The housing market expected to begin recovery this year

Jobs, continued low interest and a variety of housing choices encourage potential buyers

Positive signs are beginning to indicate an upturn in the real estate market. The Labor Department announced a decline in unemployment filings as layoffs ease and hiring slowly increases. Economists are encouraged that the economy is getting closer to generating job gains, which will boost the housing market as people show more confidence and buy homes. Realtors are looking for a burst of activity in late April, May and June as potential buyers don’t have to buck bad weather to see properties.

In the Midwest home sales jumped almost 10 percent, year-to-year, in February, according to the National Association of Realtors. Nationally, year-to-year sales were up 8 percent. First American CoreLogic and its LoanPerformance Home Price Index Forecast indicates a housing price decline into early spring, but that will stabilize and recover modestly for the remainder of the year.

Even though the federal government will stop purchasing mortgage-backed securities on March 31, as planned, it looks like interest rates will continue to be low, at least for the foreseeable future. Rates on 30-year mortgages have fallen to around 5.05% from 5.28% at the start of this year.

Frank Nothaft, chief economist for mortgage investor Freddie Mac, sees what he calls "a very steady, quarter to quarter growth" pattern ahead. He also expects total housing sales of existing resales and newly constructed sales to be near six million by the end of 2010 and higher in 2011.

Written by Myra Vandersall

St. Charles County Calendar

Sunday, May 1
Run, Walk, Roll Away From Violence
Frontier Park
7-11 a.m.
Sponsored by Bridgeway Behavioral Health Foundation, this event will benefit the domestic violence and assault programs. The event features a warmup, a competitive 5k race and a 5k fun walk and roll. To register, visit the Bridgeway website.

Sunday, May 1
The Vino Fondo, Missouri’s Grand Fondo Bicycle Race
Begins in Augusta at Mt. Pleasant Winery
8 a.m.
A traditional pairing of challenging riding and a tour of some of Missouri’s best and oldest vineyards. Fully supported with three different ability rides. Proceeds from registration will benefit Trailnet. The ride is sponsored Big Shark Bicycle and Mt. Pleasant Winery. For more info go to the Trailnet website or call Big Shark at 862-1188.

Sunday, May 1 – Monday, May 31

Antique Quilt Show
Frenchtown Heritage Museum, 1121 N. Second Street
Wednesday - Saturday: 12-3 pm
This special exhibit of antique doll quilts and beds as well as quilts from the past centuries on display for you to enjoy. A special viewing will be held Mother's Day Sunday, May 9th from 12 pm -3 pm.
For more information call 636-946-8682.
FREE

Thursday, May 6
Concert in the Park
St. Peters City Centre Amphitheater
7-8:30 p.m.
For the St. Peters centennial celebration in 2010, the city hosts a series of concerts. This week the Kelly Band, a traditional and contemporary Celtic band will entertain concert goers.
FREE

Friday, May 7, Saturday, May 8
Some Enchanted Evening
Lindenwood University’s J. Scheidegger Center for the Arts
7:30 p.m.
The Theater Department presents a revue of production numbers from the musicals of Richard Rodgers and Oscar Hammerstein, including “Oklahoma,” “Carousel,” “South Pacific,” “The King and I” and “The Sound of Music.” For information or to order tickets call 636-949-4433 or online at the Center for the Arts website.

Saturday, May 15
Historical Children’s Festival
First Missouri State Capitol Historic site, South Main St.
10 a.m.-4p.m.
Modern day kids can live and play as children did in the 1820s. Hands on activities include butter churning, quill pen writing, cow milking, candle dipping, baby farm animals, and storytelling about Missouri’s struggle for statehood. For information call 636-940-3322.
FREE

Saturday, May 15 –Sunday, May 16
Lewis and Clark Heritage Days
Frontier Park
Historic St. Charles Downtown District
9:30 a.m.-8 p.m. on Saturday, 10 a.m.-4 p.m. on Sunday

This annual festival features an authentic reenactment of Lewis & Clark's encampment in 1804 prior to their journey up the Missouri River. Also featured are re-enactor encampments, Fife and Drum Corps demonstrations, boat replicas, museum tours,19th century crafts and period food.
For more information call 1-800-366-2427 or visit the Heritage Days website.
FREE, some activities charge a fee

Saturday, May 15 –Sunday, June 6

Greater St. Louis Renaissance Faire
Saturdays, Sundays and Memorial Day only

Wentzville Rotary Park 10 a.m.-6 p.m.

