Most people can’t pay cash for a home, even if it is a discounted foreclosure property. That means you need a loan. But, banks don’t want to lend on a home that is not livable. So does that mean you can’t buy distressed properties? Are the deals off limits?

The Federal Housing Administration (FHA) has a loan program just for this situation. It is called a 203(k) loan. These loans are designed to help improve homes and neighborhoods. However the process is quite involved. You need many expensive professionals to help you through the process. You will need plans approved. The money is released as the work progresses and you meet project milestones. It is a process designed for large projects.

For many the red tape is daunting. FHA later realized there was a need for a simpler process. They developed the Streamlined 203(k) program. It won’t work for all projects. There are loan limits, and the scope of the work is limited. It is the 203(k) but simpler. You are limited to $35,000 in repairs. But for many of the homes out there that is enough money to complete the project. The biggest issue is the repairs can’t be structural or involve termite damage and stay within the Streamlined program. For that you will need the full 203(k) loan and process.

Here is what FHA says about the Streamlined 203(k) loan program:

What improvements are eligible under the new Streamlined (k) program?

The Streamlined (k) program is intended to facilitate uncomplicated rehabilitation and/or improvements to a home for which plans, consultants, engineers and/or architects are not required. The Streamlined (k) program includes the discretionary improvements and/or repairs shown below:

• Repair/Replacement of roofs, gutters and downspouts
• Repair/Replacement/upgrade of existing HVAC systems
• Repair/Replacement/upgrade of plumbing and electrical systems
• Repair/Replacement of flooring
• Minor remodeling, such as kitchens, which does not involve structural repairs
• Painting, both exterior and interior
• Weatherization, including storm windows and doors, insulation, weather stripping, etc.
• Purchase and installation of appliances, including free-standing ranges, refrigerators, washers/dryers, dishwashers and microwave ovens
• Accessibility improvements for persons with disabilities
• Lead-based paint stabilization or abatement of lead-based paint hazards
• Repair/replace/add exterior decks, patios, porches
• Basement finishing and remodeling, which does not involve structural repairs
• Basement waterproofing
• Window and door replacements and exterior wall re-siding
• Septic system and/or well repair or replacement

What are the minimum and maximum amounts for repair costs under this program?

Given the need for homeowners to make minor repairs without exhausting personal savings, and in consideration of the increasing cost of materials, the minimum repair cost of $5,000 is eliminated and the ceiling is now raised to $35,000. This revised maximum repair/rehabilitation amount recognizes the cost of making older homes more energy efficient. Note that as described below, when the repairs exceed $15,000, the mortgagee must perform or obtain an inspection to determine that all listed repairs were completed.

If you are interested in homes that will require repairs, then keep this program in mind.

The likely process for streamlined is

1. Get loan pre-approval with a lender that does 203(k) loans
2. Search for bank owned homes with our free and easy online search engine
3. We go together to see in person the homes that interest you
4. Once you have narrowed your search to a house you might pursue you need to figure out how many dollars of repairs it will take
5. Make an offer with FHA disclosures and 203(k) indicated
6. Offer accepted
7. Contractor quote
8. Appraisal
9. Loan process
10. Home purchase closing
11. Contractor begins work
12. First payment to contractor made
13. Repairs completed
14. Final inspection
15. Final payment to contractor made

Take the next step. Contact us for lenders that do 203(k) loans and get pre-approved.

Here is the full document from FHA that documents the program:

It is a simple question with a difficult answer. How low will the bank accept for a short sale offer? As with most things, it depends. First of all, the seller of the property is the owner, not the bank. The seller must accept the offer before the bank will even see it? But, since the seller walks away from the closing without any money going to him, price is not his first consideration.

A short sale is when the seller owes the bank more money than the home he owns is worth, and the bank agrees to accept a lower amount as payment in full for a sale. The bank will sometimes ask for a personal note from the seller to cover the difference, but the seller will want to avoid this if possible. The bank will decide to approve this arrangement only if it makes financial sense. The threat to the bank, is this home will go to foreclosure if a short sale cannot be arranged. If the seller has the income to continue paying the mortgage and is doing so, that threat is lower. In some cases, a short sale can be arranged without the seller missing any mortgage payments, and the sellers credit is much better preserved. A difficult dance, but possible if an owner without financial hardship wants to move.

For the majority of short sales, the bank has not been paid in a while. If the house goes to foreclosure, the bank is facing high expenses, and the prospect of owning real estate. Bank owned property tends to decline in value over time because it starts in an uncertain condition, remains vacant for long periods, and is roughly and poorly maintained. Banks make money by lending money. They must have a reserve of cash to lend money. They do not want to own real estate. So they sell it; and they are not likely to get a good price for it. If the house is sold in a short sale, the home is still someone’s home. The home is not usually vacant. The home is at least modestly maintained and not mistreated. The home is sold in an orderly process, and the bank receives cash at settlement. This is a lot of benefits in favor of allowing a short sale.

So what will the bank accept for a short sale? Answer these questions:

• What is the condition of the house?
• What is the demand in the local market?
• How much does the home appraise for, or what is the broker price opinion (BPO)?
• How long has the home been on the market and at what price was it offered?
• How well has the home been marketed?
• Are there any existing offers?
• What is the financial condition of the bank and the banking industry?
• What is the competition?
• What is the absorbtion rate?
• What are the recent sold prices including REO sales?
• How many payments are late?
• How much is the balance of the loan?
• How many lenders are involved?
• Is the mortgage insured?
• Who owns the mortgage?
• How well is the short sale package presented?
• Who is the negotiator?
• How many files are on the negotiators desk?
• Are there any contract contingencies?
• Is this a cash offer?
• How certain is the bank that the deal will go through?
• etc.

We can try answering these questions, and we do, but is there another way to answer the main question?

