2012 West Michigan Real Estate outlook

I’ve been accused of being an optomist.  That is a label I gladly wear.  I do temper my optomism with facts.  I believe that 2012 will be a good real estate year.  Interest rates remain historically low, prices are rising, slowly to be sure, but rising nonetheless.  The local job market is improving.  And the Grand Rapids area is consistently showing up on top ten places, whether for places to live, to invest in, or for best sculpture parks. 

The business tax structure is changing to encourage start ups and expansions.  The downtown growth continues to amaze me.  It seems a new restaurant or bar is opening up every week.  The Eastown rebirth continues, as witnessed by all the pedestrian traffic.  The Fulton Street Farmers Market has begun the renovation.  ArtPrize keeps getting bigger and better.  I could go on and on about the exciting things happening in the community but there are better voices for that than mine.  It is why there is a buzz, a sense of happening in Grand Rapids that draws young people here, not just people looking for a great place to raise a family. 

Home sales should continue to increase.  75% of metro areas in the United States had a drop in home prices.  Grand Rapids went up 23.7%.  That said, foreclosures and short sales kept the prices down in 2010.  But still, that was the case across the US and we beat the trend.  It makes sense to see growth with increased employment, very affordable housing, historically low interest rates, and people wanting to live here.

I wish you and yours a wonderful 2012!

Steve Katerberg

www.SteveKaterberg.com

Happy Halloween

It has been a busy few weeks and I haven’t had time to write.  But I wanted to share this photo of my grandson Liam.  Liam is seven months old and this is his Halloween costume.  He is a Russian Studies professor. 

The 2011 Detroit Tigers are roaring. My flashback to 1968.

The year was 1968.  I was 11 years old and in sixth grade.  It was the time of Al Kaline, Willie Horton, Mickey Stanley, Norm Cash, Dick McAuliffe, Don Wert, Gates Brown, Bill Freehan, Jim Northrup, Mickey Lolich,  and of course, Denny McLain.  Denny McLain won 31 games that year and was named the American League Most Valuable Player.

The excitement everywhere was huge.  Tiger fever was at an all time high.  I always listened to Ernie Harwell and Ray Lane giving radio play by play during night games.  During the penant race, I often took a transister radio to school, and ran an earphone from the radio hidden in my desk, up my shirt sleeve, into the palm of my hand, and that hand cupped my ear so I could listen to the game while trying to pay attention in class.   In fact, during the final few games of the World Series, everyone was so intent on baseball that televsions were rolled into some of the classrooms.  The tvs had rabbit ears and weren’t real clear but we could watch.

A few years ago, I had the opportunity to walk and talk with Ernie Harwell at a Blue Cross Blue Shield event.  It was like a trip down memory lane with an old friend.  His voice and mannerisms were the same as I had remembered broadcasting from Tiger Stadium at the corner of Michigan and Trumball.  I told him of listening to him with the hiddle earpiece in 1968.  He laughed and told me that I wasn’t alone.  That he had heard that story often over the years.

The 2011 Tigers have been exciting.  The outcome hasn’t been decided yet.  Thank you Detroit Tigers for bringing me back 43 years to a good place with old friends, Ernie, Al, and so many others.

 

 

 

 

 

 

 

www.stevekaterberg.com

Foreclosed House In Your Neighborhood?

 

A foreclosed house can soon become an neighborhood eyesore. If there are broken windows, tall grass, or the house isn’t secured from vandals or vermin, take action. Check whether there is a phone number posted on the house and call it. If not, contact your local municipality and file a complaint. Just because a property is vacant, it needn’t bring down the whole neighborhood. And there is a party who is responsible for that house.  

Keep an eye out for theft. Copper price is high and thieves will cut out all the copper plumbing if they get the chance. Watch for people just hanging out and call the police if you witness illegal activity. You certainly don’t want the house to become a site for drug dealing, a meth lab, or prostitution.  

You are the most knowledgeable salesperson for your neighborhood. So tell your family and friends about the upcoming house for sale. And if you know of an interested party, refer them to a trusted Realtor who can help them buy the property. They have resources available to find the deed holder which can be difficult for a layperson.  

It is also a good time to take an objective look at your own house. If the rest of the neighborhood is in great shape the vacant house will sell much faster.  

Lastly, consider picking up the trash and mowing the lawn. But first be sure to check with the local building code department as to what you can legally do. In this case, it is better to ask permission than forgiveness.

 

www.SteveKaterberg.com

Why Get A Building Permit?

 

 

 A building permit is often considered just as a way for a municipality to make money. The real purpose is to assure safety and to know that the work was done correctly. So when do you need a permit? Different municipalities have different rules so check with your city/township/village, etc. In most cases you will need to file an application along with detailed specifics of the project. It will be reviewed and a permit will be issued unless the plan is incorrect. Once approved, you will pick up the permit.

 

All new construction will need a permit. You will also need one if putting on an addition, doing structural remodeling, as well as swimming pools or decks. Other permits that might be required are: grading, zoning, electrical, mechanical, plumbing, septic, and demolition permits. You don’t need a permit for finish work like painting, tiling, carpeting, and most normal repairs. Working without a permit can result in fines and/or penalties. Also, when you sell your house, you will fill out a Sellers Disclosure stating the condition of the house as you know it. Normally there is a question as to whether there were structural modifications, alterations, or repairs made without necessary permits or licensed contractors. A buyer will not have as much confidence in buying a house without the permits. And if a seller lies on the disclosure, they are setting themselves up for a lawsuit. So hire a licensed contractor who gets the required permits. Or if you do the work yourself, pay for the permits, and live safer.

 

www.SteveKaterberg.com

Betty Ford’s Homecoming

Betty & Jerry Ford at the University of Michigan in 2003

Photo courtesy of Richard Lee/MCT/MCT 

Betty Ford, widow of President Gerald R. Ford, passed away Friday, July 8, 2011, in California.  There will be a funeral in California today and another on Thursday in Grand Rapids.  I am not a news writer but wanted to add a few of my thoughts.

Mrs. Ford was married to a politician but wasn’t one herself.  She raised the family while her husband was busy in his role as Congressman and in Republican leadership roles.  They were looking forward to his retirement from Congress when history and Richard Nixon called.  Spiro Agnew had resigned the Vice Presidency and after polling members of Congress and key advisors, Nixon called on Gerald Ford to take over.  That event changed their lives and the rest is history. 

Mrs. Ford was always refreshing to listen to.  I didn’t always agree with her but I appreciated her passion and honesty.  She was a plain speaker and said exactly what she thought, she didn’t think about the political ramifications.  She shocked a lot of people back in the seventies.   

That said, she was an effective speaker.  She campaigned hard in the 1976 election for her husband.  She was well received.  Even when her husband’s popularity slipped, Betty’s was high.  I remember the Vote for Betty’s Husband buttons. 

I was a college radio news director and covered President Ford’s return to Grand Rapids on the night before the election.  The President had campaigned non-stop in the final stretch and his voice was almost gone.  In fact, the next evening, Mrs. Ford read the concession speech with her husband looking on.

They retired to California but came back often until age factored in.  I was at President Ford’s 90th birthday celebration and he shared thoughts and memories of his long life.  I remember him saying that when he couldn’t sleep, he thought of Grand Rapids.  Grand Rapids was always his home even when he didn’t live there.  President Ford is buried just north of the Presidential Museum in Grand Rapids.  Over 60,000 people waited for hours to file past his casket lying in state in the museum.  Jerry Ford is back home.

MyGR6  is a contest which started a week ago in which you describe Grand Rapids in six words.  Mrs. Ford submitted an entry, Journeyed far; Grand Rapids always near.  What a wonderful sentiment!

Mrs. Ford, you have journeyed far and you will return home tomorrow evening.    I join the rest of West Michigan in thanking you for a life well lived and welcoming you home.   

Say “I do” to FHA Bridal Registry

Are you planning to get married and buy a home in Michigan, but wonder where your down payment funds will come from?

FHA has a Bridal Registry program where the money you receive as a wedding present can be used towards your down payment. Just like registering at a specialty or department store, the FHA Bridal Registry program allows you to register with a lender. Then your friends and family are able to make gift payments into an interest bearing account on your behalf.

It’s a win win! Not only can your gifts earn interest, but they can be used as a down payment towards an FHA Loan.

 

Bridal Registry Guidelines

Bridal Registry Accounts were originally introduced in 1996, but still remain a little known fact when it comes to down payment assistance. The misunderstanding of how this program works might be the fact that it was originally only allowed by banks. Soon after, FHA modified the program and offered new flexible options and the opportunity for the newlywed to set up the account at any bank. Plus, newlyweds are now able to make deposits on their own from the gifts they receive.

Here’s how it works in 3 simple steps:

• You will open a savings account at your bank prior to the wedding
• Friends and family will be given the banking information where the gifts will be deposited
• All of the gift funds can go towards the FHA required 3.5% down payment
• Anyone with an interest in the purchase cannot be party to the gift funds (i.e. realtor)
• There is no requirement that you be married prior to closing on your new home

Another huge advantage is that there are no gift letters or other documentation required other than proof of your savings account named “bridal registry account.” It’s that simple!

No gift letters. No paper trails. Just a simple savings account labeled “bridal registry account” and you are on your way to having the wedding present of your dreams.

www.stevekaterberg.com

Thinking about buying a house?

Are you in the market for a home?  How do you determine which house to buy?  I’ve been selling real estate for over twenty years and can honestly say that everyone has a different idea of the perfect home.  It is simple to just think  3 bedrooms, 2 baths, 2 car garage, for $$.  But if it were that easy, you could fill out a checklist and order up your perfect house.  Kind of like ordering a new car from the factory.   But there are other factors.

If you’d like to have a better fit and save yourself some time and frustration, do a personal lifestyle assessment.  And discuss it with your Realtor.  Do you like to entertain?  Like open spaces?  Or do you have small dinner parties which you like to host in a formal dining room?  Do you like your bedrooms in a different area of the home?  Is the school district important to you?  How close do you want to be to where you work or socialize?  Do you like lawn work and home maintenance.  It might help you decide whether to buy a home on acreage or what age home is right for you.

Think about your all time favorite house.  It might have been your childhood home or belonged to a relative or friend.  Talk about what you liked and disliked about it.  It might subconciously be your ideal house?  Talking about it might give guidance. 

Happy home hunting.

Grand Rapids Festival of The Arts

Festival of the Arts begins this Friday, June 3, in downtown Grand Rapids, Michigan.  The free three day annual event began in 1970.  It was inspired by the installation of the Alexander Calder sculpture in front of the City Hall in 1969.  The festival is now one of the largest all volunteer events in the United States.  There are six stages, both outdoor and indoor, showcasing many different forms of art including music, theatre, dance, and poetry.  There will be a regional art exhibition inside the Grand Rapids Art Museum showcasing some of the best in West Michigan.  Check out the schedule and kick off your summer in style .  And come hungry as there are 33 non-profit groups selling a wide variety of food at their booths.

http://www.festivalgr.org/guide/

http://www.mlive.com/entertainment/grand-rapids/index.ssf/2011/05/festival_of_the_arts_2011_open.html

www.stevekaterberg.com

Common sense on Facebook

We wouldn’t walk up to total strangers and tell them our name, address, phone number, and birthdate.  We certainly wouldn’t show them photos of our kids or grandkids that might identify places which they frequent.  But we might be doing it without knowing it.  Facebook might be telling more about you than you would imagine.  And the information might be used by criminal elements for identity theft or worse. 

I use Facebook often as a way of sharing my life as well as keeping in contact with friends, family, and business connections.  It also keeps me learning about my community.  But we need to be careful with what we are sharing.  You might think that you changed your security settings a while ago so you are fine.  But as Facebook changed the format, it also opened some previously hidden items.  No big deal to fix but do it if more is showing than you want.

Grand Rapids WOOD TV8 did a good story on it.  Do yourself a favor and take 7 minutes to watch the video.

http://www.woodtv.com/dpp/news/target_8/Facebook-friends-with-spam-and-scams?sms_ss=facebook&at_xt=4dcaa99b2c0143b2%2C0

www.stevekaterberg.com