I started this blog as an experiment to see if I really could come up with some words of wisdom and commentary often enough to keep it interesting.  I've had lots of encouragement and so I've decided to continue my efforts in a bigger and better way.  I'll soon be moving to a new service, one that provides lots of good stuff to my readers.  I expect to soon have one of the best real estate blogs in the marketplace, offering exceptional internet content from myself and other industry experts.   I hope to be blogging in my new home soon.  I'll keep you posted!

I know I sound like a broken record but condition and pricing matter now more than ever!  I recently listed 2 homes in Gales Ferry and both sold at or above listed price in less than 2 weeks.  15 Pheasant Run Drive and 5 Robin Hood Drive sold because they were priced right and were in outstanding condition.  Prior to listing, I always suggest that my clients read "Dress Your House For Success" by Sarah Parsons Zackheim.  In fact, each year, I buy about 50 copies to share.  Some of the suggestions in the book are kind of hokey but most are sound marketing ideas.  It all gets down to clean, de-clutter, and neutralize....and then price it right.  There is no reason a home should languish on the market for months.

There isn't a better tool around the house than duct tape, right?  After all, it has been around since 1942 when it was first created to keep moisture out of ammunition cases in World War II.  Since those days, duct tape has been used to fix just about everything. In fact, duct tape has developed somewhat of a cult following.  You can find duct tape in at least a dozen colors and you can  buy such things as wallets and belts made out of the stuff.

There is a fun series of Duct Tape books by Tim Myberg and Jim Berg.  (Jim has also written a book about WD-40 but that's a blog for another day.)  Tim and Jim have one rule of life: "It if ain't stuck and it's supposed to be, duct tape it.'

So imagine my surprise to read in a recent Inman News article that duct tape really isn't all that good for some home improvement projects.  But don't despair, there are lots of other tapes to get the job done.  And I still recommend a roll of duct tape on every workbench, even if it is just for old time's sake.

You can find the Inman News Article here:  Download Inman-DuctTape.pdf

In Eastern Connecticut there are currently more than 75 homes listed over 1 million dollars. Unfortunately for those homesellers, only 6 homes have closed over the million dollar mark so far this year. At that rate (known as the absorption rate), it will take over 3 years to sell the existing inventory.

So, if you have a cool million to spend on a home, there are lots of choices and plenty of time to put together a good offer. I don't expect many 'bidding wars' in this price range anytime soon.

Sales and listings as reported by the members of the Eastern Connecticut Realtors Information Service, Inc. do not represent all area sales or listings.  Information deemed reliable but not guaranteed.

The Saint Joseph statue is planted and your home is on the market. How do you know if you've listed your home at the right price?  There are clear signals that can be helpful in determining how much a home is worth and how long it will take to sell.  Market signals should be monitored to keep abreast of a changing housing market.

Once a home is listed, feedback from showings is the best market signal to monitor.  If the feedback is consistent - "house needs too much work", "don't like the location", "property is too flat (hilly, narrow,etc.)" - that reads, "House is too high in comparison to other homes that I have seen for the same price."   Either the objection can be remedied (repair, clean, paint) or the price should  be adjusted to reposition it in the marketplace.

"Supply and Demand" of housing inventory is a key market signal.  If there are more houses coming on the market and the pending sales are not keeping up, then prices will begin to drop. It is critical to watch for this signal.  "Chasing a market down" is the worst selling strategy possible!

In our changing market conditions, good condition isn't good enough.  Homes in "mint" condition, in more desirable locations and priced competitively in comparison with other homes on the market, will sell first.  Not even St. Joseph can help sell a home priced too high for current market conditions.

Are you worried about a housing bubble?  If you are a real estate agent, a homeowner, or a future buyer or seller, I'm sure thoughts of a housing bubble have crossed your mind at least a few times recently.  After all, you really can't miss hearing or reading about it.  There is no question that real estate has cooled from the hot spring of 2005.  And yes, some parts of the country are really experiencing some downright cold markets.