The above list is the theoretical way of trying to compute an answer. I like to tell my buyer clients, that the only way to know for sure if a seller (or bank) will accept some amount of money is to make an offer. A real offer is binding on the buyer. It shows the question is not idle talk. The bank in it’s own way is answering those same questions above to evaluate an offer. So an offer means it is worth the trouble for the bank to spend the time and money to figure out just how much it will accept. If there are multiple banks, and mortgage insurance, then there are many people that have to agree on the price. That takes negotiation, and none of that negotiation will take place without a real offer on the table. So the answer is to find out by negotiating with the bank.

And, we can use short sale sold data as a guide to our negotiations. The following two graphs show as a percentage of original list price the final sales price for short sales in Baltimore County for the last year. Each dot represents a sale. Each sale has it’s own unique situation. For instance there is one sale at 30% of original list price. This is an as/is home with renovations half unfinished. There are also sales over 100% of list price. This can mean the price was listed very competitively at the start.

There is nothing magic to the original list price, but it gives us a number to work from for this blog post. For a real transaction, we would research the above questions for the specific case.

• Find closings for a specific bank
• Find the loan balance
• Analyze the local market
• etc.

The discounts buyers are getting can be quite dramatic. If you were to look at the original loan balance, or the highest property sale price, then things really start to get interesting.

Photo credits, lolodrake and Doug Wertman.

When property values were rising, local governments were loving the new higher property tax assessments that went along with that. Existing homeowners were protected from quickly rising tax bills by the Maryland Homestead Tax Credit. But, new homeowners aren’t immediately protected by the Homestead Tax Credit. Still, at least they know in advance how high their tax bill might be. Now that most homeowners have had their property values decline with the housing market and slow economy, assessments will lag behind. Maryland assesses property values every three years. So two thirds of the homes will not be looked at this year. For that one third it remains to be seen if assessments will drop. In the end the responsibility falls to each homeowner to make sure their assessment is fair.

So, how do I challenge my assessment? Property assessments are supposed to reflect property values in a theoretical arms length transaction. This means if a neighborhood house was foreclosed on, or sold to a family member, the transaction value does not impact assessments. If we have enough of these transactions, as we do in some neighborhoods, then regular sales values are affected. These regular sales can then be relied on as evidence of reduced assessment values. You can look up sold prices at the Maryland SDAT property tax search, or you can ask a Realtor for a report on recent solds. If you promise me you will spread the word to family and friends about the HelpShop.com website and homes search, I’ll make you a report of the last 50 homes that sold within a circle around your home.

Read through the American Homeowners Association “Property Tax Reduction Kit“. This document is a good general guide to how to approach an appeal. It is not Maryland specific however. Next you might want to look over the Maryland Assessment Procedures Manual. Also, you may want to take a look at the updates. And SDAT has written a guide to the appeal process. For more background, here is an example worksheet for calculating the property assessment on a particular house. Everyone can order a copy of the worksheet for their house. If you are appealing then you have the right to order the worksheet for anyone’s house. Everyone is to be treated equally under the assessment process. You can use other peoples worksheets as a guide to how yours should be done. Each worksheet costs one dollar.

Armed with any factual discrepancies on your house, worksheets of similar houses, and sold prices in your neighborhood, you have a reasonable chance of reducing your assessment at an appeal. The first level of the appeals process is with the person that assessed your property in the first place. If you have an unfinished basement, but the tax records say it was finished, with proof, you will win this battle. Another avenue of attack is condition. The assessor has leeway to say the condition is less than 100 percent. This can translate into a percentage reduction in that portion of the value. The rest of your appeal will be more difficult. Your home has been categorized into very specific categories. If a neighbors home is a different style, then the assessor might not take it as evidence of inequity of treatment. If you can, get worksheets for homes styled like yours. The assessor will argue that you are protected by the Homestead Tax Credit, so you need not worry that the assessment seems high to you. Don’t let them get away with that. You could argue right back that since your tax is limited by the Credit, they might as well lower the assessment. A lower assessment could make it easier to sell your house, since the new owner will be taxed at the assessed value.

The next level of appeal is more formal than the first. Still, there are no fees, and you don’t need a lawyer. You can represent yourself. This appeal is before your county Property Tax Assessment Appeals Board. This is composed of three local residents appointed by the Governor. Be sure to request in writing at least 15 days before your hearing, a list of the comparable properties that will be used by the assessment office before the Board. Read over the rules for the board.

If you are still not satisfied with your ruling, you can appeal to the Maryland Tax Court. This too is made up of people appointed by the Governor. It is an administrative court under the Executive branch of government. It is still informal, but a lawyer might be wanted at this hearing. For any level in the appeals process, you might find it instructive to read some of the past rulings of the Maryland Tax Court.

Now that you have gone through channels, and used up your remedies within the Executive branch of government, your next option is to try appealing through the Judiciary court system. Another option, which a friend of mine succeeded with, is to petition the Legislative branch of government for a change of the law. This is another story, but in his case, the law did change…but this only benefits the rest of us. His case was still correct under the old law.

I am not a lawyer. I am only reporting my limited knowledge of the assessment and appeals process. If you have gone through this, or have any tips, please comment below.

Photo credit, dbking.