Travel back to a 16th century French village and thrill to the exploits of jousting knights; roam the village shops; enjoy stage acts performing comedy, music and daring feats; and interact with colorful villagers, nobles, and peasants. There will be food and fun for the entire family.
$13; seniors, students, $11; 12 and under, $8
For more information call 636-916-1643 or visit www.stlrenfaire.com

Friday, May 21-Sunday, May 23
Friends of the St. Charles City-County Library book fair
St. Charles Convention Center
9 a.m.-9 p.m. Friday, 9 a.m.-6 p.m. Saturday, 11 a.m.-3 p.m. Sunday
As one of the largest book fair in the metro area, attendees can choose from more than 250,000 hardback, paperbacks, set, records and magazines. Proceeds benefit the Library.
FREE, except on Friday-$5 admission or Friends membership. For information call 838-441-2300 or visit the Friends’ website.

Sunday, May 23
Mountain Biking 101
St. Charles County Parks and Recreation Broemmelsiek Park, Shelter 2
Learn the basics of mountain biking and maintenance with experts from the Gateway Off Road Cyclists. Following each session is a guided ride. All ages and abilities welcome. Participants should bring their own bikes and helmets.
FREE

Written by Myra Vandersall

Pending home sales are up significantly, 21.8 percent in the Midwest

With mortgage rates potentially increasing, now is the right time to buy a home

Some goods news for the housing market–pending home sales rose in February by 8.2%, possibly showing another surge of sales as the deadline draws near for many government assistance programs, including the $8,000 tax credit for first-time homebuyers.

Pending home sales rose in February, potentially signaling a second surge of home sales in response to the home buyer tax credit, according to the National Association of Realtors®.
The Pending Home Sales Index (PHSI), a forward-looking indicator based on contracts signed in February, rose 8.2 percent to 97.6 from a downwardly revised 90.2 in January, and remains 17.3 percent above February 2009 when it was 83.2. The data reflects contracts and not closings, which usually occur with a lag time of one or two months. In the Midwest the index jumped 21.8 percent to 97.9 and is 18.7 percent above a year ago.

Lawrence Yun, NAR chief economist, said the improvement is another hopeful sign. “The rise in buyer contract activity may signal the early stages of a second surge of home sales this spring. Also, we’re hearing about a rise of activity in recent weeks with ongoing reports of multiple offers in more markets, so the March data could demonstrate additional improvement from buyers responding to the tax credit,” Yun said.

Here’s another interesting take on the increase in home sales. According to Jean Folger of the Wall Street Journal, the Mortgage Bankers Association (MBA) expects the rate on a 30-year fixed rate mortgage to increase to 6.1% by the end of the year. For the week ending March 19, the interest rate was 4.91%.

As an example, the monthly payment on a $180,000 30-year mortgage (excluding taxes and private mortgage insurance) at 6.1% will be a monthly payment of $1,091, with total interest paid equal to $212, 685.

The same loan at 4.91% rate will be a $956 monthly payment (saving $135 per month) with total interest equal to $164,305, which is a substantial savings of $48,380 over the course of the loan. Even the most insignificant mortgage rate changes can have a major impact on the total cost of a home.

This is just another reason to purchase a home this spring.

Written by Myra Vandersall

Calendar of Events April 2010

Friday, April 9-Sunday, April 11
Used Book Sale
St. Charles Public Library
Friday, 2:30-7:30 p.m., Saturday, 9 a.m.-1 p.m., Sunday, noon- 2p.m.
Hardcover and paperback books available at bargain prices. Saturday is half price day and Sunday is bag day. Sponsored by the Friends of the St. Charles Public Library. For more information call 630-584-0076 or go to the Library’s website.

