President Bush signed into law today The Housing and Economic Recovery Act. This is the most sweeping change to housing reform since the New Deal of 1934. You need to write your Congressmen to see if we can get legislation to revoke some of the changes. FHA effective October 1, 2008 will increase the minimum required down payment from 3% to 3.5% for Virginia Beach home buyers. The legislation also calls for the elimination of seller down-payment assistance programs such as AmeriDream and Nehemiah by October 1, 2008.

As of July 14, 2008 they already made upfront MIP premiums risk based on credit scores but also increased the annual premium across the board.. Instead of the original plan of making FHA loans more affordable for potential Virginia Beach home buyers; the new legislation makes it more expensive.

High-level Details of the Housing and Economic Recovery Act:

Here are some key provisions of the Housing and Economic Recovery Act that most affect Virginia Beach home buyers:

1) Higher permanent loan limits for conventional conforming and FHA will become effective Jan. 1, 2009; the Act calls for limits to increase to a maximum amount of $625,500, depending on the metropolitan area. Note: The temporary limits established in March will expire on Dec. 31, 2008.

2) FHA floor limits will remain the same at $271,050.

3) The VA guaranty will increase.

4) Minimum cash investment for FHA loans will increase to 3.5%.

5) A moratorium on risk-based pricing for FHA loans will go into effect Oct. 1, 2008.

6) Seller-funded Down Payment Assistance Programs with FHA loans will be terminated Oct. 1, 2008. (Nehemiah, AmeriDream, etc.)

7) Condo processing for FHA loans will be streamlined.

Concerned how these sweeping changes will affect your ability to buy Virginia Beach real estate? give us a call, 866-222-0158 #550. We are glad to talk with you about your situation.

Search all Virginia Beach real estate and homes for sale.

Portsmouth June 2008 Sales Statistics

Residential sales in Portsmouth dropped by 26 percent in June compared to June 2007, causing the average market time to increase 12 percent, from 68 days to 76 days. The median sales price decreased 7 percent, while the average sale price decreased 5 percent to $253,847.

What do these statistics mean for Portsmouth and Virginia Beach real estate?

It remains an excellent market for first time home buyers to get their feet wet. Market times have increased and prices have decreased, making sellers more negotiable. 

Modest near-term movement is expected in Virginia Beach real estate sales, with a recovery in sales seen during the second half of the year, according to the latest forecast by the National Association of Realtors®.

Lawrence Yun, NAR chief economist, said some pullback after a sharp increase in the previous month was expected. “The overall decline in contract signings suggests we are not out of the woods by any means. The housing stimulus bill that is still being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy,” he said.

Furthermore, Yun said location has never mattered more than in the current market. “Some markets have seen a doubling in home sales from a year ago, while others are seeing contract signings cut in half. Price conditions vary tremendously, even within a locality, depending upon a neighborhoods exposure to subprime loans.”

Search for all Portsmouth and Virginia Beach real estate listings or get the current market value of your Portsmouth home.

Also read:
Virginia Beach Real Estate: South Hampton Roads Market Trends
Virginia Beach Real Estate: South Hampton Roads Market Report May 2008
Virginia Beach Real Estate: Portsmouth Market Report May 2008

Norfolk June 2008 Sales Statistics

Residential sales in Norfolk dropped by 26 percent in June compared to June 2007, causing the average market time to increase 12 percent, from 68 days to 76 days. The median sales price decreased 7 percent, while the average sale price decreased 5 percent to $253,847.

What do these statistics mean for Norfolk and Virginia Beach real estate?

It remains an excellent market for first time home buyers to get their feet wet. Market times have increased and prices have decreased, making sellers more negotiable. 

Modest near-term movement is expected in Virginia Beach real estate sales, with a recovery in sales seen during the second half of the year, according to the latest forecast by the National Association of Realtors®.

Lawrence Yun, NAR chief economist, said some pullback after a sharp increase in the previous month was expected. “The overall decline in contract signings suggests we are not out of the woods by any means. The housing stimulus bill that is still being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy,” he said.

Furthermore, Yun said location has never mattered more than in the current market. “Some markets have seen a doubling in home sales from a year ago, while others are seeing contract signings cut in half. Price conditions vary tremendously, even within a locality, depending upon a neighborhoods exposure to subprime loans.”