In Eastern Connecticut, I'd like to think instead of bubble trouble, we are experiencing a "correction" to the market.  With more inventory for buyers to choose from, sellers have had to adjust their thinking and their selling prices.

Some writers, in print and in the blogosphere, seem to take great delight in predicting doom and gloom about the housing market.  I suppose if they write about it long enough, they hope it will become a self fulfilling prophesy as they create concern for their readers.  I must admit I've surfed the net for bubble trouble stories but I was surprised to found a whole culture of bubbleheads. (And I don't mean submariners.)

To see what I mean, visit the Housing Bubble Resource Center and read about the "Housing Crash of 2006" and "10 Reasons the Market is Going to Crash."  Although some of the links are serious real estate discussions, others are just plain funny.  I rather prefer the funny ones but then I've always been an optimist.

A home seller of mine in Gales Ferry recently had a hiccup in his home sale because of an insurance claim he filed a few years ago.  As a result of a minor leak previously reported, the buyer of this home had some explaining to do to secure an insurance policy for the closing.  It was all because of the Clue database that keeps track of damage and claims reports.  For an excellent article about the subject and how you can get your own Clue Report visit this excellent article at MSN Money 

We've all heard 'have I got a deal for YOU!  If your mortgage interest rate is more than 1.25%, write down this number and call….'

Before you make that call….you need to know more.  Unless you have a solid plan for your monthly savings, that crazy low interest rate is going to just buy you time (and maybe a boat) until the bank comes looking for the real interest payment, if you don't plan ahead.

'Interest Only' loans are the latest rage in mortgages, particularly with interest rates on the rise.  Those who make money with this loan do not go out and buy a boat with their monthly savings.  They invest in something that makes them more money than what they are spending to borrow it.  When they have to start paying the fully amortized payment at the higher rate, they are prepared and have earned some money on the other investment.  Depending on the structure of the loan, you can see significant monthly savings….for a short time.  There are hundreds of interest only options available, but don't budget based on that lower payment.  'Interest Only' is a payment OPTION.  Be very careful when you explore these OPTIONS.  There are both fixed rate and variable rate loans that have interest only payment options.  If you opt for the fixed rate, you have the security of knowing that when you have to pay the fully amortized payment (the full principal and interest payment), at least your rate is fixed.  Variable rate loans are based on several indices and it's important to know their volatility when choosing your loan, because that (and the 'margin') will determine how the rate changes.

From the old school of 'if it sounds too good to be true...', remember that lenders pay more than 1.25% for the money, so they will surely get more than that from you, one way or another.  Before you sign on the bottom line, read (and understand) the disclosures carefully, consult a trusted financial advisor and make sure you have a plan for the worst case scenario of your interest only loan.  Then, whatever you do, please wait to buy that boat.

1995 was a groundbreaking year for me in my real estate career.  That summer, I took an Amtrak train from Mystic to Stamford to meet with a small group of folks I had met online through the RE/MAX Compuserve Forum.  We all had real estate in common and a passion for Technology.  It was my first look at a laptop computer in action and software such as Microsoft Publisher.  There were only 9 of us at that first meeting but it was so exciting that we decided to ask a few others to join us and meet again.  20 years later we are still meeting twice a year and exploring new ideas and experiencing new "firsts".  The picture shown here is my first look at a Segway as demonstrated by one of our members, Sid Minor.

The group now called the CyberProfessionals, has earned a bit of a reputation in the industry and has been seen on the RE/MAX Satellite Network and visited by technology guru's Michael Russer and Allen Hainge.  We also have several Howard Brinton Stars as members.  Many of the group have served as beta testers for new real estate products.

The Cyberprofessionals meet each November prior to the National Association of Realtors® Trade Show where we can see, touch and demo the new technology tools of our industry.  How does any of this help my clients?  Through the collective knowledge of my cyber friends, I've developed many of the technology systems that help our team serve our clients better with advanced marketing techniques, improved communication, and smooth transaction management.  I look forward to our next meeting in Annapolis, MD. this May to see what new goodies I'll discover.

