CyberProfessionals

In 1995 a group of agents who "met" on the old RE/MAX CompuServe Forum decided that we should really meet each other in person and share our real estate knowledge and especially our love for technology. We all were astonished when one of the agents at the meeting told us how we could post our listings on the web! No one at that meeting had a web site yet, and only a couple of us had laptop computers. It was the most exciting meeting I ever attended. A whole new way of working in real estate was opening up for me.

Within the next couple of years we all had web sites, were demonstrating software and new technology to each other – sharing our best ideas and evaluating each others work. Eleven years and 22 meetings later, we are still meeting, still sharing ideas – still looking to improve our work. We have grown from that small group of 10 agents who were mostly from the Northeast (except for Cindy from Kansas City) to an organized group of about 60 agents from all over the United States – and one from Australia!

The group is now called the CyberProfessionals and we have earned a bit of a reputation in the real estate industry. We have been seen on the RE/MAX Satellite Network and visited by technology guru's Michael Russer and Allen Hainge. We also have several Howard Brinton Stars as members. Many members of the group have served as beta testers for new real estate products.

The Cyberprofessionals meet each November prior to the National Association of Realtors® Trade Show where we can see, touch and demo the new technology tools of our industry. How does any of this help my clients? Through the collective knowledge of my cyber friends, I've developed many of the technology systems that help serve my clients better with advanced marketing techniques, improved communication, and systems for smooth transactions. Our next meeting starts Thursday, May 4 in Annapolis, MD. -- and I can hardly wait!

Credit Scoring and Your Mortgage Application

The following entry was written by guest blogger Phil Caporusso.



Have you ever wondered how a lender decides whether or not to grant you a loan? For years, creditors have been using credit scoring systems to determine if you would be a good risk for credit cards and auto loans. More recently, credit scoring has been used as a tool by lenders to evaluate your ability to repay home mortgage loans. Here’s how credit scoring works.....

What is credit scoring?

Credit scoring is a system creditors use to help determine whether or not to grant you credit; and if so, under what terms the credit shall be offered. Information about you and your credit experiences (such as your bill-paying history, the number and types of accounts you have, late payments, collection actions, outstanding debt, the age of your accounts, etc.) is collected from your credit application and your credit report. Using a statistical program, creditors compare this information to the credit performance of consumers with similar profiles. A point system (your credit score) helps predict how creditworthy you are, that is, how likely it is that you will repay a loan and make the payments when due.

Because the information contained in your credit report is the crucial component of any scoring system, it is extremely important to make sure the information in your credit report is accurate. To get copies of your report, you can contact the three major credit reporting agencies (Each agency may charge you a fee for issuing a copy of your report.):

*Equifax: (800) 685-1111
*Experian (formerly TRW): (888) 397-3742
*Trans Union: (800) 888-4213

Why is credit and credit scoring important?

The interest rate you are charged – whether for a credit card, a new car or a home – will be determined by your credit score. The higher your score, the lower the interest rate, and over the years that axiom can make a huge difference in the amount of money you will pay for the same loan. Just a few missed payments on a credit card can make a big difference over the life of your loan.

What can you do to improve your score?

If you are looking to buy a house or get a car loan, start a few months before to repair your credit. If you don’t have any credit, you must establish credit.

Pay your bills on time
Mortgage payment history is most important, followed by auto loans, then major credit cards, then store cards.

Pay down outstanding balances to below 30% of the limit
Scoring models evaluate the amount of debt you have compared to your credit limits. If the amount you owe is close to your credit limit, then that is likely to have a negative effect on your score. DO NOT transfer balances from a few cards onto one card and then close all those accounts. Ask your credit card company for a higher limit - so that with the same balance, you can be far below the limit. You Do Not want to be close to your maximum limit on your credit cards.

Do not take on any new debt
DO NOT close any existing accounts.

How long is your credit history?
Generally, models consider the length of your credit track record. An insufficient credit history may have a negative effect on your score. Also closing accounts with a long established history could reduce your score. DO NOT close any accounts.

Please note: it may take a month or two to significantly improve your credit score. If there are errors on your credit report, we can help you fix them or refer you to a credit repair company (NOT credit counseling—this is looked at the same as bankruptcy).

If you have any questions or need any further information about financing your home purchase, please contact me.
Phil Caporusso – Senior Loan Consultant
eHomeCredit Corp.
190 Motor Parkway, Hauppauge, NY 11788
631-656-3970
Email: pcaporusso@ehomecredit.com

Lights, Camera, Action! Home Staging

Thinking about selling your home in the near future? Want your home to stand out against the competition? Then you have work to do before you let a buyer through the door! You need to "Set the Stage" for your home’s "Grand Premier Opening!"