1. Rent vs Buy : You are building equity. A 30 year mortgage means at the end of 30 years you have paid off the loan. The house is all yours. If you had a fixed rate mortgage, then that was 30 years without a rent increase. If you were renting, then you paid off your landlords mortgage, and your rents went up year after year.
2. Value Appreciation : In the short term, we have seen prices drop. In the Maryland area, the price drops have been relatively mild. Prices have dropped the equivalent of going back four or five years. Looking back ten years prices are still double now than what they were then. There is the cost of ongoing maintenance, but a maintained home 30 years from now is likely to have quite a bit of value. Where are all those people that have decided not to buy going to live? They all have to rent from someone.
3. Leverage : From three and a half percent down with an FHA mortgage to the classic 20% down of the no mortgage insurance conventional loan, you are controlling the full value of an asset by paying only part of the cost up front. A dollar invested in a 20% down mortgage means one percent value appreciation translates to 5% return on your dollar. That is five times the gain. This is a two edge sword, as the value can drop too. But, in the long term the increases have been greater than the drops. Of course the down payment is just the start, you have to make ongoing mortgage payments. The alternative however has you making ongoing rent payments. The scenarios where your rent payments are substantially lower usually means apartment living, or are a temporary situation that can’t be counted on for the long term. So your ongoing housing payments are part of your budget one way or another. Investors see leverage as a way to pyramid into more rental property owned than they could buy with cash. With 20% down it might seem like the investor can buy 5 properties, but since the tenants are paying a substantial part of the mortgage, a much higher ratio is possible.
4. Forced Savings : Financial planners tell us that a necessary ingredient to building a nest egg for the future, is to pay yourself first. Putting money aside for savings should be a budget item like food. Yet, the reality is that much of us don’t follow the advice. Budgets stretch thin, and savings is the first to go. Well, every payment to your mortgage includes a bit of principal. In early payments most of what you pay is interest, but by the last payment, most of what you pay is principal. The principal payments are what lower your loan balance and increase your equity balance in your home. Home owners without any financial discipline still are managing to save through their mortgage payment.
5. Better Interest : Interest rates on fixed rate mortgages are at historical lows not seen since the 1960’s. Still, interest paid on your savings account is much lower than the mortgage rates. The reward for putting money into your savings account is pretty slim compared to under your mattress. Putting extra money into your mortgage payment for most mortgages is a payment towards your principal. One hundred dollars extra is one hundred less dollars owed on your mortgage. If you have a 6% interest rate, that is like getting 6% on your hundred dollars. And you don’t have to pay income tax on your “earned” interest, so the compounding effect on your savings is not diminished. On my first home, I was paying 10.25% interest. But, I figured out that adding $100 to a particular payment, meant a bit more than two payments that I would not have to make at the end of the loan. My mortgage payment was about $900, so I saw that has $100 paid now is $1800 I won’t have to pay later. That is a pretty good return on $100 and was pretty motivating. My pay myself first plan was given a healthy boost with this. The power of this is strongest at the beginning of your loan, since most of your payment is interest. As time goes on, more and more of your payment is principal. But, when those times come, the new motivation is watching the loan balance drop substantially with each payment. Realizing how much of your payment is not lost, but just stored as equity is a great feeling.
6. Control : Do you have money invested in GM, but wish the company had invested in making more fuel efficient cars? Maybe you own stock in Starbucks, but wish they didn’t open so many stores so near each other. Stocks as an investment means putting your faith in the current and future decision making of other people. The value of your home is not completely in your control, but you do have substantial control. You can take an ugly duckling of a house, and give it some tender loving care, and transform it into something magic. Many times these changes don’t have to be that expensive in the scheme of things. You really get to see the value of your house when you try to sell it. Fresh paint, with Martha Stewart colors will get your home noticed. So many homes are filled with clutter when they are for sale, that if you stick stuff in storage, your home will compare nicely. You can add gingerbread and moldings to upscale a house. You can add insulation and reduce your heating bills. There are so many ideas for increasing the value of a house, that I will stop here and make that a future blog post. The best part, is you can make the improvements now, and you too get the benefits of enjoyment. That is powerful motivation.
7. Wide Market : Everyone needs a place to live. That means we are all potential home owners. Even gold isn’t all that interesting as a practical object to that many people. When you want to sell, you benefit from the wide utility of real estate. Aside from the home owner market, there is the investor market. Many investors see the value of owning multiple rental properties. You can rent your property outright, or if money was tight, you could rent out a room, or storage in the garage. Thirty years from now people will likely still be living in homes.
8. Financial Cushion : Life is not predictable, and sometimes times get tough. The equity built up in your home is real money. There are plenty of mortgage products that will let you borrow against the equity to get access to the money without selling. For retirees there is even something called the reverse mortgage. This can allow someone to get ongoing payments from their equity into the retirement years. But, if you have to, you can sell the house. The Realtor professional is there to help you in this transaction. Many people have been thankful for the financial safety net they built by owning their own home.
9. Liquidity : Real estate is widely criticized for lack of liquidity. But what is the story? A market valuation of real estate makes some assumptions. Comparable homes that have sold are used as a guide to establishing value on a house that has not yet sold. These sold homes were on the market for a number of days before a buyer found them and bought them. The estimated value assumes you are going to have this house on the market for about the same amount of time. Liquidity implies converting to cash in a short amount of time. A house is not your best choice to park short term funds. But, if maximizing value is less important than ready cash, you can sell a house in a surprisingly short amount of time. Even in slow markets, homes are selling. If you price your home low enough, then you are cutting in line so that your home is the one likely to sell next. Another option is to auction your home. This can be with a reserve price, or without one. And, as we discussed earlier, there are loan products for getting money out of a home.
10. Tax Savings : Rent is 100% your money spent. Mortgage interest on your first and second home is deductible on your taxes. The Government is subsidizing home ownership through tax policy. To get this benefit you will have to itemize your deductions. The points you paid for your mortgage are deductible. The local property taxes are deductible. And, now that you are itemizing, ask your tax preparer what other itemizing deductions are possible. When it comes time to sell, if you have substantial gains in the value of your house, you will be delighted to know that under common circumstances you will owe no taxes on the gain. The small print is you must live in the home as your principal residence in at least two of the last five years. Single payers can shelter $250,000 and married couples can shelter $500,000. If you moved every two years, you could get this benefit every two years. Also, every dollar spent on improvements raises your basis and is tax free when you sell for any real estate. If you are an investor, you can sell one property and defer the gains into a replacement property with a 1031 exchange. This is powerful but technical, so seek competent advice. The investor also gets to depreciate the value of the house over time. Depreciation allows the rent payments to go substantially toward mortgage payments without having to pay income taxes with the money first. Claiming depreciation lowers your basis and thus increases your taxes when you sell. Taxes were just deferred. If you convert your rental into your primary residence, say in retirement, then you can shelter some of these gains with the same $250k/$500k benefit I mentioned above. That has its limits. Consult a competent tax adviser for all these items. Tax policy has changed many times over the years, but home ownership has been politically popular for a while.

