the Island. Check it out!

Wednesday, February 25, 2009

Aerial photo of Smythe Lake - new homesites are being developed in the area at the top of this picture, along with homes being built by David Weekley Homes and John Wieland Homes

New homesites being developed in Daniel Island Park along the Ralston Creek Golf Course designed by Rees Jones

New aerial photo of the progress on the expansion at the Daniel Island Club! This new building will house a new family friendly dining area and the men's locker room. It is scheduled to finish this May and work is progressing rapidly!

Friday, February 20, 2009

Charleston's Recent Accolades

We all know that Charleston is a wonderful place to live, but I wanted to highlight some recent recognition the Holy City has received in the national media. Charleston has been listed as:

One of the Top 25 Housing Markets, by Forbes.com (2009)
Best Performing City: Where America's Jobs are Created by Milliken Institute (2008)
50 Best Places to Live: The Next Great Adventure Towns by National Geographic Adventure (2008)
Ranked 6th among mid-size metros in Inc.com's Top US Cities for Business (2008)
One of the nation's Top Arts Destinations by American Style (2008)

These are just some examples of the many reasons to move to Charleston!

Thursday, February 12, 2009

Flood Zones on Daniel Island

All properties on Daniel Island and in the Lowcountry are in some type of flood zone which is determined by FEMA, based on studies of statistics, not history. When you drive around Daniel Island you'll observe that all homes are elevated to some degree. The finished first floor of the property is required to be a certain number of feet above sea level based on flood elevation.
We have three different types of flood zones here on Daniel Island: X zone, AE zone, and V zone. You can find out what flood zone a property is in by looking at a plat. If a property is located in an X flood zone the Purchaser will not be required to have flood insurance, though I recommend to my clients to get the minimum amount of coverage anyway. In an A zone or a V zone, FEMA's minimum amount of flood insurance is required which is $250,000 in coverage. Finding coverage over and above that can be difficult and expensive, so I generally advise clients to do what makes them comfortable; however, I think the majority of Purchasers only purchase the minimum amount of coverage. In short, the difference between an A zone property and a V zone property is that the V zone property must be built higher off the ground and the cost for the same amount of insurance coverage for a V zone property will be significantly greater.
You should contact your insurance provider for quotes. In order to give you an accurate quote they will need a copy of an Elevation Certificate on the property which can be obtained from the Seller or the Seller's insurance provider.
Here are some good websites to visit to learn more:
http://www.floodsmart.gov/floodsmart/pages/about/flood_zones_explained.jsp
http://www.fema.gov/plan/prevent/floodplain/nfipkeywords/flood_zones.shtm

Friday, February 6, 2009

Trading Property

Since times are tough for Sellers, we are all challenging ourselves to come up with creative ways to sell. So many sellers here have their homes listed so they can buy something else here on the Island. They may want to upgrade, or on the opposite end of the spectrum, they may want to downsize. So with all of the available properties to consider today - why not trade?
For example, let's say the Smiths have their home listed for $500K. They have had a third child and have grown out of their home, but they bought in 2001 and need to pull their equity out of their current home before they can pay cash for a homesite to build their dream home. Then we have the Joneses who are a young couple just starting out by renting here after purchasing a lot. They realized it was going to cost them too much to build the house they want. They just can't afford it, so they have their homesite listed for sale. This would be the ideal scenario for a trade. Whatever your goal is in selling - there may be another seller out there who wants your property.
We have clients that want to move from a home to a condo and vice-versa, move from Daniel Island Park to the south end and vice-versa; there are just so many possibilities to consider.
So how does this operate contractually? Write up two contracts and have two closings - contingent on the other property being conveyed to the new owner. An attorney can also help prepare an addendum breaking down how the properties will be purchased and where the proceeds will come from to make sure all parties are protected.
This is just another way to think "outside the box" to be able to take advantage of today's market of incredible opportunities.

Friday, January 30, 2009

Team Cook - Top Producers!

We received some exciting news this week. For the third year in a row Team Cook is the top producing team at Daniel Island! We also found out through MLS that we are the top producers in sales volume in all of Charleston! So a big "thank you" to all of our clients that made this possible, we truly value your business!

Thursday, January 29, 2009

Calculating Real Property Taxes on Daniel Island

For the best estimate on what your real estate taxes would be here on Daniel Island, click on this link:
http://www.co.berkeley.sc.us/departments/auditor/tax_estimator.php
This is a great tax estimation tool. For tax district scroll to the selection "City of Charleston" then scroll to the appropriate Property type ("Primary/Other"). For value, input the purchase price and your estimated taxes should be calculated!

