Woodbridge Virginia Real Estate News: March 2009

Woodbrige Homes For Sale More Affordable Day By Day

Woodbridge Real Estate Buyers Can Get Lowest 30 Year Fixed Rate Home Loans At 52 Year Low Rate

You can get a home in Woodbridge with the 30 year fixed at 1956 loan rates, or lower.

CNN reported the news in a special bulletin that arrived at my email inbox Friday afternoon.

Super-low home loan rates happen when the market for money is swamped with cash, looking for a place to invest and earn a return on capital.

Swamped with cash.  The market has plenty of capital to place in safe investments.

So we economists (I have a BA in economics from a world-class university... I guess that makes me an economist) see two indicators that say the economy is stronger than the media is pundits claim.

The economy is not in a freefall.

Also, you can get an $8,000 tax credit for first-time buyers if you buy a home in 2009.

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Equal Housing Opportunity

President Lyndon Johnson lead a vigorous campaign through the halls of Congress that lead to Fair Housing legislation.  The Republican Party members in Congress backed Fair Housing, while most of the congressional Democrat Party members opposed Fair Housing.  Johnson, a Democrat, worked the phones day and night, calling congressional Democrats, calling in favors that persuaded enough Democrats to cross party lines and vote for Fair Housing, and against their party leaders. 

Prince William Real Estate Market Turned Upside Down As Number Of Homes Listed For Sale Drops Below Number Of Homes Under Contract

Woodbridge And Prince William Homes For Sale Outnumbered By Homes Under Contract In The County

At 2:50 PM today, I ran my usual monthly search of homes for sale in Woodbridge and Prince William County.  1,768 homes "Active"... 1,866 "Under Contract".

Prince William County homes for sale are now outnumbered by homes under contract.

Number of homes actively listed for sale in the county today: 1,768.

Number of homes under contract in the county today: 1,866.

I am home resting while recovering from pneumonia... could my fever be causing a hallucination?

No hallucinations fans... the numbers are speak for themselves.

Roll back to January 2007.  Over 7,000 "Active" listings of homes for sale in the county, with less than 700 homes "Under Contract" pending settlement.

In April 2008, the number of homes for sale were down below 4,500, and the number of homes under contract pending settlement number over 1,560.  I blogged the exact numbers way back when... feel free to scroll back to that post for the exact count.

Going forward from April 2008, between 1,500 and 1,880 homes went from "Active" to "Under Contract" each month.

Meanwhile, the number of "Active" listings declined below 3,400 as we sweltered under the heat of summer 2008.

So, the market has officially flipped upside-down.

Upside-down with more sold than active.

Where is the CNBC camera crew?  Call Tom Brokaw out of retirement for a special bulletin on NBC.

What about you guys and gals at the Washington Post and Washington Times who quote me in your articles in the real estate sections?

Hey Fox News!  Send Jeraldo Reviera?

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Did You Feel The Wool Pulled Over Your Eyes By Politicians Berating AIG?

If Congress And White House Will Lie About AIG Bonuses What Else Will The Do To You?

I avoid mixing politics with business.

However, Congress and the White House are telling a little white lie about the $165 Million AIG employee bonuses.  If our politicians are telling fibs about $165 Million, can we trust them to tell the truth about trillions of dollars that we don't have in the bank?

When the ocean liner Titanic was sinking into the frigid waters, carrying thousands of passengers to their ocean graves, the ship's band played on, and on, and on, until they were swallowed by the sea.

The AIG employees who received the $165 Million bonus payments were sort of similar to the band aboard the Titanic, except the AIG folks didn't drown in frigid waters.

The AIG bonus payments were RETENTION bonuses, not PERFORMANCE bonuses.

Our politicians know that the bonuses are RETENTION bonuses, not PERFORMANCE bonuses, but many of them bashed AIG because doing so got them on TV.

Performance Bonus vs. Retention Bonus
The $165 Million retention bonuses paid employees at AIG to play on, just like the band that went down with the Titanic.

AIG needed capable folks to stay on board to wind down the Financial Products (FP) department, close out the books, wind down operations to a halt, and turn the lights out on their way out the door.  The folks in the FP department would be working themselves out of a job.  Meanwhile, other investment banks were waving lucrative job offers in the faces of the employees.

