Archive for January, 2009
What is the Difference in Condo and a Town-Home ? How do you Know?
January 30th, 2009 categories: Condo Knowledge, Town-homes
A condo can be a town-house in style! A condo is legally where you do not own the ground but have common ownership of the common areas. A condo however can be have a town-house style concept. This is where the units are two stories. The the bedrooms are generally upstairs. The downstairs has a large den, kitchen, and dining area on the first floor. A town-home in a legal sense is where you do own the grounds and each owner is responsible for his or her upkeep and paying insurances on his own unit.
Condos have all the shared expenses of the upkeep and are able to have multiple amenities as a result of sharing. The condo fees pay for the common or shared amenities. Many times an individual would not be able to have a gym,security or a pool.
A townhouse is where you own the ground underneath the units and have ground in the front and back that is your own. Town-homes can be freestanding or in groups or communities. You are responsible for your own expenses such as insurance and maintenance. Many times there is a fee for the upkeep of the areas that are easier to maintain as a group.
In the city of New Orleans there are very few town-homes that have been built recently or during the last 50 years. Most of the town-homes will be found in areas that the zoning will for them. The more popular areas are in Lakeview, Old Metairie, and certain areas of Metairie. The lot values in these areas are more expensive and thus building two units on the same lot is a big savings. You get to live in these areas if you do not mind having a small yard. Most of the town-homes have been built in the last 10 years so high ceilings and updated units are the norm.
The advantage is that you can get a newer place in an area that has been already developed. Most of the time the land had an old home that was not worth much. It was considered a tear-down as the lot value and the home were the same. Most of the town-homes built in the last ten years had 3 bedrooms up, garage, large den and kitchen and were between 1800-2200 sq. ft. The most common and popular price ranges were between 275k and 400k depending on the condition and location.
The Delimon townhouses are at the upper end of the market and are located in Old Metairie. It was developed as a community with shared amenties for all to enjoy. This too is rare in the New Orleans metro market.
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River Ridge Condos, Steamship Circle Condos, A lot for your money!!
January 28th, 2009 categories: Condo Listings, Jefferson Parish
About the Area- The Steamship Circle area is one of the few areas where there are condos in River Ridge and Harahan. Its got a great location being less than a mile from the entrance of Earhart Extension which leads to downtown New Orleans in 20 minutes or about 12 miles.
The area has been developed for quite some time and is hidden in a treed area near some of the more expensive areas of River Ridge. The area still remains a quite and almost hidden area of small condo associations. The turnover is never too much as residents tend two stay long periods of time. You can enjoy the tranquil setting of River Ridge next to all the conveniences that you will find in Elmwood Business Park and shopping area off Clearview Parkway as it leads to the Mississippi River Bridge.
The condo at 2856 Steamship lives more like a home than your normal condo. The condo is larger than most condos with 1850 square feet of living area. You add on the garage and the balcony and you have a total of almost 2200 square feet. Add this to the open floor plan and the great placement of windows in a tree lined lot and you get the feel of a home.
The condo is a townhouse style with the garage and office-wet bar-third bedroom that opens onto a large patio that opens into a large very quiet common area. There is a balcony off the kitchen and a stairway leading to the patio which is a great feature for cook outs and those with a green thumb. Many of the updates were done in 2004. Kitchen was updated at that time with new counter tops, stove, dishwasher, vent-hood, light fixtures except for the cabinets. Condo was painted and got new carpeting at that time. The Bathroom was redone on first floor in 2008. Condo has been very well maintained by the current owners. The sellers are having an Inspection done this week to make sure everything is in tip top shape. A home warranty will also be offered for the first year for your protection.
Other features are:
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Large Bedrooms with a master suite |
See more photos and descriptions on my condo website. Feel free to e-mail me any questions. Indepth view of the property on my website for 5856 Steamship Circle D in River Ridge. I have sold several properties over the internet but recommend seiing them first. But its a great way to start your search.
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Selling your Condo! What are the Upgrades you have done! How do they compare to the competition?
January 24th, 2009 categories: Selling your Condo
When pricing a condo knowing your upgrades is more important than ever. This is becoming a bigger and bigger factor for the buyer and the seller. Many buyers are asking the sales price as to when you purchased the unit as they should do. It is therefore best to be able to detail the positive changes that you have made while you have owned the unit. Remember you are competing for the sale.
You should be able to detail the items costing more than $500 and the various cost associated with the upgrades. Buyers and many agents do not know the cost of the things they are looking at. Think about appliances, a-c system, cabinets, light fixtures, flooring. recent painting, and so on.
The best thing to do is make a list of the upgrades with some cost attached. I will make a flyer on the upgrades. Know what you are leaving behind. If you need to take something then get it replaced before putting the condo on the market. The buyers need to get an idea of cost as your competitor may not have the upgrades.
You also want to think about the upgrades of the Condo association as you paid for them through an assessment or from the general fund. Did you get a new roof lately? Has the complex just been recently painted?