I created HelpShop.com to be a tool for home buyers and sellers, investors and resident owners. With it, you can zero in on the hidden deals and the best homes on the market. HelpShop search let’s you really understand the market. Jump right in and try the search, or first watch some video tutorials that give a small taste of what the search can do. I will continue to add to the site, including more tutorials. If there is something you would like to see, give me some feedback.

When you are ready to see some houses in person, we will be happy to schedule the showings. My wife Maggie and I are low pressure Realtors. We are here to help you reach your goals. When you need us, send us a note, or give us a call.
 

There is a new program that is now available for delinquent mortgage holders. The program is called Streamlined Modification Program, it is an attempt to help as many as possible to keep their home from foreclosure.  The program is available to loans owned by Fannie Mae, Freddie Mac, Hope Now and it’s 27 service partners.

The mortgage servicer will work with the homeowner to adjust the monthly payment to be 38% of income.  The monthly payment would be principal + interest  + taxes + (homeowners  insurance, mortgage insurance, homeowner dues, condo dues).

There are several ways that they can make the adjustment:

1. One way is to extend the term, up to 40 years. 
2. Another way is to reduce the interest rate.  They can reduce it to as low as 3%.  This reduction will last for five years and then the interest rate will adjust up by 1 % per year until it maxes at the current market rate or the original interest rate whichever is lower.
3. They can even reduce the principal balance to the current market value for the house.  This would only be available if the principal loan balance exceeds the current market value.  The reduction of the principal balance is not completely forgiven, it will become a balloon payment that will be due at the end of the loan term. And if the owner sells prior to the end of the loan term, it would be due at settlement to satisfy the loan.

Any or all of the methods can be used to get the monthly payment down to the 38% of income.

Criteria to qualify:

• The loan must be at least 90 days delinquent and
• The amount owed must be at least 90% of the homes value.

The program started on December 15th, and I have seen banks offering it to their delinquent mortgage holders by way of a letter.  So go ahead and open up that correspondence from the bank!  And if they do not send a letter about the program, give them a call.  They have been offered an incentive for every loan that they can enroll into the program, they are going to try to make it work. 

The mortgage holder should call their servicer and ask about it. 

The servicer will ask for

1. Proof of income, and amount of income.
2. A statement of hardship. Mortgage holder should be willing and able to explain the circumstances that lead to falling behind, (for example such as job loss/change)
3. They might ask monthly expenses.

Here are some links that go into detail about the program:

Washington Post article

CNN Money article

The FHFA’s (Federal Housing Finance Agency) press release about the program and FAQ:

I have set up a detailed spreadsheet to help my clients who are in a short sale position to figure out if they would be able to have their loan adjusted to an affordable payment.  I would be happy to help anyone else who is contemplating it, just give me a call or email.  The loan servicer can also help to figure out if the loan can be adjusted to be affordable.  The most important step is to get started, and work through it one phone call at a time.

Spread the word and help folks save their houses.  Think Stability.

 

Maggie

(410) 852-9524

Listings Search at www.HelpShop.com

We can also help find rentals.  And we can help to sell a house in a short sale if the loan modification isn’t possible.  A short sale is better on the credit report than a foreclosure.  If someone you know could use our help contact us.

Photo credit, Jeff Turner

Making your home your own includes decorating it to your taste. A fun way of expressing your artistic vision when you are not a painter, is to design what you want on a computer, and get it printed. Why print your photos at 4″ x 6″ when wall size is now possible! There are a lot of nuances to succeeding at this. If you are going to use a photo, then the more megapixels your camera captures, then the less blurry your image will be when you blow it up.

First you need an image.

• Take a photo yourself.
• Download a photo from flickr
• Design your own pattern or image with free Inkscape or free Gimp

Next you need to order your custom wallpaper. Here are six providers:

1. DesignYourWall
2. Murals Your Way
3. MegaPrint
4. Great Wall Online
5. Rollout
6. shop 4 wallpaper

Another option is tiling lots of small sheets of paper together. You can do this in black and white on your own laser printer, or in color if you can afford all that toner or ink!

1. The Rasterbator
2. Block Posters

The downside to this idea, is wallpaper and highly individual decorating schemes are not a good idea in most cases for getting your home ready to sell. Use these ideas for yourself since you are going to live there. If you have plans to sell soon, then talk to me about getting a professional staging consultation. If your house is for sale, you need to think of it as a product, and no longer your home. This will help you get top dollar, and in a slow market this can be essential to get noticed. Professional staging does not have to be expensive. In some cases when our sellers and the homes they want to sell meet certain criteria, we will pay for an expert professional staging plan. Then that plan can be used as a roadmap, or the stager can be hired to implement the plan.

If anyone does create a custom wall, I would like to see it. Send me a photo with uSend.io

The above vintage wallpaper photo is provided by Anne Norman via flickr.com.

We currently have 5 kittens staying in our mudroom becoming socialized.  This is our 3rd go round with socializing a litter of feral or semi-feral kittens so I am going to dispense advice for anyone undertaking similar tasks. 

One of our clients had a stray momma show up and have babies.  We coached them about feeding the kitties each day and getting the cats used to humans providing food.  Little things like shaking the food and making some noises when pouring it out, clinking the bowl, even calling “here kitty, kitty”, putting the food bowl near the house entrance, to help them associate humans as food providers. 