So AIG, with the approval of Congress, said to the FP deaprtment employees, "If you stay, close out the books, and shut down operations, AND YOU MEET THE GOALS WE ASSIGN YOU, you shall get a RETENTION bonus to reward you for staying until the bitter end.

The AIG FP employees DID NOT get performance bonuses.  The $165 Million bonus payments did not pay performance bonuses that typically reward employees who bring NEW BUSINESS to the firm.

The $165 Million bonus money was an incentive to good people, who were losing their jobs, to stay aboard a sinking ship and batten down the hatches that might keep the rest of the ship afloat.

Congress knows that the bonus money is not ill-gotten booty for "fat-cats".

The talking heads in the media know that the money was a wise investment that Congress and AIG approved to prevent BILLIONS of dollars lost had the FP employees fled the ship weeks ago.

So why did the media and Congress waste so much air-time bashing AIG? 

First, Congress and the media love to bash business and the free market right now because SUCCESS and FREE ENTERPRISE are out of style. 

America has been a place where ANYONE can start with nothing but a dream, and build a successful company that delivers HUGE VALUE to customers, and reward the founder with financial rewards. 

We celebrated success. 

We admired successful people.  We made them role models for our kids and said to them, "Look, if a guy like Bill Gates can start from nothing and become a success, you can too".

Today, the message to our kids is, "Start with a dream, build a company, give people jobs, become a success, earn a lot of money, and your country will punish you with high taxes and call you a greedy villian."

Second, politicians want votes.  Now that SUCCESS is out of style, politicians earn votes from their constituents for sticking up for "the little guy".

Third, while the media and the politicians were dominating the news with AIG, the Federal Reserve and the Department of the Treasury made a deal that has failed every time it's been tried...

The Federal Reserve will borrow money from the Treasury to buy Treasury Bills from the Treasury.  

Imagine this: The Federal Reserve borrows ten dollars ($10) from the Treasury even though the Treasury is tapped-out, broke, in the red, and out of money.

So the Treasury is actually loaning a $10 IOU to the Fed. 

Next, the Fed takes $10 cash from bank reserves, and buys a $10 Treasury Bill from Treasury. 

The Treasury has just turned a $10 IOU into a $20 debt to the Fed... remember, Treasury owes the Fed $10 for the IOU, plus another $10 when the Treasury Bill held by the Fed matures, plus dividends.

On Wall Street, they call that a Ponzi Game.  To the politicians, it's business as usual.

Don't say I didn't warn you.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

New Homes Starts Nationwide Turn Up Ending 18 Month Slide

New Homes Starts In Prince William and Woodbridge Lead The Way

A colleague in the mortgage business sent me a note by email today.  Here is a copy/paste of what he said:

The Commerce Department reported that housing starts unexpectedly jumped 22.2% in February to a seasonally adjusted annual rate of 583,000 units.

This ended the longest streak of declines in 18 years.

Economists had anticipated a 3.4% decline to 450,000 units.

Leading the surge was an 82% increase in the building of multifamily homes - condominiums, apartments and townhouses - to 226,000 units in February from 124,000 in January. Housing starts for single-family homes rose 1.1% to 357,000 units.

Building permits for single-family homes climbed 11% in February to 373,000, compared to 336,000 in January.

So how does this story compare to Prince William County new home starts and Woodbridge new home starts?

Old news.

New homes sales in Prince William and Woodbridge dropped 2005-2008, but not very much.  In fact, new homes sales around the area were steady in 2008, and the trend has carried into 2009.

I make a point of visiting new homes sites to get a report from the on-site sales managers as I go about my travels around the area.

How are the builders maintaining strong sales in the area?

Builders have adjusted prices lower as surrounding market values declined.  New homes that sold for $600,000 in 2005 are going for $400,000 in 2009.

"Mr. Erick! Are you saying that those greedy builders had $200,000 extra profit they could cut to lower their prices???"

No.

Builders didn't cut fat profits.  The land developers that sell finished building lots to builders have cut lot prices to keep sales going.

Most folks don't know that builders DO NOT develop the land.  Developers take raw land and develop it into finished building lots with streets, curbs, sewer and water lines, electric service, then sell those lots to builders.

By the way, over 80% of new home buyers have their own Buyer Agent (Realtor) working on their behalf to help buyers get the best value when buying a new home. 

