The 2008 Presidential Election will make history.  The United States will either have our first African-American President or first female Vice President.  Like the 2000 Presidential Election, every vote will count.  Virginia is already receiving recognition as a battleground state.  If you have not registered to vote yet, please click here.  You must have the documents postmarked at least 29 days before the General Election if you plan to vote.  Make your voice be heard.  Sign up to vote today!  

Tag… I’m it!  I’ve been tagged!  Yeah me!  Who would have thought that someone wanted to hear me talk about me any more?  But Lisa Sanderson does!  That spunky REATOR from the Poconos is good people!  So here are 6 things about me you could care less about! 

1.  I am terrified of Hobbits.  Yeah, those guys from The Lord of the Rings.  I know this is very silly to be scared of, but they creep me out!  I think it’s the extra large, furry feet.  I don’t like feet in general and when you have a little guy coming at me with disproportionate feet, I want to run in the opposite direction.  I would rank this fear above my fear of spiders, which is saying alot.  My husband wanted to watch The Lord of the Rings on tv once and I told him I thought I could handle it.  Turns out, I couldn’t.  I started crying 10 minutes into the movie.  We had to turn it off and go get ice cream.   Hobbits = 1 very scared Sarah!

2.  My favorite job of all time was working at I Can’t Believe It’s Yogurt.  Man I loved that job.  I got to eat fat free and low fat frozen yogurt for free.  It rocked!  I also got to brighten people’s day on a regular occassion.  Alot of people who were dieting would come in once a week for their “treat.”  They were always so nice to me!  I know it had nothing to do with me and everything to do with me handing them delicious goodness, but it always made me smile.  We also had a coffee bar at ICBY.  I hate coffee, but loved making the drinks.  If I could do any job over again, it would be that one.  Yogurt Girl!

3.  I used to do pageants.  I can hear the gasps now!  Hello my name is Sarah and I am a former beauty queen.  Most people think you do pageants to be told how beautiful you are.  I didn’t exactly do them for that reason.  I was painfully shy as a child and needed help building confidence and a thicker skin.  My mom was dead set against letting me enter pageants so I raised the entrance fee money by myself for the first one.  I didn’t place, but my mom noticed that I was able to take the experience and learn something from it.  In just a few short years I became a confident, well spoken young woman who could handle constructive critism well.  I also learned that it’s okay to have an off day, you don’t always have to win; but you do need to always strive to be better than you were the day before.  Pageants taught me many valuable life lessons. 

4.  I love Tootsie Rolls!  I mean, I LOVE TOOTSIE ROLLS!  It’s my weakness.  When I was 8 years old my mom made the mistake of giving me 480 miniture tootsie rolls for my birthday.  Big mistake!  I ate them all in 48 hours!  Big mistake!  I do not recommend eating 480 tootsie rolls in 48 hours!  You will regret it!

5.  I have had to drive some pretty crappy cars in my life.  The first car I ever had was the “Little Red Truck That Could Except When It Couldn’t.”  I think it was my mother’s attempt to teach me humility.  It worked.  It was a Dodge Ram that two of my older brother’s had driven when they had turned 16 and they had managed to destroy a good portion of the car.  Fortunatley I didn’t have to drive it that long because it died.  Then I was given a 1986 Honda Accord Station Wagon.  When it rained the brakes wouldn’t work and I would have to pull up the emergency break and pray real hard that it would stop in time.  Yeah, real crappy cars make real good stories!     

6.  Last, but definitely not least, I hate tea!  I really hate tea!  It doesn’t matter if it’s hot tea, cold tea, therapeutic tea, unsweet tea, or sweet tea; I HATE tea!  I know your grandmother/ aunt/ uncle/ brother/ next door neighbor probably makes some real good tea, but I don’t like it.  If it’s tea, I don’t want any.  It’s not you, it’s me.  So, please don’t ask me if I want your tea, cause I don’t.  Thanks. 

Wow!  6 whole things you could care less about!  There it is, in black and white… and on the internet.  So now all my stalkers know that they can offer me a tootsie roll and I will follow them anywhere and my friends can dress up as Hobbits drinking tea and scare me to death.  Now it is my job to pick 6 more people who the world needs to know more about.  Who will be the lucky victims… I mean lucky ducks!  I pick:

The rules to play are …
   1. Link to the person who tagged you.
   2. Post the rules on the blog.
   3. Write six random things about yourself.
   4. Tag six people at the end of your post.
   5. Let each person know they have been tagged.
   6. Let the tagger know when your entry is up.

Tag… You’re It!