After a few weeks of our client feeding they became able to pet them while eating, so we decided it was time for kitten “finishing school” and brought our cat carriers and a have a heart trap.  We had one carrier for each kitty.  Once you get one kitten inside the cage and the door closed, do not count on being able to open it to get another one inside.  We also brought a have a heart trap, just in case.

Semi feral kittens decide that they like chicken babyfood.

 

A food that cats cannot resist is babyfood, the pureed meat kind.  Any meat flavor seems to work, chicken is especially tasty to them.  We put some on a spoon and have the kitties lick it off, they love it, once they get brave enough to try it.  For this litter, they had developed a liking for mackeral (what cat can resist?) so our client opened a can and put some on a plate and was able to lure most of them into one carrier. 

Then we had the 2 hold outs, luckily each was lured into its own carrier, the last one with some man handling.  This one did a spread eagle and made the task difficult but not impossible.  If this happens to you, put a towel over him while still holding firmly by the scruff, (covering their face can get you a couple moments of calmness).  Be sure to wear gloves, make sure you can grip them firmly by the scruff with the gloves on.  Holding firmly by the scruff makes their body release endorphins and may help calm them somewhat.

Once they are inside the carriers cover the carriers with a towel – it calms them and they won’t try to dig their way out.  They can do some damage to their paws in a desperate attempt for freedom, so remove that temptation by covering the openings (or better yet the whole carrier) with a towel or sheet.  It also might be a good idea to have small towel in the carrier in case they have an accident on the drive home. 

When you first take them indoors they are understandably freaked out.  The best place to start is in a small room, a small bathroom can work wonderfully.  Cover any windows or mirrors so they don’t try to throw themselves through or claw their way through, we have taped cardboard over them.  You can probably uncover the windows after 4 or 5 days, but err on the side of longer.  

Also make sure any hard to reach spots are closed off or the shy ones will have a place to avoid you.  We had to tape cardboard over places like the chest freezer so they can’t hide behind it.  They do like having a box that they can hide away in, so have one or two available for them.  I used a BIG dog crate in my mudroom, and had a litter pan and a box in there. 

Have minimal interaction for the first night, just let them get their bearings without having to deal with strange humans.  Keep them in the crate (if you have one) for a couple days and talk nicely to them when you go in to attend to the food, water and litter.  And you can leave the dry food out but only put down wet food when you are in there, and try to feed them from a spoon, they will get brave after a day or two.  Having a radio playing talk shows might help them become accustomed to human voices also.  I try to sit in there and just read a magazine or my email or make phone calls to get them used to me.

Bear, Goose, Little Romeo, and Scout get comfortable with me.

About litter training, I have never had to show a cat how to use the litter, it is a natural inclination of theirs.  The main issue is to keep it clean as often as possible, then they will not develop any bad habits.  They are pretty tolerant, I have been busy and not gotten to it until late at night and thankfully no accidents.

After a few days of this new confinement situation they will become a little more relaxed so you can start petting them when feeding, and eventually you will be able to pick them up.  Try not to force things, you will win them over gradually.  For our current bunch at this point, after about 3 weeks of having them in our mudroom, they are little purr machines, and are all over me once I walk in the door.  There is one hold out (little Princess Buttercup) that is still afraid of my husband who only visits once a day, but she is slowly becoming more trusting, she loves petting from me, it is only a matter of another week or so before Peter charms her.

Keep them confined to the small room for a couple of weeks or until they start coming to you when you call.  You do not want them finding some hiding place in your house where they will not have to interact with you.  We are just starting to open the door from the mudroom to the rest of the house and they explore a little, until our “real” kitties (the first litter that we socialized) hiss at them and scare them back to the mudroom. 

We are hoping that a no kill shelter “Defenders of Animal Rights” will have some space in their kitten room soon.  Their kitten room is awesome, the kitties and people roam freely so you can get a better feel for how the personalities will match.  And I can go and visit my “graduates” once a week and pet them and quiz them on their lap cat lessons, until they get adopted. 

Be strong about finding a home, be sure to question the responsibility level of any prospective cat parents.  Never let someone get them as a present for somebody else, that rarely works out.  Many rescue organizations have applications and adoption contracts that they will share to give you an idea about how to interview and choose a permanent home for your little ones.  And always Spay and Neuter!  There are some low cost programs, in our area there are SNAP certificates and the Humane Society has a low cost program.  Some vets will give you a break on price so be sure to ask and let know about your project.

Good luck, it is a very rewarding commitment of about 3-6 weeks depending on how old they were when you caught them, the younger the better.  Our current bunch was probably 4-5 months when we captured them.  They did have human interaction with the daily feeding, so that probably helped quite a bit.  They are very happy chappies and love when I show up and pet them, they jostle for position under my hand and a couple jump in my lap on their own. 

Bear is twice the size of his siblings, has an impossibly soft coat and loves any attention, trying to convert it to a belly rub.  Romeo is a bit of a momma’s boy, he loves to be in my lap and to rub his head against my head, a very endearing move.  Goose (the handsome gray one)  looks meaningfully into my eyes and becons me to pet his irresistable belly, he is pretty attached to me but in a more grown up way than Romeo.  Scout is the fluffy one, he is first one to the door, has to inspect anything new and chirps a lovely good morning; he is kind of the benevolent boss of the operation.  Buttercup tilts her head to the right when she is intrigued by some new toy or even my sweeping activities; she is tiny, adorable, a bit shy and purrs as loudly as her brothers. 

They all love petting and are coming along very nicely, ready for some permanent kitty parents.  And they are all gorgeous, an opinion backed up by my mom, so it has to be true.

Support your local shelters, they are all under the same economic strain and at the same time they are getting filled by pets that have been foreclosed upon. 

Cheers,

Maggie

410-852-9524

And of course if you need a bigger house for your cat rescue projects just give me a call, we have some great bargains in the area right now. 