Remember, virtually all on-site sales managers are NOT Realtors, so they are not subject to rules of ethics and state regulations.

Most on-site sales managers are employees of the builder. They can say practically ANYTHING to get you to buy a home.

I've coached hundreds of families through the new home purchase process.  I can show you how to avoid the ten (10) excess profit traps builders use to squeeze every dollar out of a "deal".

Search New Homes Available Now Click Here

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That wa

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

y you'll know when your dream home hits the market.

Equal Housing Opportunity

President Lyndon Johnson lead a vigorous campaign through the halls of Congress that lead to Fair Housing legislation.  The Republican Party members in Congress backed Fair Housing, while most of the congressional Democrat Party members opposed Fair Housing.  Johnson, a Democrat, worked the phones day and night, calling congressional Democrats, calling in favors that persuaded enough Democrats to cross party lines and vote for Fair Housing, and against their party leaders. 

President Obama Announced A $75 Billion Foreclosure Prevention Plan Funded By Our Tax Dollars

Congress Appropriates Funds To Help 9 Million Home Owners Lower Mortgage Payments With Plan That Combines Loan Modification With Loan Refinance

Home owners who are in the midst of losing their homes to foreclosure are excluded from the Plan, and left to lose their homes to foreclosure.

What???

Yep.

Home owners who have been anxiously looking forward to implementation of the much-anticipated Foreclosure Prevention Plan, whose lenders have initiated foreclosure procedures, well, those folks are left out of the plan.

The folks in desperate need of some sort of foreclosure prevention plan are not elegible for the plan.

Moreover, home owners who are behind in their payments, are also excluded from the plan.  If you hope to utilize the plan, you must be making your payments on-time.

It gets worse.

Are you "under water", paying on a home loan with a balance that his higher than the current value of your home?  You're not alone.  Many home owners who got zero down home loans in 2005 have seen the current market values drop by 30% - 50%, depending on where they live.

If you are "under water", there is good news and bad news.

The good news is that this is not the first time in history when home values have dipped below some loan balances, and the market recovered every time.  It happened in the 1970's... and again in the early 1980's when home loan rates climbed and peaked at 21%... it happened again in the early 1990's.

The bad news is the Plan will not help folks who are deep down "under water" at the bottom of the pool.  Nope, no help for you.  If you are even "under water" by 10%, the Plan excludes you. 

You can be "under water" by no more than 5%.  For example, if your home appraises now for $400,000, you cannot owe more than $420,000 on your home loan(s).  If your home is valued today at $200,000, your loan balance cannot exceed $210,000.

If you bought your home in 2004 for $650,000, your down payment was 20%, $130,000, your loan balance began at $520,000.  Homes that sold for $650,000 in numerous Woodbridge communities are selling for $450,000 - $470,000.  Your loan may be paid down to $515,000 today, but if homes like yours in your subdivision are selling for $470,000, your "loan-to-value" (LTV) is roughly 109%, and you cannot utilize the plan.

But wait... there's more restrictions.

Your loan must be owned by Fannie Mae or Freddie Mac to qualify for the plan.

If your loan is among the vast millions of loans in bank portfolios, with lenders such as Wells Fargo, or Chevy Chase, or any other bank, forget about using the Plan.

Oh, and there are even MORE restrictions.

But let's cut to the chase with a wonderful "calculator" on the Washington Post website where you can find out if you qualify for the Plan. 

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Equal Housing Opportunity

President Lyndon Johnson lead a vigorous campaign through the halls of Congress that lead to Fair Housing legislation.  The Republican Party members in Congress backed Fair Housing, while most of the congressional Democrat Party members opposed Fair Housing.  Johnson, a Democrat, worked the phones day and night, calling congressional Democrats, calling in favors that persuaded enough Democrats to cross party lines and vote for Fair Housing, and against their party leaders. 

Business Week Magazine Report Shows Woodbridge Home Sales Booming

Woodbridge Real Estate Among The Fastest Growing In the USA

I got a phone call last week from Business Week magazine reporter and columnist, Prashant Gopal.

Mr. Gopal was researching the real estate markets that are knee-deep in recovery mode, with stable prices, and fast-paced sales.

Woodbridge and Prince William County are among the markets he researched that have turned the corner from stagnant to prospering.