Starting in 2004, municipalities in Connecticut are required by state law to conduct a revaluation every 5 years. At least one revaluation in each 10 years must be based on a physical inspection, the other can be what is known as a statistical revaluation. Revaluation is simply the process of estimating the Fair Market Value of your property for tax purposes.

Like many communities in Eastern Connecticut, Ledyard has recently undergone a statistical revaluation. The effects of the revaluation won't be felt until the mil rate is set at the end of June of this year. The Ledyard Town Council, of which I am a member, will be conducting a public hearing in April and holding a town meeting in May for the purpose of establishing a budget. Voters get to decide on the budget on May 16^th. I like to refer to this time of year as May Madness. The mil rate must then be set by the 1^st of July.

Being a real estate agent, I couldn't help but take a quick peak of what different neighborhoods could expect as far as tax increases. My quick peak has turned into a hard look and I don't like what I'm seeing. I started in the Highlands area of Ledyard, one of the most moderately priced areas of town. I randomly selected 4 ranch homes and compared current taxes with new taxes using a projected mil rate of 25. Using that method, most homeowners in the Highlands could expect a tax increase of a whopping 15-20%, or between $400 and $500 added to their annual tax bill. In contrast, using the same method, homeowners in one of the most expensive areas of town, Sablewoods, can expect on average an increase of less than 3%. My 4 random properties in Sablewoods showed potential tax increases between $91 - $256.

I've studied a few areas of town and one thing does seem consistent. It appears that the lower priced areas would shoulder the burden of any upcoming tax increases using this statistical method of revaluation. I know the argument is that the value of lower priced homes have increased at a higher percentage statistically. True, perhaps. But something isn't right about 20% tax increases.

I usually look forward to May. Not this year.

Attorney Jonathan Peck is today's guest blogger. His firm of Peck & Tuneski, P.C., has handled over ten thousand closings in the state of Connecticut.  His team of real estate legal assistants has over forty years of experience helping home buyers, home sellers, homeowners and commerical clients with their real estate needs.

I've asked Attorney Peck about the Fallacy of the End of the Month Closing and he's shared his views here Download blog_peck.pdf . 

You may have heard about the custom.  Home sellers bury a St. Joseph statue in the yard and the home sells.  Once the home is sold, the sellers unearth the statue and give it a prominent place in their new home.  Over the past couple of years, the market was so hot that invoking St. Joseph was hardly necessary.  Last year, as the market slowed, St. Joseph suddenly made a comeback.  I currently have 2 sellers who have buried the little plastic statues in their front yards following the directions that I supplied.  You can even find little St. Joseph home selling kits online for $9.95.

As a catholic, I can understand the connection between St. Joseph and praying for a home sale.  St. Joseph is the patron saint of homes.  I can't figure out why he needs to be buried upside down but I suspect he does have a sense of humor.  I don't consider it blasphemous or superstitious; I actually do believe it works.  2 million or so St. Joseph statues sell each year and I gather many of them end up buried. 

In the 2003 book by Stephen Binz, Saint Joesph, My Real Estate Agent, there are lots of examples of seemingly miraculous home sales.  One story in the book, which has made the rounds on the Internet, is about a rather impatient seller who buried a St.Joseph statue. "He planted it in the backyard, waited a couple of weeks, but nothing happened.  He planted it in the front yard, waited another couple of weeks, and still nothing happened.  He planted it in front of the yard sign, waited, and still nothing happened.  He then planted it in the side yard, waited and still nothing happened.  This went on for over three months.  His yard was full of holes from planting and replanting St. Joseph.  After three months the seller was frustrated and threw St. Joseph in the trash.  A few days later the frustrated seller opened the newspaper and saw the headline "LOCAL DUMP HAS BEEN SOLD"."

Like I said, St. Joseph has a sense of humor.

Since 1997 Jay Shafer, owner of the Tumbleweed Tiny House Company, has been living in a home that measures less than 100 square feet. To put that in perspective, my listing at 22 Hyde Park Drive in Gales Ferry has a closet of over 500 square feet. Jay has a website named after the first of his tiny houses, Tumbleweed, where he sells these little gems.