Search for house Bargains in Maryland at www.HelpShop.com

 

My name is Scout

So what is Southern Sales Services? It is an auction held 10 times a year for new and damaged new building materials. There are plenty of high end items for sale, but it is an auction. At auction you are not always going to get a deal. Still, I think a lot of people are getting a deal here. The inventory changes, but I have seen Pella windows, Viking stoves, Kohler fixtures, 3/4″ cherry flooring, fancy European front loading washers, tile, doors, kitchen cabinets, and more.  There are multiple auctions going on at the same time, so it can be a little confusing. You sometimes feel like you have to be in two places at once. The crowd can get a little overwhelming too. Around the appliances space can get pretty cramped.

If you want to bid, you have to preregister for a bidder number. It is a lot easier to preregister the day before the auction which is the preview day. Don’t get caught up in the excitement of an auction and bid more than you planned. And, if you want to bid on a Sub Zero refrigerator or other appliance, “camp out” ahead of the crowd in front of the item you want, or be prepared to push your way to a spot where the auctioneer will notice you. If you are bidding on an item, and don’t win, the auctioneer will usually let you have second choice after the winner has chosen the items they want. If you don’t bid, and the winning bid is low, sometimes the auctioneer won’t let anyone else have the deal. He is trying to make sure the crowd doesn’t adopt the strategy of not bidding in hopes of keeping the prices down. I thought the prices were pretty good, but there are some better deals out there. In a future post I’ll tell you about some other auctions.

Maggie and Peter Baumbach are Realtors with Long & Foster Real Estate Inc.  If you are in the market to buy or sell a home, then hire us to guide and represent you. We are client focused. We are here to help you make good decisions.

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In Maryland we are fortunate to have many fine examples of these wonderlands. 

The following list of train gardens includes information taken (with permission) from the Washington, Virginia & Maryland Garden Railway Society. Their list was compiled through the efforts of kidstreetnews.com, a fantastic website full of activities for families; Chris Hancock of Sykesville and Patapsco Railway see his website trainsrcool.com, (trains really are cool!); and the assistant webmaster of the Washington, Virginia & Maryland Garden Railway Society.  Click through to their list of other displays outside the Baltimore area, there are many!

They have graciously allowed me to share them with you by way of this blog post.   Be sure to click through to their webpages, all are great ways to explore the world of trains.

Here are some train garden events going on in and around the Baltimore area:

Arbutus Auto Painting and Bodyworks, 4621 Leeds Ave., Arbutus, MD. is hosting its 11th annual holiday train garden. November 29 through January 3. Monday through Friday, 6:30pm – 8:30pm, Saturdays 10am – 8pm and Sundays 10am -7pm, Christmas Eve and New Year’s Eve 6:30pm – 8:30pm, Closed on Christmas and New Year’s Day. There is a collection box for non-perishable food items for Southwest Emergency Services. (Please note, NOT open during business hours, website is out of date.) arbutusauto.com

Baltimore & Ohio Railroad Museum, 901 West Pratt St., Baltimore, MD. Holiday celebration of toy trains and model railroading layouts beginning with the arrival of Santa by locomotive on Friday, November 28. The festival features many different layouts including the Museum’s “HO” model train layout in the C&O #725 passenger car and the outdoor “G” scale layout. Children can ride the train with Santa on Saturdays and Sundays through December 21. Train rides Tuesdays through Saturdays. November 28 – December 30, Monday through Friday 10am – 4pm. Saturday 10am – 5pm. Sunday, 11am – 4pm. Closed on Christmas Eve and Day and New Year’s Eve and Day. 410-752-2490, www.borail.org

Baltimore City Fire Department, Engine Company 45 and Truck Company 27, 2700 Glen Avenue, Baltimore, MD. Continuing a longtime tradition, the Baltimore City Fire Department has opened its 52nd Annual Holiday Train Garden. Each year the garden features displays with themes relative to the Fire Department and current issues. The Train Garden occupies almost half of the station and is expected to draw more than 10,000 people. Operating daily 10am – 9pm from December 6 through January 4. 410-396-0171.

Baltimore Society of Model Engineers, 225 W. Saratoga Street, Baltimore, MD. Open House 2nd Sunday of the month, 1pm – 5pm. Two large (12′x65′) layouts featuring diesel, steam trains, and trolleys in HO and O scale, operating Thomas the Tank Engine model. Additional static model displays, 34 authentic railroad heralds, and railroad manufacturer’s publicity photos. Special Holiday open house dates: December 6, 14, and 20, January 1, 4, 11, 18, and 25, and February 8. Santa will be there on December 6 & 20. 410-837-2763 (Friday evenings), www.modelengineers.com

Centre at Glen Burnie, 6711 Governor Ritchie Highway, Glen Burnie, MD. Claus Toy Company Train. See this huge, hand-constructed G-scale model train featuring Santa’s Toy Company and Distribution Center November 1st through December 31st, during mall hours. 410-766-6529, www.thecentreatglenburnie.com

Dundalk Patapsco Neck Historical Society, 4 Center Place, Dundalk, MD. This year’s train garden trains running on four different levels, some down right where the little ones can see them Modeling Maryland from Ocean City to our hometown of Dundalk, with over 25 action scenes. Open December 5 through the January 4. Open seven days a week Noon – 8pm. Closing at 4pm on Christmas Eve and closed Christmas Day. The museum will also feature a display of German incense burners, “whirlies”, stuffed animals, and ornaments. Call 410-284-2331 for more information.