I gave Mr. Gopal the numbers.  The numbers speak for themselves.  I hoped he would report the numbers.  However, you will see that he quoted me giving a subjective observation instead of hard facts.

Oh well, at least he confirmed in his article that our real estate market is strong and stable.

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Equal Housing Opportunity

President Lyndon Johnson lead a vigorous campaign through the halls of Congress that lead to Fair Housing legislation.  The Republican Party members in Congress backed Fair Housing, while most of the congressional Democrat Party members opposed Fair Housing.  Johnson, a Democrat, worked the phones day and night, calling congressional Democrats, calling in favors that persuaded enough Democrats to cross party lines and vote for Fair Housing, and against their party leaders. 

The Current Financial/Housing Markets Mess Caused By Bush...Right?  WRONG!!

Congress Warned About Potential Financial Mess From Goofy Loans Beginning In 2001

Washington politics is famous for finger-pointing and blame-throwing when bad things happen.

Video Shows That Starting In 2002, Bush, Greenspan, Republicans Begged For Regulations That Would Have Prevented This Mess

Congressional Finance Committee Chairman, Barney Frank, Fought Against Action That Could Have Saved Us From Financial Mess

See The Video The ACLU Didn't Want You To See On You Tube

Click Here Now.

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Equal Housing Opportunity

President Lyndon Johnson lead a vigorous campaign through the halls of Congress that lead to Fair Housing legislation.  The Republican Party members in Congress backed Fair Housing, while most of the congressional Democrat Party members opposed Fair Housing.  Johnson, a Democrat, worked the phones day and night, calling congressional Democrats, calling in favors that persuaded enough Democrats to cross party lines and vote for Fair Housing, and against their party leaders. 

The Current Financial/Housing Markets Mess Caused By Bush...Right?  WRONG!!

Video Shows That Starting In 2002, Bush, Greenspan, Republicans Begged For Regulations That Would Have Prevented This Mess

Congressional Finance Committee Chairman, Barney Frank, Fought Against Action That Could Have Saved Us From Financial Mess

See The Video The ACLU Didn't Want You To See On You Tube

Click Here Now.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity

Woodbridge Real Estate Expert, Erick Blackwelder, Interviewed About Huge Rebound In Woodbridge Home Sales

Business Week Magazine To Feature Hottest Real Estate Markets, With Woodbridge Homes Selling Fast

Business Week Magazine Real Estate Columnist, Prashant Gopal, called me today for accurate, industry insider information about the real estate sales explosion that began in April, 2008.

Mr. Gopal is writing a column for an upcoming issue of Business Week about cities across the fruited plains that are experiencing real estate sales booms that defy the gloomy reports from the talking heads on cable news.

He was stunned to find out that 1,794 homes went under contract in February, 2009; that monthly sales exceeded 1,500 homes every month since April, 2008.

Guess what?

Mr. Gopal isn't the only person who is astounded by the news that real estate sales are booming in Prince William County... that multiple bidders on one home is a common scenario right now... that homes in move-in condition are frequently selling for more than the list price.

Yep, he's not the only one.

Folks know me as "The Local Real Estate Guy".  Total strangers often walk up to me in a store to ask, "Erick, how's the market?".  When I give them a quick synopsis of the facts about the rebounding market, jaws drop... eyes pop wide open... folks say, "Wow", or "You're kidding, right?", or "Are you serious?".

Did this post tickle your curiosity?  CLICK HERE to send your question.  Answers shall be sent by email ONLY, unless you specifically ask for phone call.

You can get computerized, automatic, customized FREE ALERTS by email when new listings of homes that fit your wish-list are posted on the Realtor's MLS.  You'll find out about the newest listings before most Realtors know about them.

That way you'll know when your dream home hits the market.

Opportunities Are Everywhere...We Can Help You Find Your Dream Home.

Erick Blackwelder or Peggy James of Erick and Company - Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-590-2252  list your property for sale or to  purchase a property in Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Cannon Bluff, Meadowbrook Woods, Blooms Crossing, Manassas Park, Beaver Creek, Hunter's Ridge, Brittany,  Manassas, Montclair, Dumfries, Occoquan, Dale City, Nokesville, or anywhere in Prince William County.

Equal Housing Opportunity