In most cases, the basics of home preparation will be sufficient. Eliminate clutter. Add light. Add brightness. Freshen it up. Make the house more spacious. Pack it up. Work on curb appeal. Then Clean, Clean, Clean! Doing these basic steps will put money in your pocket when you sell your home. Remember, you are not preparing your home the way you want to live in it; you are preparing your home to sell. A good resource book which I give to my clients when they list their home with me is "Dress Your House for Success". For more details on the above suggestions: Download "Cheryl’s Preparing Your Home for Sale Tips".

Sometimes, a home may need a professional to stage the home. In these cases, the expense of paying a staging professional and following her/his advice can make the difference between selling your home at market value and having to drop the price considerably to attract a buyer. When I feel that a client needs to consult with a professional to stage their home, I offer to pay for the first 2 hours. Selling a home is a partnership between the homeowners and the listing agent. We have the same goal in mind, "To sell their home", and we need to work together to achieve it.

The following link uses before and after photos to illustrate the difference that "staging a home" can make in showcasing a home: http://www.sixelements.com/housefluffingtips.html

Moving with Babies and Toddlers

The following entry was written by guest blogger Joy Bigioni, Ph.D.


Babies and toddlers generally transition well to changes associated with a move. Throughout the moving process to your new home, it is important to maintain their daily routines. This is particularly pertinent to eating and nap times. It is also advisable to avoid other major changes during the period around the move, such as toilet training or transitioning your toddler from a crib to a bed. And, don't forget to take breaks during the moving process to spend some time with your child.

Before the move, you should arrange for someone to help watch your child on the day you move out of your old home and on the day you move into your new one. You will also want to collect the child's essential records including birth certificates and medical records before you start packing. It is also a good time to set aside any irreplaceable keepsakes, security objects ( e.g. favorite stuffed animal or blanket), favorite toys, and some CDs of children's music. These items can be taken with you in the car or plane when you travel to your new home.

During the move, pack your child's belongings as late as possible in the moving schedule to minimize the disruption to your child's surroundings. Once you have moved into your new home, set up at least part of your child's room first. Being surrounded by some familiar furniture and toys will make your child feel more comfortable in the new setting.

What’s a CLUE Report?

Thinking of buying or selling a home? Then you need to know about CLUE Reports! Insurance companies use a database that tracks claims on homes and homeowners. This Comprehensive Loss Underwriting Exchange Property Database (CLUE) can tell an insurance company if there has been a claim for water damage and the amount of the claim amount. If the insurer decides that the home is too risky he can refuse to insure that home, and without homeowner’s insurance, the purchaser cannot get a loan. For more information about CLUE Reports and how you can obtain a Free Report for your home, you must read this excellent article at MSN Money!.

How to price your home in today’s market?

With the uncertainty of the direction of the real estate market on the top of everyone’s mind today, there is confusion on the part of all involved - sellers, real estate agents, buyers, appraisers and mortgage brokers - about how to determine the value of a home. There are clear signals that can be helpful in determining how much a home is worth and how long it will take to sell it. Market signals – and the absorption rate - should be monitored by both sellers and agents to keep abreast of a changing housing market.

Market Value

Sellers control the listing prices. An agent may advise, but in the end, the seller sets the price. The buyer determines what someone is willing to pay for the house and, in most cases that is based on the value that is determined by the market. Market value is the price that a seller is willing to sell for and that a buyer is willing to pay.

Once a home is placed on the market, feedback from showings is a good market signal to pay attention to. If the feedback is consistent - "house needs too much work", "don’t like the location", "property is too flat (hilly, narrow, etc)" – that reads, "House is too high in comparison to other homes that I have seen for the same price." Either the objection can be remedied (make some repairs) or the price can be adjusted to reposition it in the marketplace.

"Supply and Demand" regarding housing inventory is a key market signal. If there are more houses coming on the market and the sales are not keeping up then prices will soften unless that changes. Sellers and agents must monitor the market absorption rate or "MAR". To calculate the MAR of the housing market in your price range – divide the number of available listings by the number of sales during that month. That will tell you how many homes in your price range sold that month. Then look at the number of available listings. For example using an absorption rate of 5, it means that it will take 5 months to sell the existing inventory.

