5 Reasons to buy that home in Toms River, NJ, NOW!

5 Reasons to buy that home in Toms River, NJ, NOW!

In his excellent post, 5 Good Reasons to Buy that Home NOW!, Steve Harney details exactly why this may be the best time to buy a home. We’ve taken Steve’s 5 reasons and specifically applied them to buying a home in Toms River, NJ.

1) The Homebuyers Tax Credit

As of this post, there are 37 days left for prospective homebuyers to take advantage of the Tax Credit (up to $8,000 for “First Time Buyers” and up to $6,500 for “Move Up Buyers”). More good news; current home prices in Toms River, NJ, literally ensure the maximum Tax Credit! Even more good news; homebuyers ONLY need to be “under contract” by April 30th, 2010 and “closed” by June 30th, 2010! To see if you may qualify, please visit http://www.realstorynj.com/Home-Buyer-Tax-Credit#FTB

2) Low Mortgage Interest Rates Currently Available

The Fed announced they would discontinue buying mortgage backed securities effective March 31st, 2010. What does that mean for prospective homebuyers in Toms River, NJ? It means the rare, historically low, mortgage rates will begin to climb out of the 5’s and some even speculate we may see 7% mortgage rates again! For current rates visit http://www.bloomberg.com/markets/rates/keyrates.html

3) Location, Location, Location or Inventory, Inventory, Inventory

It’s the “Law of Supply and Demand”! With over 17 months worth of available inventory on the market in Toms River, NJ, homebuyers literally have their “pick of the litter”. That means; if NO other homes were to come on the market in Toms River, it would take over 17 months to sell off the existing inventory of homes at the current sales pace. To see more Toms River, NJ, market statistics, visit http://www.trulia.com/real_estate/08753-Toms_River/market-trends/#average_listing_price_chart_container

4) Real Estate Has Always Been A Good Long Term Investment

Even though home prices in Toms River, NJ, may continue to fall slightly in 2010, the real estate market has historically outperformed the stock market, including over the past decade! We are seeing price levels near the 2004/2003 levels in Toms River, which means when the real estate market rebounds (which it always does and some say it is poised to do so now), homebuyers in Toms River, NJ, could expect to see a return on their investment.

5) The House Is A Home First and An Investment Second

A “Return to Basics” value has replaced the “Credit Card” mentality of home ownership as a result of the “Great Recession”. Homebuyers in Toms River, NJ, are looking for the necessities that a shelter provides and the comfort of a home rather than “get rich quick”, flipping mentality of HGTV’s mid-decade seasons. A home in Toms River represents a marriage, family, childhood and/or a lifetime memory!

What Does This Mean To You?

If you have been thinking about or considering, whether or not this truly is “a good time to buy” a home in Toms River, and you are looking to settle down and enjoy the comforts of home ownership, then perhaps it is time to act and buy a home in Toms River, NJ, now?

What the Tax Credit means for Home-Sellers in Ocean County, NJ!

I was taking advantage of the "snowicane" last night by catching up on the lives and adventures of my "friends" on FaceBook, when I read an article posted by Keeping Current Matters. Now, I am already a "fan" of The KCM Crew but this particular post, "Success Strategies for March", really got me thinking:

• Do home-sellers understand the Tax Credit?
  
• Are their real estate agents explaining the significance of this "window of opportunity" to them?
  
• Do real estate agents realize it is their fiduciary responsibility to make their sellers aware of the significance of pricing their home right, right now?
  
• Do home-sellers realize their home is WORTH MORE NOW than it will be on May 1, 2010?

So, I decided not to take any chances, threw my boots on and trudged through the "snowicane" to the office in order to make this short video and sleep well tonight!

And the rest of the day to you...

Snowmageddon and the Tax Credit

With just over 2 months left for prospective home-buyers to find their new home and enter into a contract, in order to take advantage of the $8,000 and $6,500 Tax Credits, the last thing we needed in Ocean County, NJ, was a ton of snow in February. Why?

Watch Jim Flanagan, Broker of Record, Coldwell Banker Flanagan Realty, as he shows us why:

90 Days to Cash In On the Opportunity of a Lifetime in Ocean County, NJ

TODAY officially marks "90 days" for Home-buyers to be "in contract", in order to take advantage of the TAX CREDIT!

The recently "extended" and "expanded" Home-Buyer Tax Credit expires on April 30th, 2010, but allows until June 30th, 2010, for qualified home-buyers to actually close on their new home. That means qualified home-buyers ONLY have 90 days to take advantage of what Jim Gillespie, CEO of Coldwell Banker Real Estate Corporation, calls; Triple "I" P!

