Love Baltimore

The Sniff Test

2007-06-25T05:13:00.000-07:00

I've rarely met a homeowner who thought the house they were selling smelled. Unfortunately, many do. Perhaps we don't smell our own stink. Those of us with cats often lose our ability to smell the litter box odor. The Washington Post discusses the impact of smell on the ability to sell a home. Frankly, I have mixed feelings on this one. If a house is carpetted, there are few smells that will linger after new carpet is installed and a coat of paint put on the walls. This makes the problem relatively minor for a buyer to remedy. Of course, some times whatever is smelling has soaked into the subfloor. When that happens, this can be a major issue. That said, the Agents who allowed the house to go on the market without the seller having an understanding of the smell have demonstrated their incompetence. One reason to use a Real Estate Agent is objective feedback about the condition of the home. This includes the smell. Perhaps these homes should have been painted and carpetted before prospective buyers stepped foot inside. Certainly, doing so puts a specific cost on the problem... as opposed to allowing potential buyers to "fantacisize" about the the cost...

-jbn

Baltimore County BRAC Plan

2007-06-25T05:06:00.000-07:00

Baltimore County has released its BRAC Plan. The Baltimore Sun provides some details on the report, or you can actually see the whole thing on the County's web site. This may prove invaluable for investors in years to come, as part of a roadmap to the County's development plans.

Helping your house, Helping yourself

2007-06-06T03:17:00.000-07:00

Right now, with the real estate industry in a buyer's market, sellers need to remember - sometimes you have to spend money to make money. Take this house in the Fair Lakes area of Fairfax County, Virginia. The Washington Post is recommending trimming a tree in order to make the house more appealing. It's not uncommon for me to see Baltimore listings where you literally, "can't see the house for the trees." While trees are a wonderful thing, I can never help but wonder if the house wouldn't sell better if the picture online at least showed the house!

When selling, it really is important to find someone to look at your house objectively, and help you understand how potential buyers may see it... or not see it. If they can't see your house, odds are good, they won't bother to tour it.

The problem of vacant property

2007-06-06T03:00:00.000-07:00

The Baltimore Sun wrote yesterday about Goodwill Industry's problems leasing space in Southwest Baltimore. Essentially, they are running into many, many landlords with space - unwilling to lease it at current market rates, because "they think the market is going to pop". (My words). While I don't think The Sun outright calls it "speculation," that's what it is. This problem exists throughout Baltimore. We have property owners speculating on the future and leaving potentially productive property vacant.

I believe the problem is Maryland's very flawed tax appraisal and assessment process. Odds are that the vast majority of the affected properties have been appraised by SDAT well below their market value. As such, with taxes low or non-existent, the owners have little incentive to do anything different - they owe nothing and pay few taxes. If the State could improve their appraisal practices with these properties, I believe they would not only generate significant revenue, but also find that many of the vacants would be put into the housing and commercial property inventory.

Look up any block with lots of vacants in SDAT's database. I believe you'll see significant numbers of properties clearly under-appraised. Honestly - I don't understand how they miss this boat.

-jbn

Creating House Lust

2007-06-02T05:13:00.000-07:00

In a story about model homes in an Annapolis development, The Washington Post discusses steps decorators perform in an attempt to "create house lust." Anyone considering putting their home on the market this summer should read the story, and think about how it applies to the resale market.

While I'm not a huge advocate of extensive staging, certainly it is worth looking at a home from the position of a buyer. Frequently, a new coat of paint, and a little bit of nice furniture can help. In my case, when I bought my current house (and my previous house, for that matter), I think other buyers may have been scared off by how MUCH furnitute was in the house. In each case, I sat at closing worrying about, "is the house big enough?" In each case, seeing it with no furniture, or with my own more simple decorations, found me saying, "This house is almost too big!"

If you are considering listing your house for sale, and would like to talk about options, please don't hesitate to give me a call at 410-999-6095. I'll be happy to come by, discuss what you may want to do to make the house more attractive to buyers, and to do a free, no obligation, competitive market analysis.

Columbia Convenience for Baltimore Commuters

2007-06-02T05:04:00.000-07:00

In a Baltimore-focused blog, why would I write about Columbia? Simple. For anyone commuting to DC down Baltimore-Washington Parkway or I-95, Columbia is well located as a shopping stop on the way home from work. Now, a new shopping center, quite close to I-95, is about to make that even easier.

About a week ago, I noticed the new shopping center, with Best Buy opening and a Lowe's coming soon. What I didn't know is that the shopping center is expecting Trader Joe's, Loehman's, and Costco. As well, Houlihan's, Mimi's Cafe, and On the Border Mexican Grill will adorne it, according to The Baltimore Sun. The shopping center is located at the intersection of Route 175 and Route 108... just west of I-95. If you exit from I-95 and go West, it's the first intersection, less than 1 mile down the road. I suspect you'll be able to get off the highway and back on in about 5 minutes.

As a tangent, Anyone that's seen my pantry knows I'm a big fan of Trader Joe's. If you haven't ever been in one, I recommend checking out the one nearest you. I happen to frequent the one at I-695 and Reisterstown Road. Now I'll have another one to stop at, when I'm headed to or from DC.