Friday, April 9-Sunday, April 11
Tartan Days
Frontier Park
Ceud Mile Failte! Get your caber on at the St. Charles Tartan Day Festivities. Learn about Scot-American culture, visit skilled artisans, musicians and animal experts. Read sheep. Enjoy the Gateway Cabermen competition and listen to Highland Reign, St. Louis Caledonian Pipe Band and the John Ford Highland Pipe Band. Miss Tartan Day will be crowned on Friday, a parade and music on Saturday and Kirkin of the Tartan ceremony on Sunday morning. The Missouri Tartan Day Festivities is pleased to once again host the Gateway Cabermen, St. Louis' only Scottish Heavy Athletics association. Each year, the Gateway Cabermen offer a series of clinics and demonstrations for both men and women.

Tuesday, April 13
Healing at Your Fingertips
10-11:30 a.m.
Java G’s Coffeehouse Café, Old Highway 94 South
Learn how acupressure works and help yourself deal with pain. Try pressure points in class and experience immediate relief.
Fee $9

Friday, April 23-Sunday, April 25
6th annual Builders St. Charles Home Show
St. Charles Convention Center
Friday, April 23, 11 a.m. to 9 p.m.; Saturday, April 24, 11 a.m. to 9 p.m.; Sunday, April 25, 11 a.m. to 5 p.m.
The show includes speakers, seminars, children's entertainment, a sausage and wine tasting festival and about 350 booths from 200 companies featuring windows, doors, kitchen and bath products, pools and spas, home accessories and more. A Habitat for Humanity Restore offers new and used home-improvement merchandise at discount prices.
Free

Sunday, April 25
St. Louis Earth Day Festival
1 a.m-6 p.m.
Forest Park, St. Louis
Earth Day 2010 features educational exhibits and hands-on activities, music and entertainment, an Earth Day café, locally produced foods and beverages and an all-species parade. For info, go to the event website.
Free


Friday, April 23 – Sunday, April 25

Art Walk
Historic St. Charles Downtown District
Friday: 5 pm - 8 pm
Saturday: 10 am - 8 pm
Sunday: 12 am - 5 pm
The annual Spring Artwalk features artists exhibiting along Main Street and at the Foundry Art Centre with music and flowers enhancing the ambiance. Mediums represented include photography, watercolor, acrylic, and oil paintings, earthen ornaments, blown glass, steel sculpture, drawings and pastels, clay and raku pottery, and more. For more information call 636-949-3231.
Free



Written by Myra Vandersall

St. Louis region ranked in top 10 best housing markets

Our area is also a “best-bang-for-the-buck” and home prices edge up.

It seems as though St. Louis has a lock on the good news department lately. Our region was selected for two Forbes.com lists and home prices are moving up. If you’re shopping for a house, St. Louis is one of the best markets, according to Forbes.com. The magazine recently released their list of Top 10 Best Housing Markets and St. Louis landed in the number eight slot. The list is based on the stability of each metro area as measured by affordability rankings and foreclosure rates as an indicator of a lack of excess inventory, making the top cities what they call the best opportunities for home shoppers. The top 10 housing markets include: Pittsburgh, PA, Louisville, KY, Houston, TX, Minneapolis, MN, Indianapolis, IN, Memphis, TN, Columbus, OH, St. Louis, Dallas/Ft. Worth, TX and Austin, TX.

In another Forbes list, St. Louis made the “Best-Bang-For-The-Buck Cities” analysis. This top 100 list is based on solid housing markets, relatively stable employment, a low cost of living and quick commutes.

Home prices are on the way up too, growing for the second straight month in January–up 0.6%, according to real estate data firm First American Core Logic’s Home Price Index. In December the year-over-year increase was 1.54 percent, the first positive number after at least nine months of declines. Nationwide, prices are still falling, down 0.7 percent in January, according to First American.

All good news as we look forward to a spring surge in home sales.

Written by Myra Vandersall

Down payment assistance makes home ownership easier

Homebuyers can take advantage of a variety of tax credits to choose the perfect home.

An array of financial assistance for home purchase is available for qualified buyers in just about every income level. Of course there’s the $8,000 tax credit for first-time buyers and $6,500 for repeat buyers, which expire on June 30, but potential buyers can also look for help with the down payment.