Search for all Norfolk and Virginia Beach real estate listings or get the current market value of your Norfolk home.

Also read:Virginia Beach Real Estate: South Hampton Roads Market Trends
Virginia Beach Real Estate: South Hampton Roads Market Report May 2008
Virginia Beach Real Estate: Norfolk Market Report May 2008

Modest near-term movement is expected in Virginia Beach real estate sales, with a recovery in sales seen during the second half of the year, according to the latest forecast by the National Association of Realtors®.

Lawrence Yun, NAR chief economist, said some pullback after a sharp increase in the previous month was expected. “The overall decline in contract signings suggests we are not out of the woods by any means. The housing stimulus bill that is still being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy,” he said.

Furthermore, Yun said location has never mattered more than in the current market. “Some markets have seen a doubling in home sales from a year ago, while others are seeing contract signings cut in half. Price conditions vary tremendously, even within a locality, depending upon a neighborhoods exposure to subprime loans.”

Let’s take a look at the Chesapeake real estate market activity for this June.

Chesapeake June 2008 Sales Statistics

Residential sales in Chesapeake dropped by 29 percent in June compared to June 2007, causing the average market time to increase 31 percent, from 65 days to 85 days. The median sales price decreased 6 percent, while the average sale price decreased 8 percent to $286,055.

What do these statistics mean for Chesapeake and Virginia Beach real estate?

It remains an excellent market for first time home buyers to get their feet wet. Market times have increased and prices have decreased, making sellers more negotiable. Search for all Chesapeake and Virginia Beach real estate listings or get the current market value of your Chesapeake home.

Also read:

Virginia Beach Real Estate: South Hampton Roads Market Trends
Virginia Beach Real Estate: South Hampton Roads Market Report May 2008
Virginia Beach Real Estate: Chesapeake Market Report May 2008

Virginia Beach Real Estate – June 2008 Sales Statistics

Residential sales in Virginia Beach dropped by 23 percent in June compared to June 2007, causing the average market time to increase 18 percent, from 55 days to 65 days. The median sales price decreased 7 percent, while the average sale price decreased 7 percent to $318,784.

What do these statistics mean for Virginia Beach real estate?

It remains an excellent market for first time home buyers to get their feet wet. Market times have increased and prices have decreased, making sellers more negotiable. Search for all Virginia Beach real estate listings or get the current market value of your home.

Modest near-term movement is expected in Virginia Beach real estate sales, with a recovery in sales seen during the second half of the year, according to the latest forecast by the National Association of Realtors®.

Lawrence Yun, NAR chief economist, said some pullback after a sharp increase in the previous month was expected. “The overall decline in contract signings suggests we are not out of the woods by any means. The housing stimulus bill that is still being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy,” he said.

Furthermore, Yun said location has never mattered more than in the current market. “Some markets have seen a doubling in home sales from a year ago, while others are seeing contract signings cut in half. Price conditions vary tremendously, even within a locality, depending upon a neighborhoods exposure to subprime loans.”

Also read:

Virginia Beach Real Estate: South Hampton Roads Market Trends
Virginia Beach Real Estate: South Hampton Roads Market Report May 2008
Virginia Beach Real Estate: Market Report May 2008

South Hampton Roads June 2008 Sales Statistics

Modest near-term movement is expected in Hampton Roads real estate sales, with a recovery in sales seen during the second half of the year, according to the latest forecast by the National Association of Realtors®.

Lawrence Yun, NAR chief economist, said some pullback after a sharp increase in the previous month was expected. “The overall decline in contract signings suggests we are not out of the woods by any means. The housing stimulus bill that is still being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy,” he said.

Furthermore, Yun said location has never mattered more than in the current market. “Some markets have seen a doubling in home sales from a year ago, while others are seeing contract signings cut in half. Price conditions vary tremendously, even within a locality, depending upon a neighborhoods exposure to subprime loans.”

Let’s take a look at the South Hampton Roads real estate market activity, including Chesapeake, Norfolk, Suffolk, Portsmouth, Smithfield, Isle of Wight and Virginia Beach real estate for this June.

South Hampton Roads June 2008 Sales Statistics

Residential sales in South Hampton Roads dropped by 27 percent in June compared to June 2007, causing the average market time to increase 18 percent, from 65 days to 77 days. The median sales price decreased 6 percent, while the average sale price decreased 7 percent to $290,741.