-jbn

The Gwynns Falls Trail

2007-05-21T03:42:00.000-07:00

The Washington Post wrote this weekend about the Gwynns Falls Trail, calling it A Trail Full of Charm in Baltimore. The trail has its own website, which you can visit to learn more. It runs from Northwest Baltimore to the Inner Harbor through some lovely areas. It'll also, if you keep an eye out, introduce you to some great neighborhoods along the way!

East Baltimore Redevelopment Advances

2007-05-17T03:41:00.000-07:00

The Baltimore Sun reports that a group of developers has snapped up the old brewery on Gay St. Anyone driving Gay street has certainly wondered about the beautiful old building. With any luck, the neighborhood around it will benefit from the work.

B of A offers No Fee Mortgage

2007-05-11T03:22:00.000-07:00

For those buying property and looking to reduce down payment and closing costs, Bank of America is offering a "No Fee" mortgage. They assert that with the exception of the taxes, "prepaids", and insurance, there are no fees - and the interest rate is competitive. Is it for real? Who knows. I'd love to see others follow suit, though! In my mind, it is a real indication of changes in the mortgage market. It indicates that despite the perceived housing slowdown, banks are still competing in siginificant ways to try to drive loans.

Tracking the Price

2007-05-11T03:12:00.000-07:00

Every month, we eagerly await the publication of the previous month's home sale prices. In April, the region's prices rose slightly, while Baltimore's fell a tiny bit. $3,000, on average, to be exact. The argument is, this is significant because it's the first drop in "more than four years." I'm not sure how significant it really is. People have been talking gloom and doom for months - and prices have continued to rise. While inventories rose, prices were still climbing. It was somewhat inevitable that at some point, the scuttle would catch up with reality ... especially in Baltimore City. In the end, Supply and Demand will do its thing. This does not even discuss the impact of fewer subprime loans, something I suspect will have a greater impact on Baltimore than most places.

Should sellers rethink selling a home now? Perhaps, but probably not. Many factors go into deciding whether to sell a house. If total sale price is the only measure, then perhaps waiting might be a good thing. Then again, these sales are really January and February offers ... so they may not actually reflect the market -today-. Even more, that last $3,000 should not deter most sellers. We move for lots of reasons, and we have to keep the $3,000 in perspective. Often it's in the scope of $20 or $30,000. It's a lot of money, but if it means a longer commute, higher electric bills, or other economic impact, it may come out in the wash. If the property is an investment property, the money should be considered with the tax impact rolled in.

Elections Drive Real Estate Market

2007-05-09T04:09:00.000-07:00

This morning's Turkish Daily News reports that in Istanbul, the upcoming presidential elections are driving the real estate market. Given the ongoing lengthening of the US campaign cycle, I can only imagine how this trend would impact the US market, were it to exist here!

Shared Driveways

2007-05-09T04:02:00.000-07:00

Last weekend, the Washington Post ran a story about the hassles of sharing a driveway. I've spent a bit of time since then thinking about it. We share a driveway with our next-door neighbor. It's never really been a problem. When it comes time to replace it, I guess it would be easier if it were 100% mine and I didn't need to cooperate... but since when did sharing become a big deal?

Maybe living in Baltimore gives me a different perspective. Here, we feel lucky to have a driveway and off-street parking. We really don't have room to have our own driveway - it would just eliminate what little yard we have. Do we have hassles with the neighbor? Nope. We try to be considerate; she is incredibly considerate. Occasionally her contractors park behind my car & I have to ask them to move. They always do so without so much as a grumble. It's just never been a problem.

Finally, we should remember that driveways are impervious surfaces... water runs off of them and into the sewers, contributing to run-off problems ultimately impacting the Chesapeake Bay. Anything we can do to reduce these areas, providing more land where water can soak in, is a "good thing".

Disposable Homes

2007-05-07T08:56:00.000-07:00

When moving into an older house, the question of what to keep and what to replace is constant. Many items, like hardwood floors, we work to preserve. Others, such as old roofs, we tear off and replace. The Washington Post wrote this weekend about the lifespan of "house parts". I don't agree with all of their lifespans - boilers can easily last 30-50 years - but I think it's a helpful starting place. It's a good reminder that many items can be salvaged and refurbished, rather than replaced. Finally, if we're going to get rid of things before their life is up, we should consider donating to groups such as Baltimore's Loading Dock.

Brooklyn Park Arts District

2007-05-07T05:00:00.000-07:00

Baltimore's Brooklyn neighborhood has long been one of my favorites. Sitting at the southern edge of the city, south of Federal Hill - across the river and across I-95, it's incredibly accessible and a great little neighborhood. Like many areas, it has its good parts and its bad parts. It has a nice little commercial district, that should have good potential in days to come. It has several blocks of very nice homes adjascent to the Anne Arundel County line. Slip into Anne Arundel County and you're in the Brooklyn Park neighborhood. Apparently, an arts district may be in the works in Brooklyn Park. This would be great for the area and will likely further propel Brooklyn into Baltimore's list of stable neighborhoods.

BRAC in Baltimore

2007-05-05T13:31:00.000-07:00

From the day I heard about BRAC's potential impact on the Baltimore region, I began thinking about how much impact it might have on Baltimore City specifically. While folks in Anne Arundel and Harford County started talking right away about whether they had the infrastructure, I figured Baltimore City could have a significant growth opportunity. It appears that the Lt. Governor's BRAC commission agrees. I look forward to working with folks relocating because of BRAC; I think Baltimore City has a lot to offer, not the least of which is affordable housing.