Jay offers about 20 different floor plans. The 8x12 Emerson model sells for $38,900. (That's almost $400 a square foot.) If you decide to order one, it will take about 10-16 weeks for you to receive your house. Delivery is $3.00 per mile from Jay's home in Sebastopol, CA.

I visited the website but it raised a whole lot of questions…like what would the local building officials think about these tiny little estates? And where would you put the litter box?

The Connecticut Legislature's Environment Committee held a public hearing on March 13th in Norwich City Hall to consider H.B. No. 5744 An Act Concerning A Pilot Revenue Program For Community Preservation And Investment in the Connecticut River, Niantic River and Eight Mile River Watershed Regions.  Although this bill sounds innocent enough and certainly for a good cause, in fact, the bill proposes to impose a buyer's tax of one-half of one per cent of the sale price of a home in excess of $100,000.

What are they thinking?  Of the programs the tax would fund, including open space purchase and brownfield remediation, the last one listed is affordable housing.  Now let's get this straight - Legislators are proposing a tax to encourage affordable housing by a taxing the home buyer.  Only in Connecticut....

A few people mentioned to me this week that they missed my blog since I hadn't updated in awhile.  When I signed on today to get ready for some weekend blogging, I was dismayed to see that neither of my blog attempts for this week appeared.  While it was most likely operator error (yes, I'm the operator so I take the blame), I was still happy to find out people are actually reading it.  I read this week that there are over 30 million bloggers so I have a lot of competition.  Watch for more blogging this weekend.... I'll try to get it right this time. 

While flying home from the RE/MAX Convention in Las Vegas on Friday, I sat next to a couple who had just bought a home in Nashville. They told me they did most of their home searching on the internet. It wasn't surprising to hear since statistics show that 3 out of 4 buyers now visit the internet to research homes before ever meeting an agent. That is up from just 2% of buyers in 1995. It is no wonder then that real estate agents, including myself are spending more time and money investing in online advertising. According to the 2005 National Association of Realtors® Profile of Home Buyers and Sellers, the typical buyer walked through only nine properties before choosing a home. 

As a result of this trend, I am particularly careful to be sure my homes look good in pictures. In fact, I would have to say that I am downright fussy.  While I like virtual tours, I think that most homes are not particularly suited for 360-degree panoramas.  I've seen too many that have that fish eye look.  And a virtual tour of a 9x10 bedroom can look pretty silly.  As a result, I find myself more and more using an individual personal web site for my homes for sale.  For an example of what I mean visit my listings at 4 Monticello Court or 22 Hyde Park. 

According to the National Association of Realtors® senior forecast economist Lawrence Yun, there are roughly 30 percent more homes for sale on the market now than this time last year.  Yun predicts the higher volumn of inventory to continue through the year and market conditions to move away from the frenzied pace of 2005 into a more healthy level of activity.  This means that home buyers will have more choices in 2006.

My friend Allyson Hoffman with RE/MAX North in Northbrook Illinois, was recently quoted by Inman News as saying she is 'definitely seeing a trend in growing inventory, longer marketing times and more price reductions'.   

I can only say 'Ditto That' for Eastern Connecticut.

I am writing this from Las Vegas where I am attending the RE/MAX International Convention.  It's a great place to network, connect with old friends and get new ideas for my real estate business.  The mother of all real estate conventions is the National Association of Realtors® Convention held each year in November.  I especially look forward to their 'Trade Show' with over 500 exhibitors.  It is where I find the latest new offerings in technology, marketing, and equipment.  I always come home with new toys from the show!

This November the convention is being held in New Orleans, despite concerns of whether the city will be ready. Anyone who hasn't been in hibernation for the past year, knows that the city's hotel rooms were damaged by Hurricane Katina.  And who can forget the scene of Geraldo's live reports outside the convention center describing numerous dead bodies inside.  (Reports which later turned out to be mostly false and wildly exaggerated.)

It is my understanding that the National Association of Realtors® Convention will be one of the first big conventions in the city since Katrina.  The official press release states that the event will bring 'as much at $34 million in convention revenues' and that it demonstrates 'Realtors® commitment to rebuilding the city.'  Prior to Katrina, it was expected that approximately 25,000 would attend the event. As far as the decision to return to New Orleans despite the situation ....On the one hand, I want to commend them for the gesture, on the other I want to say "What are they thinking?"  Time will tell.

A recent article on CNN Money, citing a forecast by Fiserv Lending Solutions, is predicting stagnation in housing prices for most of the United States in 2006.  In many major markets, including recent hot spot Las Vegas, the study predicts a drop of over 8% in home prices.  For the Norwich/New London area, the prediction is for only an increase of .4% in 2006. Considering the wildly increasing prices of the past few years, this is not unexpected as the area market was getting almost too hot not to cool down.

Find the story here.

According to the U.S. Humane Society, 39 percent of households own at least one dog and 34 percent own at least one cat. I'm in the 34 percent of households that own a cat (or does the cat own me?). I'd be curious as what the statistic is on offices with pets. My office has 2 cats. We adopted Molly and Lily from the Westerly Animal Shelter this summer. I went there to adopt Lily and couldn't resist bringing home Molly, her crate mate. Molly and Lily have taken on somewhat of a celebrity status and clients will often look for them when they come to visit. It's not unusual to find one of the girls on a client's lap or snuggled up in their coat. (Yes, we always ask to be sure a visitor isn't allergic or whether cats are not their favorite creatures).

Having multiple owners really is having it all in a cat's life. Multiple owners means more attention, more toys, more playtime and more treats. In my office, being an office kitty, also means more windows to look out! As for me, it sure is nice being greeted by two furry faces when I walk into the office each morning. The Bailey Ageny in Groton has a big fat office cat named Mr. Bailey so I know I'm not alone with the cat in the office idea. And I know there is at least one bookstore in the area with an office cat.

Ok..so what does any of this have to do with real estate? Well, except that we have cats in our real estate office, absolutely nothing. That's the nice thing of having your own blog. :-)

You've probably heard about a seller baking cookies to make a home smell good prior to a showing.  Think that's a silly idea?   Well, not really.  Smells can help sell a home and bad smells can certainly be a detriment.  Pet odors, cooking smells or the smell of smoke has turned off many a buyer from buying an otherwise nice home.  Buyers usually aren't fooled by a cover up and can be sensitive to strong sprays or candles burning.  It's always better to try to remove the odor rather than hiding it. Once you remove any more permanent smells, some potpourri bowls or plugged scented oil warmers are a nice touch.  Just don't over do.  I personally really love the cookie idea.  Besides the nice smell,  cookies can also be a nice treat for the prospective home buyers.  I once had 3 very similar homes on the market at the same time.  The 2 cookie bakers had quick sells, the other stayed on the market awhile.  A coincidence?   Maybe. But I'm convinced it does work.

One more thing...your real estate agent needs to be honest with you.  It's not easy to tell someone their home smells but hopefully when you choose a real estate agent to market your home, he or she will agree that a nice smelling home will be easier to sell. 

Each year Gallup conducts a poll asking Americans to rate the honest and ethical standards of members of certain professions on a scale which ranges from "very high" to "very low".  The November 17-20th poll ranked Nurses far ahead of the pack with a "very high" rating of 82%.  Telemarketers brought up the botttom with a 7% "very high" rating and a 60% "very low" rating. Car salesmen were not much better perceived in this poll while real estates agents rank in the middle of the pack.  I would certainly like to see the catagory of real estate agents move up the ladder since we are involved in what is often the largest investment of our clients.

In 2006, The National Association of REALTOR® is launching a Public Awareness Campaign that will be promoting the REALTOR® Code of Ethics.  The new spot, "Someone You Can Trust" highlights the honesty and integrity that REALTOR® bring to each and every transaction, and also specifically mentions the quadrennial ethics training requirement. I personally think a Public Relations Campaign is not the answer to a better perception from the home buying public. Rather than trying to buy good publicity, I'd rather see the money spent on REALTOR® training and acountability. A quadrennial ethics training requirement is not enough. It's time that REALTOR® walk the walk they talk.  

  Poll Results:

1. Nurses
2. Druggists/Pharmacists
3. Medical Doctors
4. High School Teachers
5. Policemen
6. Clergy
7. Funeral Directors
8. Bankers
9. Accountants
10. Journalists
11. Real Estate Angents
12. Building Contractors
13. Lawyers
14. Labor Union Leaders
15. Senators
16. Business Executives
17. Stockbrokers
18. Congressmen
19. Advertising Practioners
20. Car Salesmen
21. Telemarketers

My listing at 22 Hyde Park Road in Gales Ferry is an impressive 3700 square foot colonial with an absolutely lovely 4 season sun room.  This wonderful home offers lots of special features but the 27x22 master bedroom closet gives a whole new meaning to the feature "walk-in closet".   Complete with granite countertops, fabulous built-ins, and spot lighting, this closet is memorable.  I know I won't ever forget it!   For a complete tour of this special home and even a sneak peak at that closet to die for visit 22 Hyde Park.

The last 10 years have brought revolutionary changes to the real estate industry especially as it relates to technology.  I'll never forget the first website I built in 1995, the same year as Microsoft launched Internet Explorer 1.0 and Windows 95.  Of course, there were very few people looking online for information about real estate.  My site was more of a resource - a link I could email potential customers with information about the area.  As far as finding my website, search engines were still in their infancy and Google wasn't officially born until 1998.

It is hard to believe that only 10 years later, 77% of homebuyers use the internet as an information source. (Data provided by the National Association of Realtors.)  Even more amazing is that consumer access to listings is now available and the MLS database has become a public tool. Welcome to my world, where my clients often know about a new listing before I do!  In fact, my MLS Pulse website, Homes by Linda Davis updates every 10 minutes and provides access to MLS data 24 hours a day.  Give it a try!  It is a very cool site where you can set up personal property watches and manage your own portfolio.

If you are planning to sell your home anytime during 2006, now would be a good time to think about getting ready to show your home in the very best light.  Real Estate agents like to describe it as "Staging your Home" for sale.  There are numberous books and even TV shows about the topic but it generally gets down to just a few key points.  Before your home goes on the market it needs to be leadned, brightened, de-cluttered and neutralized.  Then you can set the state.

Set your house the same way you would set a stage.  A few 'props' here and there can create an appealing scene.  Having something baking in the oven may sound corny but it certainly gives potential buyers a warm feeling of home.  Put special towels and soap out in the bathroom.  Place a centerpiece on your table. Fresh flowers inside and outside are very welcoming. Toss a pretty throw blanket across your bed.  Fill small bowls with potpourri.  Nothing expensive!   Little things that don't cost a lot can make a big difference.  My clients receive a free copy of 'Dress Your House for Success'.   It is a good resource if you are getting ready or just thinking about putting your home on the market in the future.

It often takes 'tough love' on the part of your realtor® to get your home sold. Your real estate agent must be honest with you about your homes appearance even if it hurts your feelings.  It might not be easy to tell someone their home is dirty or that it has a pet odor. But hopefully, when you choose a real estate agent to market your home, he or she will agree that a house that is clean, de-cluttered, bright & neutralized will often sell for thousands of dollars more than one that isn't.  In the end you might be embarrassed about the 'tough love' approach but you'll have more money in your pocket at the closing.  

It depends. The office phones were eerily quiet today. I suspect that most folks were busy digging themselves out this morning. In addition, school openings were delayed throughout the region. I happen to be a bit of a weather nut and admit I was disappointed when I woke up on Sunday Morning to find that the path of the storm had shifted slightly and that the heavy stuff was going to be to the west of us. I keep waiting for the 'big one' so I can enjoy a few guilt-free days off.