Fredericksburg City -

• 108 days on market – this is 25 less days than in August 2007
• Sellers received, on average, 92.54% of their list price when the home sold
• There are 13.36 months inventory on the market
• 14 homes sold in August 2008, this is 7 more than in August 2007
• The most popular price range was $300,000-$399,999
• The average sales price was $263,298, compared to $352,273 in August 2007

Orange County

• 158 days on market – this is 54 days less than in August 2007
• Sellers received, on average, 87.44% of their list price when the home sold
• There are 16.87 months inventory on the market
• 31 homes sold in August 2008, this is 7 more than in August 2007
• The most popular price range was $200,000-$249,999
• The average sales price was $219,950, compared to $338,129 in August 2007

Spotsylvania County

• 117 days on market- this is 27 days less than in August 2007
• Sellers received, on average, 89.4% of their list price when the home sold 
• There are 8.31 months inventory on the market
• The most popular price range was $250,000-$299,999
• The average sales price was $262,389, compared to $314,311 in August 2007

Stafford County

• 107 days on market – this is 9 days less than in August 2007
• Sellers received, on average, 89.89% of their list price when the home sold
• There are 8.5 months inventory on the market
• The most popular price range was $300,000-$399,999
• The average sales price was $287,918, compared to $367,920 in August 2007

Prince William County

• 111 days on market – this is 13 less than in August 2007
• Sellers received, on average, 90.4% of their list price when the home sold
• There are 5.77 months inventory on the market
• The most popular price range was $200,000-$249,999
• The average sales price was $251,384, compared to $395,233 in August 2007

The housing market has been in turmoil for several years now and you have begun hearing news about reform.  The mortgage industry’s reforms and incentives are designed to improve buyer confidence and aid delinquent borrowers.  There are 5 key points to reforming the mortgage industry and in return improving the housing market. 

1. FHA modernization including simplifying and making available more FHA backed mortgages.
2. Permanent increases to FHA ad GSE (Government Sponsored Enterprises) loan limits.
3. Reform Fannie Mae and Freddie Mac.  (This will be addressed in a separate blog post)
4. Expand FHA to allow mortgages to be refinanced into FHA programs.
5. Tax credits for first time home buyers.

Effective October 1, 2008, FHA loans will require 3.5% down payments, instead of 3% down payments.  Gifts for down payments will still be allowed from family or non profits, but Seller assistance and Down Payment Assistance Programs will no longer be allowed.  The mortgage industry is fighting the elimination of the Down Payment Assistance Programs, such as Nehemiah, and instead asking for these programs to be reformed and restricted.

As of January 1, 2009 new permanent FHA loan limits will be as follows:

• Based on 115% of median sales price (set by HUD)
• Up to max of $625,000 with guarantee max of no more than $417,000.

This is lower than the temporary loan limits that are effective now.  All FHA loans with temporary loan limits must be FHA DE underwritten and approved by 12/31/2008 and Freddie and Fannie loans must be funded by 12/31/2008. 

An FHA refinance option will be available for some subprime loan borrowers that are facing delinquency.  This reform will allow loan servicers to place delinquent borrowers into FHA loan products and then sell the loans to FHA.  Servicers can lend up to 85% of current value.  The borrower would then share 50% of all future appreciation with FHA.  There are also refinance “fast track” options for current FHA borrowers.  A borrower with an FHA ARM loan can refinance into an FHA 30 year Fixed Loan at a reduced fee structure.  Limitations and qualification are attached to these programs and you need to talk to a qualified loan officer to get more information and find out if these programs are available to you.

Tax credits are now available to first time home buyers!  A first time home buyer is defined as anyone who has never had an ownership interest or has not had an ownership interest in the last 3 years.  The tax credit also only applies to primary residences.  These credits also have income restrictions.  The tax credit is up to $7500 for a home purchased from April 9, 2008 – June 1, 2009.  The borrower will have to pay the credit back via annual taxes at 6% per year over 15 years.  There is no interest due on the tax credit.  For more information on the tax credit visit:  www.federalhousingtaxcredit.com or speak to an accountant.   

Fredericksburg City Council will be meeting again in the next few weeks to discuss limiting the sizes of new residential buildings in the downtown area.  The above picture is of 3 houses on Charles Street, near the train station.  This area is part of the historic district.  The home on the left was built in 1929 and the home on the far right was built in 1909.  The home in the middle was built in 2007.  This area is in a flood zone which is why the builder had to have the unfinished ground floor, however, the 2007 home is way out of place in this area.  It stands a good story higher than any of the homes that surround it and it definitely does not blend in with its historic surroundings.

On one end of the spectrum we have the arguement from the builders that says if the city imposes stricter building maximum guidelines then they stand to lose money.  The builders may no longer be able to develop empty lots in some areas, and therefore leaves the city with less tax revenue.  On the other end of the spectrum you have neighbors of these houses angry that the aesthetics of the neighborhood have been ruined by these “McMansions.”  From a REALTORS prospective I have a hard time selling both types of houses.  Not many of today’s buyers want to be located beside a monstrosity of a house.  These “McMansions” also seem to be sitting on the market longer than the smaller home during this market downturn.   The smaller homes beside a McMansion can also have a negative effect on the value of the larger home.  The larger home will not be able to gain the same (higher) value as a larger home amongst other larger homes.  It is extremely important, in terms of value, for your home to fit in with those around it.     

Regardless of where your opinion lies on this topic, City Council will be making the final decision on the matter.  The new proposal limits height restrictions to 27 feet high – from 35 feet, and limits the footprint percentage of each dwelling to 30% of the lot size unless the lot of less than 40 feet wide, in this case the dwelling can be 40% of the lot.  If the lot is wider than 80 feet, the footprint can be no more than 25% of the lot size.