Here’s a run down of what to expect:

The city of St. Charles– The HOME St. Charles Down Payment and Closing Costs Assistance Program helps low to moderate income purchasers to become homeowners. HOME St. Charles will make up to $10,000 available for qualified households to help with the down payment and closing costs. Down payment assistance for St. Louis County is $3,000 and Jefferson County $7,500.

Income levels apply and the sale price must be under $185,000. A mandatory nine-hour home buying seminar and a one-on-one counseling session to review finances and credit history is also required.

And there’s more. The Missouri Housing Development Commission is offering up to a $1,250 credit in property tax breaks for qualified buyers with an extra $500 thrown in if the house is energy efficient or if the buyer begins energy efficient steps within 60 days of closing. The MHDC offers more assistance, administering a number of housing programs, from purchasing a home with a First Place loan, assistance for veterans, buying property in a disaster area, foreclosed properties and home repair grants.

The federal government is also offering tax credits for energy efficient upgrades, up to $1,500 or 30 percent of the improvement cost, which includes windows and doors, insulation, roofs, air conditioners and furnaces. The tax credit is applied for either 2009 or 2010 taxes and expires on December 31, 2010.

With all of this assistance, plus a wide variety of properties to chose from, now is really the time to make that move!

Written by Myra Vandersall

Home staging is vital for quick sell, best price

Staging increases your chances of a quick sell, reduces the time on the market, and supports your asking price.

Making your home alluring for potential buyers is a smart move in today’s real estate market. In fact, staging your home is now almost a must-do for a quick sell and the best price. The Internet has drastically changed how potential buyers initially shop for a home, and crisp, bright photos on a webpage are essential.

Home staging can take many forms, from the homeowner staging for little or no money, to hiring a professional stager to using the virtual staging technique. The two most important concepts of staging are valid for all methods–de-clutter and depersonalize.

Before doing anything, remove all clutter and personal effects, including that family photo on the mantel, the kids’ artwork on the refrigerator, the kitchen magnets and all those theme-room knick knacks. Sometimes this is a very hard thing to do because of the personal memories and comfort of living with your “stuff.”

Once you’ve done a de-cluttering and de-personalizing sweep, ask a friend or neighbor to come in a point out more things that should go. There will always be more and someone with an impersonal view can help you open up the space and show off your house to its best advantage. All your personal items will become an integral part of your new home. But right now you want a buyer to see their stuff in the house.

De-cluttering also has the added plus of helping you get organized for your move, and sorting thorough things that can be recycled, donated or thrown away. You’ll be ahead in the long run.

Next, remove excess furniture. Large, bulky pieces will make your home seem smaller and give a false perspective. Arrange your furniture in a conversational setting and let the room breathe with extra space.

If you have a fireplace, that should be the focus of your room. Remove the television; a flat-screen shouldn’t be the center of attention. If your fireplace has some black soot, it can be cleaned and even repainted.

Painting will be a big part of your home staging. Repainting an area makes it fresh and covers the scuff marks. You don’t have to stick to a neutral color—there are many softer shades of beige, light yellow, blue and green that will make an impression on potential buyers.

In the kitchen, remove ALL appliances from the countertops. This is extremely important if you have a small kitchen and need to create more countertop space. And as in the bathroom, cleaning and updating are the two most important tasks for these rooms. Kitchens and baths attract the most dirt, so showing a sparkling area will make a big difference.

A relatively new technique in home staging is virtual staging. This is used mostly with homes that are vacant and don’t show up to their potential. Virtual home stagers use computers to work with photos of the house and create a concept of the room, from changing the paint, placing furniture, lighting, and accessories.

This makes a better impression for potential buyers as viewed on the Internet, and can be less expensive than hiring a home stager and renting furniture. The trick here is to use prominent disclaimers saying that the property has been digitally enhanced to show the rooms can look with good design. Otherwise, a potential buyer who views the home online and sees a totally different looking house upon visiting will feel deceived and consider the treatment unethical.

More information on the Home Buying Institute’s website.

Written by Myra Vandersall