What does Triple "I" P stand for?

• The first "I" stands for INVENTORY! Currently, there are 3798 single family homes "For Sale" in Ocean County, NJ. This represents a "saturation factor" of almost 21 months (how long it would take to sell of the existing supply of homes if no other homes were to come on the market)! Translation; there are plenty of homes to choose from!
  
• The second "I" stands for Mortgage INTEREST Rates which remain at historically low levels! Some economists are already predicting rising mortgage rates as early as the second quarter of 2010. Translation; waiting may cost you MORE in the form of a monthly payment!
  
• The third "I" stands for INCENTIVES! Aside from the standard tax deduction which comes with Home Ownership, Home-Buyers may be eligible for up to an $8,000 Tax Credit this year! Translation; if you buy a home before April 30th, 2010, you could get a check back from Uncle Sam of up to $8,000!
  
• And last, but not least, the "P", which stands for PRICES! The average sales price of a single family home in Ocean County, NJ, was $342, 378 in 2009, as compared to $373,775 in 2008. Translation; home ownership has never been more affordable!

In a nutshell; the factors which comprise Triple "I" P will disappear in 90 days! Will you look back at this historic opportunity to buy a home in Ocean County, NJ, as the wisest decision you ever made, or the biggest mistake (not buying now)?

Why Is NOW the Best Time to Buy a Home in Ocean County, NJ?

3 Reasons Why NOW Is the Best Time To Buy A Home In Ocean County, NJ:

1. The “Bottom” was 2008!

When we look at the chart below, we can see that sales in Ocean County “bottomed” out in 2008 and started to climb back up in 2009 (thanks in large part to the $8,000 Tax Credit)! With the “Extension” and “Expansion” of the Home-Buyer Tax Credit until April 30th, 2010, we should sales in Ocean County, NJ, continue to increase in 2010.



2. Home Prices Should Continue to Decline in 2010!

As we can see in this chart below, although sales in Ocean County rebounded in 2009, prices continued to drop! Many “experts” are forecasting an increase in the number of “distressed properties” (foreclosures and short sales) entering the real estate market in 2010. Combined with an existing inventory of homes in Ocean County averaging a sales pace of 13.15 months (How long it would take to sell of the existing inventory of homes if NO other homes were to come on the market), today’s home-buyer has a wide selection of homes to choose from a la the law of “Supply and Demand”.



3. Mortgage Interest Rates Are STILL Historically Low!

What’s the old saying? “What goes up must come down”. Well, the reverse is also true and the “era” of 5% mortgage interest rates may be coming to an end sooner than we think! Sooner or later, we will have to start paying off this entire “stimulus package” in the form of higher interest rates which translates to higher monthly payments. Notice the graph below which illustrates that we may NEVER see an opportunity to buy a home in Ocean County, NJ, like this again!

Toms River, NJ's Monthly Real Estate Market Report for December 2009

Monthly Real Estate Market Report for Toms River, NJ – December 2009
December by the numbers:

• 56 The number of Single Family Homes CLOSED during the month

• $387,928 Average LIST price for December*

• $354,078 Average SALES price for the month*

• 109 Average DAYS ON the MARKET for December

• 91.27% The SALES price to LIST price RATIO for the month

• 686 Number of Single Family Homes ACTIVE on the market in December

• 12.25 Number of MONTHS it would take to SELL OFF the existing supply of homes on the market, in Toms River, at this rate, if NONE were to come on the market!

December 2009 saw 56 Single Family Homes CLOSE in Toms River, as compared with 63 in December of 2008. THIS MARKS THE FIRST MONTH, IN THE LAST 6, WHERE SALES HAVE NOT SURPASSED THE SAME MONTH OF THE PREVIOUS YEAR! Of those 56 homes, 20 were in the price range of $200,000 to $299,999 (36%). Clearly, the $8,000 Tax Credit for First Time Homebuyers resulted in the gains in this particular price range during 2009!

*These averages include Single Family Homes from the beach communities of Ortley, Normandy and Ocean, etc. This may result in "higher than actual" averages for Toms River, NJ's Monthly Real Estate Market Report.

Sometimes, even GREAT homes don't sell!

Ok, so you had your home on the market, with a real estate brokerage, and it didn't sell. Why not?

Rick Deluca, National Real Estate Speaker, suggests there are 5 reasons even GREAT homes don't sell. Watch Jim Flanagan, Broker of Record for Coldwell Banker Flanagan Realty, as he explains these 5 reasons: