What happened to the Columbus Ohio Condo Market????

I get this question all the time! As a local realtor it is my job to be up to date on Columbus Ohio condos for sale. My clients who have condos listed are very frustrated and I need to look to the numbers sold in the last year for the answers. According to my calculations, there were just over 2500 condos sold in the last twelve months in the Columbus metro area per the local MLS. Determining how to break the number down further provides a challenge. It is difficult to look at specific locations such as Powell or Dublin. To look at condos for sale in these areas would not provide the snapshot needed. This leads me to look at condos sold by zip codes in the Columbus area.

And oh the enlightenment starts! Condos for sale in the Columbus area are on the increase…duh! The reason we notice more and more signs is that we are not burning through the condos for sale in the area. They are sitting on the market longer and then the inevitable price reductions start to happen when people have to sell for job transfers etc.

Condos are sometimes a more short term living environment for many people. On our team, we find that people live in condos for a period of five years or less and then move on to a home or another location. This is one of the reasons the condo market has taken such a big hit in Columbus in my opinion. Another reason is the builders went crazy about four years ago and built thousands of condos locally. Yes, thousands, you heard me. When a city only sells between two thousand and three thousand condos annually, adding thousands is just crazy.

Okay, I got off on a tangent there didn’t I? I promised numbers and I will get to them now..these numbers make sense to me, I hope I can articulate them well.

In the last twelve months, there were 2500 condos sold in the Columbus metro area. In the twelve months prior to that, 3300 were sold.. That is a pretty big difference, about a 25% difference. Think what that does to the market. It justs slams the pricing capability. I already discussed how condo living is a more transient lifestyle for a lot of people. So, you get people who want or need to move. You have an oversupply and bingo…prices head south, way south..

Okay back to the numbers…Locally, the area hit the hardest was downtown Columbus. With 249 condos sold between June 2007 and June 2008, and only 101 sold between the same period in 2008 and 2009. What is good is the average square foot price did not drop significantly. That was the only encouraging point here.

I was shocked at the 2^nd largest drop. It is the Dublin zip codes of 43016 and 43017. There were 355 condos sold same period 2007-2008, but only 206 same period 2008-2009. When I dug deeper, I found the reason. Lifestyle built a huge complex and there were other new builds as well as a condo conversion in that zip code.

There are some areas which are holding in very well. Mainly these areas were not inundated with new construction. Grandview for one is doing the best and Worthington has held up well down only 10%. This snapshot gives a clear indication of why we are where we are with condos for sale in Columbus. There is just too much supply. Currently there are approximately 3000 condos for sale in Columbus Ohio. That is a year’s supply and condos are not moving. Last year until this date, over 1090 condos had sold in our area, this year there have been less than 800. That is 30% less. The market is not improving, it is actually getting worse. While the housing market seems to be stabilizing, I don’t see the same for the condo market. That is just my opinion, but I live in a condo and there are eight for sale on my street. As an owner, that concerns me; as a realtor, I need to figure out how to sell the condos I have listed for clients.….now what happens…I will address that in my next article….stay tuned for my next article on condo financing, another negative for this market!
As always, call me if you would like specific information on any condo complex. 614-425-7676…or email me at Charlene@thegoldkeyexperts.com

Charlene

This article is an opinion of the realtor. The statistics were compiled to the best of this realtor’s ability via the local MLS and the results are not warranted. Information outside of the MLS was not used. That could have an impact on the numbers as well.

First time home buyers.....get your $8000!!!

Congress passed a new stimulus bill that includes a very nice tax credit for first time homebuyers....There are rules and you must qualify via income limits..but if you meet the requirements, this will be a great year to purchase a home!  Columbus offers many good values right now in both the house and condo markets. Please read below to learn about the new tax credit!

Here are the details, from CNN:

• Refundable: The credit is refundable, meaning tax filers see a refund of the full $8,000 even if their total tax bill - the amount of withholding they paid during the year- was less than that amount.
• Purchase Date: To qualify for the credit, the purchase must be made between Jan. 1, 2009 and Nov. 30, 2009. Buyers may not have owned a home for the past three years to qualify as “first time” buyer. They must also live in the house as their primary residence  for at least three years, or they will be obligated to pay back the credit.
• Paperwork: Applying for the credit will be easy - or at least as easy as doing your income taxes. Just claim it on your return. No other forms or papers have to be filed. Taxpayers who have already completed their returns can file amended returns for 2008 to claim the credit.
• Income Restrictions: To qualify, buyers must make less than $75,000 for singles or $150,000 for couples. (Higher-income buyers may receive a partial credit.)

Please let us know if you have any questions or if you want to come in for a consultation. Remember, we work with many first time home buyers. We explain the process in our consultation and there is never a charge for this to you...Dont just hop in the car and start looking at houses.....we want you to take the time to learn how everything works, then you will be an informed and prepared buyer...

We look forward to hearing from you...call us today at 898-5397

Charlene, Troy, Ashley and Katrina

Single Story For Sale in Bernhards

Lots of Updates on the Inside!

• 1,719 sq. ft., 2 bath, 3 bdrm single story - MLS® $129,000

Bernhards, Whitehall  -  This wonderful home is more than meets the eye--it has many updates, including new carpeting and recently refinished hardwood floors. This home also features a 3 season room, fireplace, patio, and huge fenced yard! There is much more to see in this Whitehall home so come for a visit today!

Property information

2 Story For Sale in Chapel Hill

• 1,152 sq. ft., 2 bath, 2 bdrm 2 story - MLS® $99,900

Chapel Hill, Columbus  -  Wow! Charming condo facing wooded ravine! This modern condo boasts Granite counters, newer cabinets and appliances, new roof in 2007. Don't miss out on this great location & move in ready condo!

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2 Story For Sale in Scioto Reserve

• 2,270 sq. ft., 3 bath, 4 bdrm 2 story - MLS® $274,900

Scioto Reserve, Delaware County

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Bethel Village Bethel Condos... Whats the difference?

Have you ever wondered about the condo communities along Bethel Road? There are several and our clients who live along this corridor love the location! They like the proximity to Ohio State University as well as downtown Columbus.  There are many  restaurants as well as grocery shopping and lots of local shops nearby.

Today I am going to concentrate on talking about two of the larger communities along Bethel. Our team has sold quite a few condominiums in Bethel Commons and Bethel Village over the past few years. Many people ask what the difference between the two condo communities is. Below are some of the major differences I can recall. Now this list may not be perfect, but is my recollection to the amenities offered by both places.

They appear much the same on the outside, but do have different colored shutters. The biggest difference in the two complexes is the color of the trim in most units and the interior doors. At Bethel Commons, the trim and doors are mainly brown. At Bethel Village, the trim and doors are painted white. Bethel Village has six panel doors and the units run a little larger. Both complexes offer full basements and many of the basements have been finished over the past 15 years. Some of the basements have baths, both full and half baths are found in the basements of various units. Both Bethels also have some units with fireplaces and others without.

Another difference in these complexes is the size of the units. Bethel Commons has the smallest unit offered; it is just over 830 square feet. It has one bathroom on the above ground levels. It is offered with and with out a garage. There is another unit at the Commons which has 1024 sq ft with 2 bedrooms and 1 or 2 full baths on the top two levels. Again, I have seen these with and without garages. The larger units do feel very spacious. Most have half baths on the main level. There are even larger units with 3 bedrooms and also a few units with 2 car garages, the one car garages being more prevalent.

At Bethel Village, the units start at the 1024 sq footage. There is also a larger unit with over 1100 sq foot and 2 bedrooms. These units have a more spacious feeling entryway and a half bath on the main floor. The end units at the Village are very nice with side entrances and a real sense of entering a very separate place.

Both of these complexes offer wonderful workout facilities that can be accessed by the residents. They have very large pools and the grounds seem to be well kept. One downside at Bethel Village is the lack of visitor parking. However, the units offer many amenities not found in the area that offset this issue.

Our clients who live in these condos love the ease of getting to the highways and most always comment on Graeter’s being right across the street…I guess we all love eating ice cream!!

As always give us a call if you would like more information!

614-425-7676

How you can get a $7500 loan interest free when you buy a home????

Earlier this year a new program was instituted for first time homebuyers that met certain criteria. Below I have posted the program offering and the requirements for the program. Please contact me at 614-425-7676 should you want further information or have any questions.

This is a great opportunity and you can still take advantage of receiving the funds this year!

Go get your $7,500 15-year interest free loan from the government

Tax credit offered to new homebuyers

Expires June 30, 2009!

1. Who is eligible?
• First-time homebuyers or any homebuyers who have not owned a principal residence in the last three years
2. How does it work?
• Eligible purchasers can claim the $7,500 credit on their annual tax return form.

·         Amount of credit: 10% of cost of home or a maximum of $7,500

1. Repayment:
• Two years after the credit is claimed, the homebuyer will have to start paying it back.
• 15 equal annual installments will have to be paid back to the IRS every year.

·         6.67% of the borrowed amount or a maximum of $502

• If home is sold before 15 years, the remainder of the loan will have to be repaid to the IRS upon the sale.

·         Part of the liability can be forgiven if the gain on the sale is less than the amount of the loan.

1. Restrictions:
• Home purchase time limit:

·         Homes purchased on or after April 9, 2008 and before July 1, 2009

• Home must be a single family residence (including condos, coops) that will be used as a principal residence.
• Home must be located in the United States.
• Home cannot be financed through mortgage revenue bonds.
• Income restriction:

·         To qualify for full $7,500 credit, the taxpayer must make no more than

a.       $75,000 for single returns

b.      $150,000 for joint returns

·         To still qualify for credit but at a lesser amount, the following income caps apply

a.       $95,000 for single returns

b.      $170,000 for joint returns

For more information on the tax credit:

http://www.realtor.org/gapublic.nsf/files/hbtaxcreditqa2008.pdf/$FILE/hbtaxcreditqa2008.pdf

http://www.federalhousingtaxcredit.com/faq.php

Remodeled Foreclosures Raising Values?

Remodeled Foreclosures Raising Values?
 
Columbus, OH in Worthington School District (Near Polaris Fashion Mall) :

The small detached condo community of Worthington Heights contains about 250 detached condos. The community is located in the city of Columbus, Ohio near Polaris Fashion Mall but the residents children attend Worthington Schools. This community has been hit with foreclosures similar to many other communities across Ohio and the entire country in recent months. The interesting trend is that these foreclosures which initially hurt home values are being remodeled and are selling for more than similar "non-remodeled condos" have been selling and actually raising neighborhood values.

Although this phenomenon was rampant during the boom years of pre-2006, the foreclosure "issue" has been billed primarily by the media as an appreciation killer and as a general rule that is accurate. Let's take a look at one street in Worthington Heights, on this street alone there have been two foreclosures that sold for well below market at $94,000 and $75,000. The $94,000 condo was rehabbed and resold in less than two months for $130,000 with a list price of $135,000 for a 3 bed, 1.5 bath,finished basement, 2 car attached garage and fenced backyard in Worthington Schools. The $75,000 sale was recently purchased from the bank, rehabbed and went into contract in 23 days at a list price of $137,000 (actual sales price unknown until sale is complete). The latter condo has 3 bed, 1.5 baths, finished basement, 1 car attached garage and a fenced in back yard.

This neighborhood is already a great value due to its proximity to Polaris Fashion Mall as well as being located in Worthington Schools and Columbus taxes, but especially in the situation of the 1 car garage the historical price for these units has been under $130,000. So, unless the seller took a very large amount less than list price, this should do give a nice bump to neighborhood prices. It is only fair to note that the rehab was done very well with Brazilian cherry wood floors installed as well staggered 42 inch cabinets and granite counter tops with stainless steel appliances. This is a bit of an "over improvement" for the neighborhood, but will still allow for that home to bring values up throughout the neighborhood and give a basis for higher appraisals in the future.

In a neighborhood of detached condos in which the individual owners are responsible for the replacement of exterior items such as the roof and the siding a complete rehab by a real estate investor also forces the replacement of these very important parts of the home. This brings the overall aesthetic look of the neighborhood up and also instills a certain amount of neighborhood pride among the other owners to bring their homes up to that level.

Overall the effect of foreclosures in this particular neighborhood, due to the quick sales at higher than average numbers has had a positive effect on homes values overall. It has taken homes that were an eyesore before the foreclosure and turned them into some of the best looking homes in the neighborhood.
 
 
Troy Marsh, ePro & ABR

Single Story For Sale in Worthington

• 768 sq. ft., 1 bath, 2 bdrm single story - MLS® $77,500

Worthington, Franklin County  -  Come visit this comfy, two-bedroom condo quaintly set in Worthington Woods. The full basement sets this unit apart. Washer and Dryer are included. Affordably priced in Worthington schools! Come take a look!

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The Interest Rate Rollercoaster

The Rules Are…There Are No Rules!

Like Kenickie said there are no rules to the game of real estate.  There are, however, customs.  When buyers ask, “Can we ask for that?”  I like to respond “You can ask for anything you want.  There’s just no guaranteeing that they’ll agree.”  Sellers will say, “Can we make that stipulation?”  The correct answer is, “Of course.  But is that more important to you than making a sale?”  In the world of real estate, terms of a contract have loads of flexibility.  You want to keep possession of a house until a few days after you’ve sold it?  Fine.  Ask for that.  But be prepared to budge on some other term.  You want the dining room table and chairs because they match the cabinetry so perfectly?  Okay.  We’ll ask.  But we’re going to have to be willing to pay for that. 

I’m not saying that you have free reign to ask for anything that your pretty little heart desires.  While legally you do, reason says you don’t.  If you ask a seller for the house, its contents, closing costs, down payment assistance, and a closing date three days after the acceptance of the contract, you better be offering a fortune.  An outrageous offer will only anger or offend the other party and make the likelihood of coming to an agreement slim to none.  What I’m suggesting is that deals can come together if you think outside the box.  Recently I had a first time homebuyer who found the perfect house a little too early.  They didn’t want to pay to break their lease as that would add to their upfront costs.  The listing agent suggested that we write an offer to purchase and ask the sellers to pay for the lease buyout.  This is the kind of out-of-the-box thinking that can bring happiness to both sides of the transaction.

So if you have special needs that you think may keep you from making the real estate move that you’d like to make, talk to your Gold Key Experts Realtor® about it.  We’re ready to go to work for you to see that all your needs and wants are addressed and to make each and every transaction a winning deal for both sides

Jessica Spears, REALTOR
Buyer's Agent and Listing Partner
The Gold Key Experts
Keller Williams Capital Partners Realty, Inc.
500 W. Wilson Bridge Rd. Ste. 260
Worthington, OH 43085
614-886-1999 cell
614-848-KEYS office
www.thegoldkeyexperts.com
jessica@thegoldkeyexperts.com

Columbus is Alive and Well

With the credit crisis looming and the media talking about how terrible the housing market is almost every day, I think it is important to let our clients know that Columbus is thriving.  Of all the cities in Ohio, Columbus is the one growing most, adding jobs and new citizens.  We have such a wonderful network of medical and service facilities in our fair city.  Just this past year, one large insurance company added several hundred positions locally.  There is always an influx of new medical personnel as well as graduate students.  The local school districts are adding new schools, with Hilliard and Olentangy coming to the forefront.  Both have either added new high schools or are at the drawing board to do so.  I drove through Reynoldsburg last night and saw how the Main Street brick sidewalks are beautifully done and brighten the town dramatically.  Powell is busy adding new businesses and restoring downtown buildings.  What a lovely place to visit and look for a gift or antiques!  Dublin has added new condos close to the heart of Dublin that appear to be selling very well.  Grandview is planning to add a new complex of condominiums and retail space.

The point I make is that our city is alive and vibrant.  There is new home construction.  Homes and condos are selling.  Parts of the city are appreciating very nicely even as I write this article. It is not all gloom and doom.  I had a client this past week  not get a home due to multiple offers.  The reality is very different from what the media is telling us.  We do not live in Las Vegas or Miami.  We live in the Midwest where the values did not increase with the wind.  Here people actually looked at what the homes were worth, not the craze of the day, and that is partly to credit for the current well-being of the real estate market in Columbus.

Happy Spring!

Charlene

FHA: It’s Back!!

After a few years of hiding, FHA financing appears here to stay and may be the only option for many prospective homeowners and homeowners looking to purchase or refinance.  With PMI companies raising their standards and lowering the LTV that they will insure, the private lending markets are requiring ninety-seven percent loan-to-value or better in order to qualify.  What does that mean to you?  No longer can you purchase a home or condo with a conventional mortgage without putting at least three percent down of your own money (three percent down for a home and five percent down for a condo).  Although FHA does require the same three percent down there are currently loop holes and legislation going through Congress to lower that amount. 

As it stands right now FHA requires a down payment be paid by the borrower, but it may be paid with money received as a gift from a family member or a charitable organization.  The charitable organization part of that last sentence is what has allowed and continues to allow home buyers to get into an FHA mortgage without putting any of their own money into the transaction.  Through “charitable organizations” such as Ameridream and Neamiah, the seller makes a three percent “charitable contribution” in the name of the buyer and pays a small processing fee (which is how the companies make money) and then the “charitable organization” contributes to the purchase of the home with the three percent down payment to the buyer.  This has been used for a number of years now and has really been the only saving grace for FHA through the years of unlimited zero down loans from the conventional mortgage market.  During the real estate boom years of the early 2000’s even this was too much of a hassle and wasn’t worth the four or five hundred dollar processing fee, let alone finding a seller that wanted to contribute that three percent.  Amazing how things have changed….

In 2008 sellers are willing to do what it takes in order to get a buyer into a home, including but certainly not limited to contributing three percent towards the buyers down payment.  On top of this three percent down payment many sellers are willing to contribute another three percent towards closing costs as well as pay the processing fee.  The builders have been using this quite a bit to continue to sell homes in this tough market to first time home buyers who have little to no money down.   As the credit markets continue to crunch, it remains to be seen how congress and private lending will react, but one thing is for sure:  FHA is one of the best options, if not the best option, for buyers with little to no down payment.

Troy Marsh, E-Pro & ABR
Lead Buyer's Specialist & Listing Partner
The Gold Key Experts
Keller Williams Capital Partners Realty
614.750.2144 - Direct

Worthington, Ohio, Real Estate

Worthington, Ohio, real estate continues to be a great market.  Homes in the Worthington area range from $75,000 to more than $900,000, with an average sale price of over $150,000. Buyers can choose from 100+ year old homes in Old Worthington, mid-priced ranches and two stories, or stately executive homes in the newer neighborhoods.

The architectural styles range from colonial in Old Worthington, to ultra-modern in the newer areas, and even some Frank Lloyd Wright-inspired homes. Some of the more popular communities are The Village of Riverlea, The Estates at Olentangy, Bristol Way, The Woods at Josephinum, and Stilson Highlands.

Are you looking for a dream home in Worthington? The Gold Key Experts can help you find that home as they have many years’ experience buying and selling in this area. Call 898-KEYS and let them show you the beautiful, historic areas of Worthington.

Schools

Worthington has an outstanding school system. In 2001 Worthington's two high schools were rated among the best in central Ohio by Columbus Monthly magazine, which evaluated 22 area suburban high schools. Worthington was the only school district to have both of its high schools ranked in the top five.

The district has grown from a log cabin community center/schoolhouse, built on the Village Green in 1803, to one preschool, 11 elementary schools, four middle schools, two high schools, and an alternative program that serves students from both high schools. Furthermore, Worthington has one of the most ethnically diverse student populations among suburban school districts in central Ohio.

Parks and Recreation

The Worthington park system includes 13 parks over nearly 200 acres. The new Worthington Community Center was built in 2002 and the Griswold Senior Center was completed in 1993. These two indoor facilities provide programs for preschoolers through senior citizens. The Parks and Recreation department provides approximately 250 recreation programs each quarter.

Attractions

While having the feel of a small town, Worthington is also close to many amenities.
The Pontifical College Josephinum, the only pontifical seminary outside Italy, is located here, as well as the Worthington Arts Council.

Worthington is only 15 minutes from downtown Columbus and Port Columbus International Airport, conveniently close to everything central Ohio has to offer. Worthington also boasts an impressive library system that was named Library of the Year in 2007!

Powell, Ohio, real estate

Powell, Ohio, real estate continues to be a great market, with homes that start in the mid $100,000 range and go as high as $1,000,000 plus, with the average home price at $379,900.

Located approximately 14 miles north of downtown Columbus between the Scioto and Olentangy river valleys, Powell, Ohio, is home to mostly upscale and luxury neighborhoods, including Wedgewood, The Retreat, Kinsale Village, and Olentangy Ridge. An upscale bedroom community, Powell, Ohio, continues to have a very active real estate market due to its picturesque subdivisions and expansive areas.

Powell prides itself in being a primarily residential community, with very little industrial or commercial presence, although it does have an historic business district featuring unique antique shops.

Are you looking for a dream home in Powell? The Gold Key Experts can help you find that home as they have many years’ experience buying and selling in this area. Call 898-KEYS and let them show you the beautiful, wide open spaces of Powell.

Schools

Powell residents are served by the Olentangy Local School District, which serves most of Southern Delaware County including Lewis Center.  Olentangy Schools has more than 11,000 students and consists of 11 elementary, three middle and two high schools. In response to a population explosion in the school district in the last few decades, Olentangy has opened many new schools and plans to open several more in the near future..

Career and technical education is provided by the Delaware Career Center. While being a rapidly growing district, quality has not been compromised; again on its 2005-2006 District Report Card Olentangy Local Schools achieved an Excellent rating and met 103.3 out of 120 performance index points. In addition, Olentangy Local School District received an "Excellent" rating by the Ohio Department of Education for the 2006-07 school year.

Parks and Surrounding Attractions

The City of Powell currently operates eight park sites, including Beechwood Park, which features a nature preserve with walking trails and educational areas; Murphy Park, located on the former site of Murphy’s Party Barn and featuring bocce ball and horse shoes; and Village Green, with an amphitheater, playground splash pad, and bike trails.

A number of recreational areas are located within commuting distance of the city, including the 8,600-acre Alum Creek State Park and the 1,050-acre Highbanks Metro Park.

The open spaces of Powell, Ohio, lend themselves to beautiful golf courses including Kinsale Golf & Fitness Club, Safari Golf Club, Scioto Reserve Golf & Athletic Club, Shamrock Golf Club, Wedgewood Golf & Country Club.

  To contact Charlene Fairman, call her at 614-425-7676 or email her at charlene@thegoldkeyexperts.com