Tuesday, January 27, 2009

Today's WSJ Article

Today's front page article in the Wall Street Journal noted some promising news, that homesales had their largest monthly gain since 2002 jumping 6.5% since November. There is no question this is a good thing, but the article goes on to evaluate what this actually means to different areas of the country. Overall, most economists predict that recovery will be slow, especially in the areas hardest hit like California and Florida. The article mentioned that 1/3 of all home sales in December were "distress sale" properties. That was a surprising statistic to me just because we are nowhere near that here on Daniel Island. The article basically sums up that buyers and investors are coming out of the woodwork to take advantage of interests rates that are the best they have been in decades as well as incredible prices.
On Daniel Island in some areas we are seeing pricing where it was in 2002 and 2003 on certain properties. There are some incredible values in condominiums right now at Daniel's Landing which has suffered because there are so few investors buying right now and even fewer people thinking of purchasing second homes. I am often asked what is the "best deal" on the Island and my answer probably changes once a week as I learn about new available properties. But to be able to purchase a condominium on Daniel Island in the low $100's today and hold onto it for a while, that has to be a good move.

Monday, January 26, 2009

2009 Lowcountry Events

Now that Spring is just around the corner there are so many reasons to visit the Charelston area. There is a list of upcoming events available on our website at www.danielisland.com and another great resource is http://www.charlestonlowcountry.com/calendar/index.html. Please call my office at 843-971-6271 if there is anything we can do to help you plan your visit!

Saturday, January 24, 2009

What is a short sale?

Here on the Island we are seeing more and more properties being advertised as "short sales" but most people are still unfamiliar with what the term "short sale" means. Simply put, it is when the bank is going to consider taking less money than what they are owed on a property. For example, let's say there is a home listed at $500K and the Owner has a mortgage on it of $550K and there is a Buyer who makes an offer for $450K. The Seller can negotiate the contract including the price and then submit it to the bank for review. So the bank has to decide if they are willing to take a loss of more than $100K (when you calculate in commission).
This is where the hard part begins. "Short sale" contracts are not "short" at all. Once the contract is submitted to the bank it can take weeks or even months to get a response from them. I have been on both sides of the "short sale" process. As a Buyer's agent and Listing agent my experiences have been positive and have resulted in closings. However, it can be a frustrating to wait and not know what the outcome will be, but that is just part of the process and could be well worth it if you have been able to negotiate a great deal. Your realtor should check in with the bank once a week for an update so all parties are aware of the status of the contract.
A "short sale" is not the right choice for a buyer with a strict timeline to move. However, in today's market, I think "short sales" are definitely a great option to consider during the selection process.

Wednesday, January 21, 2009

2009 Outlook 1/21/09

Today I attended a sales training seminar reviewing the outlook for the real estate market in 2009. The most important note taken away from the seminar was that American real estate is viewed by foreigners as the most coveted, secure investment in the world. Foreign buyers are taking advantage of the tremendous values here in the states hardest hit by the real estate bubble bursting. Certain parts of the country are already beginning to see positive signs leading to a more steady market. For Charleston in 2009, expect a year of recovery.
A lot of my clients who have been on the fence about buying because they are "waiting for the bottom," are actually beginning to make appointments to take a look at what's available today. Here on the Island there is no question we have seen an increase in traffic since the first of the year.
As far as market conditions are concerned and what to expect for 2009, we will most likely see an increase in short sales and foreclosures in the first half of the year, but anticipate that those deals will be snatched up quickly with interest rates and prices the way they are now. The combination of favorable prices and interest rates could be the best we will see in our lifetime, and with all there is to choose from, this continues to be an excellent buyer's market.
Personally, I am purchasing a larger condo that is twice the size of the one I live in now, and with the deal offered, my payment will stay the same. Challenge yourself to be creative and think outside the box to consider what opportunities you can potentially capitalize on. Some ideas to consider are:
Would a seller consider a trade?
How can I buy a short sale or foreclosure?
Can I enter into a lease/purchase scenario that is favorable for me while I build my credit and save some cash?
Would a seller consider Owner financing?
I think there is an opportunity for everyone in today's market, so let me know if I can be of service help you navigate through your many options.