Huntsville Real Estate Blog

Forbes.com has ranked Madison County, AL 1 in the latest survey of the Top 10 Affordable Places To Weather The Downturn.  Forbes considered factors such as well-priced homes, enviable job growth and proximity to vibrant cities when deciding where the best places are to live in these recessionary times.

Madison County, AL is an easy commuting distance to Huntsville with a population of 312,734.

Last year unemployment reached a 20-year high of 6.5%, but Madison County experienced 3.4% job growth.  

Moody’s Economy.com provided an affordability index for each county. A score of 100 indicates that a family earning the median income in the surrounding metropolitan area can afford to buy a median-priced home. The higher the score, the higher the affordability. Madison County’s score was 221.02.

The median property tax is $577 and the per capita income (in 2006 inflation-adjusted dollars is $27,065.

Learn more about Madison County real estate at MoveToHuntsville.com or give us a call, 256-508-0211.

Search all Madison County homes for sale.

Bookmark It

What Makes Sense When Buying Huntsville Real Estate – Condo Or Single Family

Condominiums and townhouses offer an affordable option to single-family homes when buying Huntsville real estate, and they’re ideal for those who appreciate a maintenance-free lifestyle. But before you buy, make sure you do your legwork. These are some of the important elements to consider:

• Storage. Some condos have storage lockers, but usually there are no attics or basements to hold extra belongings.
• Outdoor space. Yards and outdoor areas are usually smaller in condos, so if you like to garden or entertain out doors, this may not be a good fit. However, if you dread yard work, this may be the perfect option for you.
• Amenities. Many condo properties have swimming pools, fitness centers, and other facilities that would be very expensive in a single-family home.
• Maintenance. Many condos have onsite maintenance personnel to care for common areas, do repairs in your unit, and let in workers when you’re not home – good news if you like to travel.
• Security. Keyed entries and even doormen are common in many condos. You’re also closer to other people in case of an emergency.
• Reserve funds and association fees. Although fees generally help pay for amenities and provide savings for future repairs, you will have to pay the fees decided by the condo board, whether or not you’re interested in the amenity.
• Resale. The ease of selling your unit may be dependent on what else is for sale in your building, since units are usually fairly similar.
• Condo rules. Although you have a vote, the rules of the condo association can affect your ability to use your property. For example, some condos prohibit home-based businesses. Others prohibit pets, or don’t allow owners to rent out their units. Read the covenants, restrictions, and bylaws of the condo carefully before you make an offer.
• Neighbors. You’re much closer to your neighbors in a condo or town home. If possible, try to meet your closest prospective neighbors.

 Thinking of buying Huntsville real estate? Visit MoveToHuntsville.com or give me a call. I’m glad to help!

Search all Huntsville real estate and homes for sale.

Bookmark It

Finally, some good news! It has just been announced by the Huntsville Times that the Tennessee Valley Authority will cut electricity rates by about 6 percent starting January 1.  This rate cut reflects lower fuel costs and offers some relief for customers after a major rate increase earlier this year.

The savings should equal about $4 to $8 a month for the federal utility’s 8.8 million residential consumers in Tennessee, Kentucky, Alabama, Mississippi, Georgia, North Carolina and Virginia.

The change reflects a 25 percent reduction in TVA’s fuel cost charge, which is adjusted quarterly.

The reduction will help offset an across-the-board 20 percent rate hike enacted Oct. 1. It was TVA’s highest increase in three decades and blamed largely on rising fuel costs for its power plants and power purchased from others.

Learn about Huntsville real estate at HuntsvilleHomesOnline.com.

Search all Huntsville homes for sale.

Bookmark It

How Huntsville Home Buyers Position Themselves To Make Offers

The current Huntsville real estate market is challenging for both buyers and sellers. Many sellers have not accepted the fact that their home has decreased in value and are trying to sell at peak 2006 prices. At the same time, buyers want to make sure they don’t overpay, fearing prices will continue to drop even more.

Of course, there are exceptions. Well priced homes in desirable neighborhoods or foreclosed properties selling at ‘yard sale’ prices may generate multiple offers. But all in all, it is a buyer’s market.

So how do Huntsville home buyers prepare to make an offer and put themselves in the best negotiating position? Here are some suggestions made by Dian Hymer in a recent Inman news article:

1. Before you make an offer on a listing that’s priced over market, try to find out as much as possible about the sellers’ motivation, and if there’s any flexibility in their price. If the seller owes more than the house is currently worth, they may not have any negotiating room. They may want to sell the house, but really can’t sell at today’s prices.  A lot of time and emotional energy goes into making an offer. Save your efforts for listings where the sellers are motivated. That is, they don’t just want to sell — they need to sell.

Some sellers want to test the waters at a price that’s higher than the market will support. They usually feel that someone will appreciate the added value their home offers and pay more for it. However, these sellers will often negotiate with a legitimate buyer who offers a price that is less than the list price.

2. Make sure that your financing is in order and that you are able to show the seller that you are capable of closing the deal. The fallout ratio is high in the current market. Many of these transactions fail to close because the buyers couldn’t get financing.

It’s always a good idea to be preapproved for the financing you’ll need to buy a home before you make an offer. Preapproval involves making a formal loan application, having your credit checked, as well as verifying your funds for down payment and closing costs, and validating your income and employment. Lenders often want to know that you have enough surplus cash to make house payments (mortgage, property taxes and insurance) for two to three months.

3. Buyers who make an initial low offer and who aren’t in competition should make as clean an offer as possible. This means omitting anything that’s not necessary. However, you should include contingencies for loan and appraisal approval and an inspection contingency.

It’s a good idea to include a copy of your preapproval letter with your offer. If you are approved for a higher price than you are offering, ask your lender or mortgage broker to issue a preapproval letter for the price you’re offering.

4. Be prepared to negotiate. It may take several rounds of counter-offering back and forth to reach a mutually acceptable price.

Are you thinking about buying a Huntsville home? We are glad to help you with your preapproval process, show you homes with motivated sellers and craft an offer putting you in the best possible light with the seller and results in getting you the best possible deal.

Search all Huntsville homes for sale.

Bookmark It

Do You Really Want to Own Rental Property In Huntsville?

Investing in Huntsville real estate and owning rental property sounds glamorous, but it isn’t for everyone.

Be sure you know what you’re getting into and understand what you are getting into before signing on the dotted line. Here are some questions you should ask yourself before purchasing an investment property:

    •  Where will the down payment come from for this property?

    •  Do you have cash reserves so you handle periods of vacancy, i.e. no income?

    •  How about reserves for unexpected repairs and other expenses?

    •  Do you need property to rent immediately or do you have time and money for a “fixer-upper”?

    •  Will you make needed renovations and repairs or hire someone else for the job?

    •  What type of property do you want: single family, apartment, duplex, condominium, or vacation property?

Thinking it through ahead of time assures that you won’t get caught making a rash decision you will regret later.

If you decide now is the time to take advantage of lower market prices and invest in Huntsville real estate and rental property, visit MoveToHuntsville.com.

Search all Huntsville real estate and homes for sale.

Bookmark It