What do these statistics mean for South Hampton Roads and Virginia Beach real estate?

It remains an excellent market for first time home buyers to get their feet wet. Market times have increased and prices have decreased, making sellers more negotiable. Search for all South Hampton Roads and Virginia Beach real estate listings.

Also read:
Virginia Beach Real Estate: South Hampton Roads Market Report May 2008
Virginia Beach Real Estate: Market Report May 2008

You may have heard buzz around the term “universal design” in recent years, but do you know what it is or how it affects the Virginia Beach real estate and construction markets?

According to Lowes.com, universal design is the creation of products and environments meant to be usable by all people, to the greatest extent possible, without the need for adaptation or specialization. The intent is to simplify life for everyone by making products, communications and the built environment more usable by as many people as possible at little or no extra cost. Universal Design benefits people of all ages and abilities.

Think this is some “far out” theory just now working its way into the “modern” world?  Think again:  if you’ve ever walked through an automatic door, you’ve experienced a version of Universal Design.   Likewise, a ramp or curb cut is just as welcome to someone with a baby stroller as it is to someone in a wheelchair.

Universal Design has become a hot topic in Virginia Beach real estate, as more residents are retiring and making the decision to “age in place,” as opposed to moving into assisted living facilities.  As we discussed previously, this aging generation is already driving the design of new products for the home that will affect real estate in the future.  Even if you are not part of the “mature” population, however, Universal Design should be important to you.  If you are planning to build or renovate, keep in mind the principles of Universal Design and know that it’s more cost effective to add many Universal Design features during the planning stage. There are a number of design features that can be built for little or no cost. Their addition at the beginning saves the need for future retrofits.

Some examples of Universal Design features include:

Lighting
Additional task lighting is needed for “older” eyes.
Added lighting is also advised in areas to increase safety, such as for stairs.
Kitchens
Push/pull lever faucets for those with limited hand strength or dexterity.
Side-by-side refrigerators.
Doors
Leverset entry or interior door hardware.
Wide swing hinges allow use of the entire doorway.
Baths
Roll-in showers.
Add reinforcement into the wall substructure now in the event the addition of grab bars is needed later.

To learn more about trends in the Virginia Beach real estate market, please call us at 866-222-0158 #550 or visit ButlerTeamHomes.com. 

Search all Virginia Beach real estate homes for sale and get the current market value of your home.

Also read:

Virginia Beach Real Estate: Loft Living
Baby Boomers Set Latest Virginia Beach Home Design Trends
Virginia Beach Real Estate Becomes Eco-Friendly With ˜Unbuilds

If you are in the market to buy Virginia Beach real estate, you probably have a good idea of the general range you can expect to spend on a home.  So you might be surprised when a great-looking home shows up on the Internet with what seems like a shockingly low price tag attached.  The extra-low price seems too good to be true and – most of the time – it is. 

It is likely that the price you are seeing does not represent the actual asking price of the property; rather, in most cases it is likely a property that is in “pre-foreclosure” and the amount listed actually represents the balance of the defaulted loan, or the amount the current owner is in arrears.  Below is an excerpt from an article I found at Inman News that does a great job explaining how these properties end up on MLS search engines, and what you can do to spot them:

Real estate agents, investors and sophisticated buyers will know that it’s impossible to buy a house in Hermosa Beach for $4,712. But first-time home buyers may miss the fine print on sites like Yahoo and Trulia that explains that this is not the home’s listing price — and that the property may not even be for sale.

The practice of mixing pre-foreclosure properties with listings of for-sale properties by major listings sites like Yahoo Real Estate and Trulia is misleading to consumers and damages the credibility of the sites that allow it, according to a company that’s in the business of supplying similar information itself.

Brad Geisen, founder and CEO of Foreclosures.com, singled out Yahoo Real Estate and Trulia — which have partnerships with Foreclosure.com’s rival, RealtyTrac — as sites that are presenting pre-foreclosure data to consumers in a potentially confusing way.