There may be some upgrades that should be done before putting the unit on the market. We need to review the price and competition to see what things people expect to be done. Many, Many buyers in segment just want to move in and not have anything to do. I will or have had several blog on upgrades that should be done!
If you are a buyer you will need to ask all these questions if the listing agent has not had the fore site to figure this concept out.
Recent Articles- Knowing what the Seller paid?
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Selling and Showing your New Orleans Condo? What works and what does not? Taking good photos is key !
January 21st, 2009 categories: Selling your Condo
When selling your condo in today’s tough New Orleans market you need to have as much going for you as possible. Taking good photos and conveying them to the buying public is a key ingredient to getting your adverstised and condo sold. This is because most people start their search on the Internet looking at different sites on company sites or feeds that the agents send them. Seeing the condo is what people want and they have many to search through.
This is much more important in condos as few people will call you off the sign. Condo buyers are more likely Internet shoppers due to the demographic and the fact many view from out of town. The New Orleans MLS has just increased the number of photos from eight to twelve. Allows you to see more.
An agent needs to have a feel of what people want to see. Many of the condos I sell are small lofts in complexes. You need a very good camera with a wide angle lends to capture the feel. People want to know about the views so its important to have a shot of the view if its positive. If your views are not positive then go to the next feature, Its photo the positive aspects.
Buyers want to know about the complex and the amenities that it offers. If you have a pool, exercise room, courtyard, lobby, parking, and anything special you need to show these. I always like to get some photos with furniture as some places do really show better with the proper decorating. If you have features like great windows, wood floors, brick interior walls, exposed beams you want to feature these aspects in the photos.
Agents with websites and blogs can always give the buyer even more. Its always a plus to have your condo advertised on a site that people can find. Great photos makes it easier to get good fliers as well. I will cover that another blog. Remember seeing something nice will give you more showings. Small things do matter! Thats why the newspaper no longer works and has been deleted in my marketing plans. There are better ways to market your condo and good photos are a start. See what your agent does ? Check out New Orleans Condos Featured Properties
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Financing New Orleans Condo’s as a 2nd Home
January 18th, 2009 categories: Julie's Mortgage Tips, Second Homes
Rents in the Uptown New Orleans and the New Orleans Warehouse District are $1200- $1800 monthly. Instead of paying rent for the next four years college students parents can buy a condo as a 2nd home and reap the benefits. Some parents will be able to use the interest paid on the 2 nd home to lower their tax obligation. Buying in today’s market while values are down should equal appreciation 3- 4 years from now. Rates are at an all time low and its nice to be able to take advantage of it. 2 nd home rates are as low as your primary residence rates. For more information feel free to give me a call. — Julie Baudier
Julie has helped me on many occasions to run the numbers and give you ideas on the notes, taxes and tax savings ideas of owning. Many people will buy a condo for their kids to stay in while in school and keep it as a second home after graduation. Once the kids are gone it is like finding gold in your yard until they come back home. But then its much cheaper as they are just visiting ! Kids are wonderful but can get expensive.
Check out the Rent versus Buying analysis.
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New Orleans Condo Search, Your credit scores do matter when applying for a loan!
January 17th, 2009 categories: Condo Knowledge, Julie's Mortgage Tips
Banks and lenders have been increasing the scores needed to get the best rates on loans in 2009. The lower credit scores will make the loan more expensive via a higher rate and or higher charges. If your score is below the threshold you may not be able to get a loan at today’s lower rates.
This means it a great idea to check your credit score out while you are still in the early stages. A higher percentage of credit scores are wrong than you would think, so checked out early and get it fixed. There are ways to make your credit score go up by reviewing your open lines of credits and mistakes which may not be yours.
The best way to see a drop in your score is not to pay your bills on time. You may be a nice person but this does not count with credit scores.
I would have your future lender pull your scores and go over them very, very early in the process so you will not have any surprises.
I had a client who had great credit until someone opened up various lines of credit for him while he was busy working hard off shore. He had no idea as the bills were sent to a vacant lot. He then found loans, bank accounts, and bills he knew nothing about that had been set up under his name. The story ended quickly when the client could not buy anything for least 6 months while he cleared it up. It may not be this major but all the points count.
I had the opportunity to talk to Robert Tynes a loan officer with Whitney Bank in Metairie this past week. He gave me some of the basics: Your credit score and the down-payment are very important in figuring your interest rate. The rules are changing rapidly as to who will get the lower rates that are now being advertised.
Scores of 740 or more will get the best rates and will have no extra charges. The bottom scores for a conventional loan are in the 620 range with a decent down payment. The interest rates become a sliding scale from 620 to 740 as to an increase in rates. He also said the rules are changing rapidly so you need to keep updated and start the process early.
He is doing more FHA loans as the scores are in the 580-600 for the one rates for FHA loans. The down payment is around 3% which is a big help if you do not have a lot for a down payment. With this loan the seller can also help you with your closing cost to a certain degree. Gets complicated but that is why getting the loan process started early is more important than ever. Shopping rates is not easy when you do not know where you stand. Just be aware that many quotes are just teasers to get you in or to call.