The lower an absorption rate the less time it takes to sell a home – which means more buyers, fewer homes. If the absorption rate is high, then buyers have more choices and may be very fussy about the properties they’re purchasing. Homes that are updated, in "mint" condition, in more desirable locations or settings and priced competitively in comparison with other homes on the market, will sell first. Price of a home and market position must match. "Chasing a market down" is the worst selling strategy possible! Monitoring feedback from showings, available inventory to check market position and the market absorption rate will help a seller make an informed decision. It is the responsibility and obligation of the listing agent to provide the seller with the information needed. All the exposure and marketing in the world cannot overcome a house priced too high for current market conditions.

Cheryl’s State of the Market Report

2005 Home Sales
Stats for Dix Hills, SD# 5

The National Association of Realtors (NAR) reported that 2005 was another record-breaking year for sales of previously owned homes – with an increase of 10.5% nationally from the year before. On Long Island, 2005 surpassed 2004’s record setting numbers. Housing prices in Nassau and Suffolk Counties increased 11% from 2004. During the last few years the dramatic rise in housing prices is partly due to low interest rates for mortgages and the continued demand for housing across Long Island. However, the LI Multiple Listing Service does report that during the last quarter of 2005, prices did stabilize. Furthermore, "despite rising residential inventory levels, demographics and the continuation of reasonable interest rates will keep the market sound and in a better sense of balance." In other words, we have gone from a "Really Great Market" to a "Very Good Market"!

I’ve compiled the 2005 market stats for Dix Hills, SD#5 to establish the basis for the housing market this year. The market stats for the first quarter of 2006 are listed as a means of comparison and perhaps an indication of where the current market is headed.

Looking at the 2005 monthly totals of when homes went into contract and when they closed is helpful in answering the question, "When is the best time to sell my home?" All of the data refers to existing-home sales and was compiled from the LI Multiple Listing Service.

The housing market fluctuates from month to month and can be influenced by outside factors. The information that follows is a "history" of what happened and should be looked at from that perspective as a guide and not as a guarantee. From the point of view of the seller, the best time to sell is when there are more buyers than homes. "Supply and Demand" has a major effect in the selling price of a home.


Dix Hills (SD #5) Stats for Existing Home Sales:

2004 Average Listing Price: $742,884
2005 Average Listing Price: $842,951
LP$ increased 13.47% from 2004

2004 Average Selling Price: $719,056
2005 Average Selling Price: $811,831
SP$ increased 10% from 2003
SP$ increased 12.90% from 2004

In 2004, houses sold for an average of 3.01% less than the price they were listed for.
In 2005, houses sold for an average of 3.28% less than the price they were listed for.

During 2004 the average amount of time it took to sell a home – or Days on the Market (DOM) - was 78 days.
During 2005 the average amount of time it took to sell a home – Days on the Market (DOM) - was 76 days.



Click here to download Cheryl's full report, including figures and tables, in PDF format.

Welcome

The Town of Huntington covers a lot of territory – about 93 square miles and currently has a population of about 200,000. It is located about 40 miles from Manhattan.

The western boundary starts at the Nassau County Line – goes through the bays and harbors along the north shore through Huntington Village (a hotbed of rebel activity during the American Revolution!) and ends past the waterfront village of Northport – or Great Cow Harbor as it was known in the 1600’s. For more information about Huntington’s history go to http://town.huntington.ny.us/town_history.cfm

The southern part of the Town encompasses Dix Hills and Melville. Although both full of history (Walt Whitman’s home was in Melville and Dix Hills was named after a local Indian, Dick Pechagan – "Dick’s Hills") – the old farms and hunting estates are long gone. Today the 110 Corridor in Melville is known for the stunning corporate buildings located there. Beautiful housing developments have been built over the years – some brand new amidst the established neighborhoods. The Town of Huntington is a wonderful place to live and all of the areas have a strong community affiliation.

Much of the sense of community is based in the strong school systems within the Town. That is certainly the case for Dix Hills and Melville. The renowned Half Hollow Hills School District has a resident population of about 40,000 with a student population of about 10,000 students. .

If you ask someone why he/she chose to live in Dix Hills/Melville, you will almost always be given the same response; The School District. And - the whole area is beautiful! Myriad choices of housing are available – Rolling hills with wooded lots; Flat, fully landscaped properties; Gated communities with clubhouse, pool and tennis. Some areas are zoned for smaller lots, but many areas are zoned exclusively for 1-acre and 2-acre parcels.

Dix Hills is a wonderful community! As a resident – active in the community, civic association and schools for over 25 years - I love living and working in Dix Hills. You will too!

Whether you’re a long-time resident or a new-comer, I hope that you will check back here frequently for updated information. And if you want to share your opinion about something in the community or Town, I’ll provide a place for "Reader Comments". I also invite anyone who would like to post an article to email me. I’ll be happy to post anything that I believe would be of interest to the readers.