Property searches conducted by Inman News show both sites provide information that could help consumers understand that the pre-foreclosure properties are not “listings,” and that the dollar figures displayed with each are not asking prices. But there does appear to be potential for confusion. The moral of this story is two-fold;  first, be sure to always read the fine print and don’t trust everything you see on the Internet and, second, always consult with an experienced Realtor who can help you determine the legitimate value of a property and assist you in finding the home of your dreams.

Checking “foreclosures” under “listing type” and entering a maximum value of $100,000 in the “price” field, a Yahoo Real Estate search for properties in Hermosa Beach, Calif., turned up seven properties, accompanied by dollar figures ranging from $4,712 to $100,000. According to Yahoo, the median asking price for 34 homes on the market in Hermosa Beach is $1.29 million.

But click on any of the properties for more details, and you are given a “property description” that reveals — for the first time — that the dollar figures associated with each property in the search results is not the asking price. Although “price” was specified in the query, the numbers may represent “estimated loan balance” or another figure related to the borrower’s indebtedness.

If you are ready to learn more about Virginia Beach real estate, please call us at 866-222-0158 #550 or 757-490-7300 #550 or visit ButlerTeamHomes.com.  Search all Virginia Beach real estate listings.

Also read:

Virginia Beach Real Estate What Credit Crisis?
Virginia Beach: Top 10 Greenest Places To Retire
Things You Should Know About Moving To Virginia Beach

Before lending you a large sum of money to purchase a piece of Virginia Beach real estate, it is understandable that your lender will want to know a little bit about you and your ability to pay back the loan.  If you are a first-time homebuyer, or if it has been a while since you last spoke with your lender, it is helpful to be prepared for some of the questions you may be asked and to have some responses in mind.  Below are some general examples of questions you may expect to hear when applying for a home loan:

Employment and income
• Where do you work?
• How much do you make?
• How long have you been at your job?
• How is your income derived — steady salary or irregular income? (if it’s the latter, plan on providing more details so that you get a favorable interest rate)

Outstanding debts

• What recurring debts do you have?
• How much do you pay a month for auto loans?

• Credit cards?
• How much of your monthly pretax income do these debts consume?

Cash reserves and assets
• How much money do you have in the bank?
• How much will be left after you pay your down payment and closing costs?

Down payment
• How much money are you putting down?
• Is this your own money? A gift? A nonprofit agency grant?

Loan purpose
• Is this mortgage for a home buy or refinance?
• If it’s a refinance, do you want to take cash out at closing to pay off other debts?
• If so, how much?

Property use

• Do you plan to live in the house?

• Is it investment property?

Property type

• A condominium?
• A duplex?

In order to get the best possible interest rate and gain the trust of your lender, you will want to be able to prove that you’ve had steady employment (preferably with the same employer or in the same line of work) for two or more years.  You also want to avoid making any major purchases before applying for a loan – if a lender sees that you’ve just purchased an automobile last week, your debt-to-income ratio goes up and your ability to pay down a home loan goes down.  It is preferable to be making a down payment of at least 5% of the sales price with your own money and to prove that you have at least two months’ worth of mortgage payments in the bank; however, there are many programs such as Fannie Mae that require much lower down payments. 

To learn more about investing in Virginia Beach real estate or for a referral to a reputable lender, please call us at 866-222-0158 #550 or visit ButlerTeamHomes.com.  You may also begin searching the MLS!

Also read:

Virginia Beach Real Estate: FHA Frequently Asked Questions
Things You Should Know About Moving To Virginia Beach
Seven Tips For First-time Virginia Beach Homebuyers
Virginia Beach VA Real Estate: 7 Reasons To Own Your Own Home

Chesapeake home for sale: 1408 Bayberry Court

1408 Bayberry Court S, Chesapeake VA for Sale

This Chesapeake VA home, located in Bayberry, has room for everyone with over 3300 sf ft with 4 bedroom and 3 baths in the main house and a 1 bedroom 1.5 bath in-law suite. In-law suite includes a fully applianced kitchen, bedroom with walk in closet and a generous living room and dining area.

This house has been totally remodeled within the last four years include a 3 zone heating and air system, vinyl siding , windows and roof. This truly is a move in home with nothing left for you to do but enjoy! The fenced in back yard has an above ground pool and patio with plenty of grassy area for all your outside enjoyment.

For more information about this Chesapeake VA home for sale or Chesapeake and Virginia Beach real estate, visit ButlerTeamHomes.com.