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New Orleans Buyers Agent, What exactly does that mean to you?
January 13th, 2009 categories: Steps to Purchase
A buyers agent is an agent working for you in the purchase of a home or condo. This agent in Louisiana can list properties as well sell them but more than likely will not sell you one of his or her listings. My number one goal as a buyers agent is to match then buyers needs with the properties that are on the market or may come on the market in the future. One thing I focus on is how well the unit will sell in the future when you are ready to sell. What is the future value of the condo going to be?
Does the condo have value? A Buyers agent should tell you what the condo is worth, this often times is different than the asking price. Figuring out the asking price may be the seller or their agent. I can look up in the property records or MLS and see what the seller paid for the unit and when. In this market most things have been flat for 3 years. If the person overpaid for the unit, I will tell you.
What are the pros and cons of the unit? How does this stack up against other units that have just sold or have been listed in the condo association. Are the trends positive in the complex. An agents experience will help you with this.
Are there any past assessments in the condo association and how likely will this happen again? What do the condo documents say that may have some link to future value? Are there going to be financing issues with the condo association?
What do your condo fees cover? This fee may vary depending upon the condo association in what it covers.
A buyers agents can lead you to some of the better title companies, loan officers and how good their deals are? They will all save you money. They are not all equal and its easy to avoid a horror story. Just ask me.
Inspections are generally easy on condos but if we find things that are broken your agent should be your advocate in getting those items fixed in your behalf. The agent should have enough experience to know if the problem are major or minor.
These are but a few of the questions that a seasoned buyers agent should be able to help you with.
Historic Condo on St. Charles Ave.
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New Orleans Warehouse District, Get a feel of the neighorhood through photos.
January 10th, 2009 categories: Warehouse District
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Where and When do I start on my New Orleans Condo search? When, in 2009 of course!
January 5th, 2009 categories: Steps to Purchase
I often get asked how do I start my search for a New Orleans condo? Contacting an experienced real estate agent who deals with condos is a common way to start. I will then ask you several questions so I can determine what you are looking for. I need to know if you know the price range that you want to be in? Have you talked to a lender to get some ideas as to the numbers? Where would you like to be? Once I know this I can give you some of the better ideas and guide you through finding the best possible choice.
As a real estate agent I get paid by the seller a commission for selling you the property. Our function is to take your ideas and needs and then to come up with a plan to find you that unit. I will then give you the pluses and minuses of each of the units that we see. My take is always on the value and ease of reselling the unit that you buy.
The smart starting plan is to get qualified for a loan or at least know the numbers as to your note, taxes and condo fees. This is the best way as then you know what your options are. This is a great first step.
The next step is to get a feel for the area or areas that your interest lies. I have seen thecomplexes and hundreds of condos before so I can guide you once I know the type of unit that you would like. I can e-mail you the selections so you can get some ideas. We should then talk about the units and sit down and go over the process. Its your time to ask questions and my time to listen to your needs. The next step is to begin viewing your favorites and the ones that I think are good buys that meet your criteria.
I can then set you up to see all the new listings that are going to be coming on the market. This is a good time to get an idea of the past sales so to give you an idea of pricing and what the history is in the area. You of course are going to rule some out for various reasons. Best to rank the units as you look at them and take some notes. Each unit will have its positives and negatives. This is the search that leads to writting an offer. Recent articles that tie into this post: Interest Rates Drop, New Orleans- A Buyers Market, To Buy or Rent is a great question?
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New Orleans Property Tax Bills! Are they due? Mortgage Escrow Accounts!
January 3rd, 2009 categories: Condo Knowledge
Property taxes are now due in all Parishes, its 2009. In Orleans Parish you are paying ahead for the entire year of 2009. The rest of the Parishes collect in arrears or for 2008. Its your responsibility to make sure the bill gets paid once. If you have a mortgage the escrow account is more than likely pay the bill out of the funds it has collected from you on a monthly basis. The mortgage company just has to get the bill. Always a good thing to check it out and make sure its done especially if its your first year of ownership.
Do not pay yourself and have your escrow account pay as well. In Orleans its a total nightmare and a six to nine wait to get it corrected while they spend your money. Great customer service it is not but then you are only a tax payer. You pay the bills for others to spend.
Make sure you are getting the Homestead Exemption that you are entitled to, check your assessment as each person living in your condo or home gets a $75,000 exemption. This amount has not risen since I have been an adult, so much for inflation adjusted adjustments. Then it is only your money others are spending for your bennefit.
The escrow account will then start collecting for the next year. If the account is short they will raise the escrow amount. By the same token if they have taken too much after seeing the tax bill you will get money back. If you put enough down some lenders will let you go without an escrow account. In condos the taxes should be the only thing in the account. Always check out the process on year one.
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