Ellicott City B&O Railroad Museum, 2711 Maryland Avenue, Ellicott City, MD. “Holiday Festival of Trains” Bring the family down to the Ellicott City Station for the ALL NEW 2008 Holiday Festival of Trains. The star of this year’s Festival in Ellicott City is a miniature Thomas the Tank Engine G-scale model layout along with a brand new custom-built, multi-level O-scale model train layout. Opening November 28 and running through January 25. The museum will be open Wednesdays through Sundays, 11am – 4pm, closed on Christmas Eve, Christmas Day, New Year’s Eve and New Year’s Day. Saturdays, December 13th & 20th, Santa Claus will greet visitors in station’s very own red caboose. 410-461-1944, www.ecborail.org

Ellicott City Fire Company #2, 4150 Montgomery Road Ellicott City, MD. 11th Annual Train Garden. A 24 x 10 Foot display that largely fills a glass-walled room. Coal locomotives, Switch tracks, flashing train signals. In all there are eight trains, including a circus train, an Amtrak passenger train and a long freight train that course along various tracks, on various levels, chugging into tunnels, disappearing into and then emerging from snow-covered mountains. There’s a carousel and a North Pole scene, complete with Santa Claus and his elves. Open December 6 through January 4. Hours are Saturday and Sunday 11am – 8:00pm, Wednesday through Friday 6:30 – 8:30pm. Call 410-313-2036 for additional information and additional hours.

Fire Museum of Maryland, 1301 York Road, Lutherville, MD. “Trains of Christmas” Come see the Holiday train garden! Open every Saturday only November 29 through December 20, Daily December 27-30, 10am – 4pm. 410-321-7500, www.firemuseummd.org

Glyndon Volunteer Fire Department, 4812 Butler Road, Glyndon, MD. First annual holiday train garden. The 12 x 32 ft “O” scale layout took volunteers over 1550 hours to create. Lots of interactive buttons for the kids to push and a scavenger hunt to follow throughout the garden! There are 5 trains on the layout and many fully operational accessories. The man in the red suit will be visiting on weekend for children who want to have pictures taken with Santa. Monday through Fridays 5:30pm – 9pm, Saturdays and Sundays Noon – 9pm. 410-833-1262 ext. 5, www.gvfd40.org

Marley Station Mall, 7900 Governor Ritchie Highway, Glen Burnie, MD. Holiday Train Garden. A tradition in Glen Burnie for 15 years. Created by the Emmanuel Lutheran Church, this legendary display features a 300-foot landscaped garden and includes a number of interactive elements for the enjoyment of parents and children alike. Opening November 15 and running through December 31. 410-766-2033, www.shopmarleystation.com

Morton’s Model Railroads, 2000 Frederick Ave., Baltimore, MD, Open houses beginning November 29, Saturdays & Sundays, 2pm – 6 pm. mortonmodelrailroad.com

The Shops at Kenilworth, 800 Kenilworth Drive, Towson, MD. “Making Tracks to Kenilworth for the Holidays”. Every year for the past 20 years The Shops at Kenilworth has presented its renowned holiday train garden. This fascinating tradition has become a holiday spectacle for hundreds of people who arrive at the mall in anticipation of the vast electric train display. The vast exhibit of trains, bridges, and animated figures has been expanded this year to be more exciting than ever. In addition to an extra 32 feet of viewing area, there are more figures, bridges, and interactive push button animations. This spectacular 92-foot-long electronic train display pulls into the station on November 28 and runs through January 9. Monday through Saturday 10am – 9pm and Sunday Noon – 5pm. While you’re there, check out the train layouts down in Stebbins Anderson too! 410-321-1909, www.theshopsatkenilworth.com/

Sykesville and Patapsco Railway, Downtown Sykesville, MD. This display of railroad history includes a 1910 Pullman Parlor Car, 1927 B&O Caboose, 1910 Interlocking Tower with N, HO, O, G-gauge and American Flyer model train displays. Open house Saturday December 6, Noon to 9pm, in conjunction with the Sykesville tree lighting ceremony, which runs from 6pm – 9pm that evening. Train displays also open Saturday December 13 & January 3, Sunday December 7 & 14, January 4, Noon – 4pm. Open houses are normally held the 1st Sunday of each month from 1pm – 5pm. 410-795-3157, www.sykesvilleandpatapscorailway.org

Wise Avenue Volunteer Fire Department, 214 Wise Avenue, Dundalk, MD. 28th Holiday Train Display. November 29 through January 4. Weeknights 6pm – 9pm, Weekends Noon – 9pm, closed Christmas Day. 410-288-0710.  Here is a photo from the Wise Avenue display in 2007. 

 

And here are some that you still have time to catch in Carroll County:

Carroll County Library Headquarters, 1100 Green Valley Rd., New Windsor, MD (formerly The New Windsor Middle School). The Four County Society of Model Engineers will have their Modular HO layout set up during the Holiday Season. November 28 through January 4. Wednesdays, 6pm – 9pm (no Christmas and New Years eve), Fridays, 6pm – 9pm, Saturdays, 9am – 6pm, Sundays, 12pm – 6pm. 703-759-2771, www.library.carr.org

Manchester Volunteer Fire Department, 3209 Main Street, Manchester, MD. Manchester Train Garden, Come and see this Spectacular Holiday Train Garden with over 500 sq. feet of entertainment for the whole family which includes Antique Trains, Hot Rods, and Disney Characters. November 29 through December January 4, Saturdays and Sundays Noon – 6pm. Also November 28 and December 19, 6pm – 9:30pm. 410-239-2286, www.manchestervfd.org

Mount Airy Volunteer Fire Company, 702 N Main Street, Mount Airy, MD. 4th Annual Holiday Train Garden November 29 through January 4. Saturdays & Sundays Noon – 6pm. 301-829-0100 ext. 17, www.mavfc.org

Pleasant Valley Community Fire Company, 2030 South Pleasant Valley Road, Westminster, MD. “Christmas in the Valley” The train garden has been redesigned for the 2008 holiday season and features several new attractions as well as some favorites from past train garden displays. Grand Opening November 15 from 9am – 3pm, then each Saturday and Sunday November 22 through January 4, from Noon – 4pm. Christmas Eve 3pm – 7pm. December 26, 29, 30 from 4pm – 8pm, December 27 and 28, from Noon – 6pm. 410-848-1977, www.pleasantvalleyfire.org

If you are coming from Harford County or Northern Baltimore County one of these might be convenient:

Applewood Farm, 4435 Prospect Road, Whiteford, MD. “Christmas at Applewood”. Eight model train displays and The Applewood Express, a miniature 1870’s vintage steam train that will carry guests on a scenic 6/10 mile tour. Plus Christmas trees, reindeer programs, hayrides, petting zoo, kiddy maze, snowball bowling, reindeer antler toss, & 1773 log barn. November 29 through December 21, Saturdays and Sundays, 10am – 4pm. “Brite Lites Christmas Train” night time train ride, 5pm – 7:30pm, November 29, 30, December 5, 6, 7, 12, 13, 14, 19, 20, 21, 22, 23, 26, 27, 28. Special Brite Lites train to benefit Upper Chesapeake Health Foundation, November 28. 410-836-1140, www.applewoodfarm.org

Chesapeake Susquehanna & Western Model Railroad, 36 Porter Road, North East, MD. 10th Annual Christmas Model Train Open House has been under construction for the past 11 years and continues to change each year. Tues 12/2- 6:30pm to 9pm, Sat12/6- 11am to 4pm, Thurs 12/11- 6:30pm to 9pm, Sun 12/14-1pm to 5pm, Tues 12/16 6pm to 9pm, Sat 12/20- 11am to 4pm, Tues 12/23- 6:30pm to 9pm, Sat 12/27- 11am to 4pm, Tues 12/30- 6pm to 9pm. Also our Garden Railroad and Christmas lights will be open each Saturday night in December from 6pm to 8pm weather permitting. 410-658-4297.

Glen Rock Fire Department, Hufnagel Public Library, 32 Main Street, Glen Rock, PA. Annual Christmas Train Display features 4 large layouts, HO, American Flyer, O, and G. With all of the trains we have over 1800 square feet of trains. There is lots of animation. See the real water and fish on the Garden layout. November 28 through January 4. Fridays 6pm – 9pm, Sundays 2pm – 6pm. Special Christmas Eve show from 9 pm to midnight, before the Glen Rock Carolers start their trek. www.grfd.org

Jarrettsville Volunteer Fire Company, 3825 Federal Hill Road, Jarrettsville, MD. 27th Annual Train Garden open from November 28 through January 18. Open 6:30pm – 9pm Fridays, 1pm – 9pm Saturdays and Sundays, Also 6:30pm – 9pm December 29-30. Closed Christmas Eve, Christmas Day, and New Year’s Eve. 410-692-7890, www.jarrettsvillevfc.com

Liriodendron Mansion Holiday Model Train & Village Show, 502 West Gordon Street, Bel Air, MD. For the second year, members of the Harford Modular Railroad Group will fill the downstairs rooms with a model train layout that will run in one continuous display through the main rooms. Upstairs rooms will feature a train shop, a hands-on train set up for kids, and three rooms of villages. The mansion will be decorated for Christmas. A great event for all ages! December 12-21, Tuesday through Friday 4pm – 8pm, Saturday 10am – 8pm, Sunday 10am – 6pm, Monday the 15th, special day for seniors and foundation members, 10am – 3pm. 410-838-3942, www.liriodendron.com/index.html

From the the Wise Avenue Volunteer Fire department display from last year, 2007, here are a few photos:

Our Beloved Bromo Seltzer Tower

 

A carnival scene

 

Here is one corner of the display, it is different each year and takes the fire fighters 6+ weeks to build.

 

Take some time to indulge your inner engineer.  Chooo-chooo! 

And if you are wishing for a house a little bigger than these give me a call, I would love to help.

mls listings search at HelpShop.com

Wishing you and your loved ones a wonderful holiday.

Maggie

410-852-9524

HelpShop.com

November 2008 statistics for the Reisterstown zipcode 21136.  This is a large zipcode and it includes Glyndon, Glyndon’s zipcode was 21071 before it was combined with 21136.  Many (but not all) of the traditional Glyndon area listings are now entered into the multiple list system under the Reisterstown zipcode.  By the way the 21071 still works for mail so if you move here you can still have that swish Glyndon zip.

Average days on market was 106, average Sales Price was $297,792, the median Sale Price was $282,250.  The average Sales Price as percentage of the average List Price was 85%.  Keep in mind that this List Price figure was the final list price and not necessarily the original list price.

The days on market for the November settlements was 106. I believe this relatively low number reflects a slight upswing of activity that happened in the Sept/Oct time frame.   

For November there were 234 total active properties on the market and there were 17 that went under contract or contingent contract.  That makes the market absorption rate 13 months!  Of course for such a length of time there will be some sellers that will withdraw or the listing will expire.  These factors would most likely adjust the 13 months to a slightly lower figure.  And my editorial comment is that November this year seems to have had a slowdown in showings, and I would attribute that to the economic factors affecting credit and also the concerns over job security. 

Lets talk volume; there were 6 units sold in November 2008, compare that to 28 sold in November 2007.  We are having a tough time right now if you are in the sellers shoes.  However if you are a buyer you have an amazing opportunity.  I have never seen sellers so willing to work with buyers to make a deal come together.

Interest rates are low and going lower, so even though it is the busy holiday season now would be a great time to get out and see the prospective properties so you are in a position to lock rates when they dip below 5%.  Can you imagine getting a 30 year fixed mortgage at below 5%?  And a great priced property?  The folks that are prepared will be able to see that lovely low figure on their monthly statement for the next 30 years!  The perfect storm for the economy has created the perfect buying oportunity for those who are ready.

Let us know if you are ready.

 

www.HelpShop.com has great search tools.

Call me, I would love to help.

Maggie Baumabch

410-852-9524

Maggie@HelpShop.com

Photo credit, Marcin Wichary