Business will slow for just a day or two and then be back to normal. Weather can affect the market but usually only for the short term – open houses and showings will be delayed but rescheduled. However, a severe winter with lots of below freezing temperatures and snow piling up can send buyers into hibernation until spring. In addition, dark days of winter can adversely impact homes that are naturally dark to begin with. It is a rare buyer that doesn't prefer a bright home with lots of sunlight! 'The house is too dark' is a common complaint from buyers. But now I find myself wanting to write about 'staging' your home for sale and that is a matter for another day.

Zillow is a new online tool designed to help buyers, sellers and homeowners estimate the value of their home. It's actually quite impressive even though the data is not always perfect. Zillow arrived on Wednesday and immediately slowed down to a crawl. It seems to be moving a little faster today. You can type in an address and instantly (just not on Wednesday) see some details of the home including the date and purchase price of the last sale and data on comparable sales. Most importantly you get an estimate of the value. I inputted some addresses in the Ledyard area and found many of the evaluations pretty close to market value. Unfortunately, the site couldn't find some home listings at all.  I wouldn't rely on it for a home evaluation but it does provide some interesting information, good mapping, and a graph of a homes estimated value over time. And the best part is that the service is free. I think it is a very useful tool for buyers, sellers, homeowners and even real estate agents. But I don't think it will be replacing me anytime soon!

The number of listings coming on the market over the past few weeks in Eastern Connecticut is increasing at a hectic pace, giving sellers much more competition than the same time last year. Supply is increasing but demand is not. And for those who know even a little bit about economics 101, that is not a good thing. The days of putting a sign in the yard and having it sell within a few days is over. Pricing and condition are now critical. Price your home aggressively and be sure it is in great condition! Good condition isn't good enough. Really.

The Mortgage Bankers Association reports that interest rates for a 30-year fixed-rate mortgage hit their highest levels since early December. Interest rates for a fixed-rate mortgage averaged 6.25% last week. Compared to the 8% level of 10 years ago, rates are still extremely favorable for buyers. If you look back even farther, in 1980 the average fixed-rate mortgage approached the 13% mark. I have personally witnessed the rise and fall of interest rates over the past 30 years. I will never forget the home I sold in Griswold in the late 1970's at an interest rate of a whopping 17 ¼%

While surfing the internet for some insurance information for a client, I stumbled across this free Home Inventory Software from the Insurance Information Institute.  This software will help you to create a room by room inventory of your personal possessions, an excellent resource if you suffer a loss from a fire, burglary or other disaster.  Once you've completed your home inventory, you can save it to a CD, save it electronically or print a report.  Add photos too!  For more information about this free software or to download it, CLICK HERE

This time of year I get lots of tax questions about real estate.  Although I can't give tax advice, I've found some great online help.  The best site for all your real estate tax questions (and any tax questions for that matter) is IRS.Gov - the official web site of the Internal Revenue Service. Be sure to check out the section on frequently asked questions regarding deductions for your home.  Another useful site is NOLO.com.  What a fantastic resource for every home owner!   A section called "Your Home as a Tax Shelter" offers the Top Ten Tax Deductions for Owning Your Home.

Today as I looked through the Sunday classified section, it occured to me once again how different our real estate marketplace is when it comes to open houses.  Although 5 columns of open houses may look like a healthy selection, it pales compared to other parts of the country where Open House Sunday is only outdone by Super Bowl Sunday.  I'm not sure I understand why buyers in Eastern Connecticut don't embrace open houses like their counterparts in other areas. 

I have held successful open houses on New Construction listings.  I remember back in the 80's when we opened up a new section of Pheasant Run.  Over 100 buyers showed up for the big event!  Today open houses are more modest events with usually a few couples and maybe a neighbor or two stopping by for a visit.  Do open houses work?  I'm sure there are conflicting opinions on the subject but locally, I have rarely heard of houses (with the exception of New Construction) selling through an open house.  Probably the biggest winner of holding an open house is the agent holding the house open. Open houses can be a source of business giving the agent a chance to meet new buyers.  And if you are an agent, that is a good thing!