Buyer incentives such as memberships, furnishings and custom accents are a luxury of the past; today, motivated sellers are offering material items and unheard of discounts. 

Snag a 2009 Bentley Continental GT (MSRP: $179,200-$203,600) with the purchase of one of two listings marketed by George Hajjar of The Hajjar Group with Realty Executives. The listings are priced at $4.995 and $3.995 million.

LoveThoseMountains Realty is listing a log home on 7.86 acres with more than 500 feet of Ellijay River frontage. And if waterfront  property, vast acreage and unique architecture isn’t enough to captivate buyers, this listing is complete with a new Jeep Wrangler!

In Bali—an Indonesian Island—developer mc2 is offering a "50-50" deal. An international client can buy a unit for half price, so long as the residence remains in a rental pool for 10 years.

Buyers aren’t the only party getting a stimulus; agents are cashing in for their hard work. Hajjar gives his word that the Realtor who sells either of his $4.995 or $3.995 listings will receive a Breitling Bentley GT chronograph steel watch ($7,695) or a Cartier Pasha watch ($5,150).

—Lauren Varga

In an effort to bolster sales in its New York City condominiums, Toll Brothers is offering a safety net during uncertain mortgage times.

If a buyer loses his or her job, The Horsham, Pa.-based developer is offering to make mortgage payments for up to a year at all three of its New York City luxury condos—Northside, 5SL in Long Island City, Queens, and 303 East 33rd in Kips Bay, Manhattan.

To spark buyer interest, developers are introducing a number of incentives and perks to buyers. The new borrower’s protection program will be free of charge for the buyer for the first year. The annual fee for the borrower after the first year is about 3% of the monthly mortgage payment. a buyer is laid-off, gets injured or is hospitalized, the insurer will pay up to 12 monthly installments on mortgage during a 10-year period.  Check out  more details here!

—Robert Burke

The story was also found on InmanNews.com and the Curbed.com blog.
 

For the second consecutive month, sales and traffic for new homes have improved across the nation, according to a recent survey conducted by John Burns Real Estate Consulting.

The February Home Building Executive Survey was compiled using market ratings—which represented thousands of new home communities—from 236 builder executives.

On a scale from one to 10—one being the lowest and 10 being the highest—surveyors found that the traffic in new home communities has increased since December 2008 from 0 to 3. One Dallas builder attributes the increase in traffic to the decrease in interest rates.

And while a St. Louis builder notes that an increase in traffic doesn’t always mount to an increase in sales, January numbers suggest that sales are also on the rise.

“We just finished January with the highest sales pace in several
quarters," says an Austin, Texas builder. He also adds that competitive pricing has increased real estate sales.

According to the survey, net sales per community saw stabile numbers across the country and an increase from December 2008 in the Texas market. On a scale of zero to 10—decreased to increased—surveyors rated the national net sales per community at 5.5, which is more than half way up the scale. The Texas market led all other areas with a scale reading of eight.

"January 2009 has picked up in a big way," said one Houston builder. "We are requiring more earnest money and option deposits up front. The $7,500 tax credit is piquing interest among first-time home buyers."

Looking Into The Future:

The Survey shows that expected sales of new homes throughout the next six months also has seen a rating increase from December 2008. Texas and the Northeast, in particular, are above the national average of expected sales of new homes. On the same scale—from one to 10—surveyors ranked the expected sales of single-family detached homes in the Texas and Northeast markets at a solid 3, which is moving closer to the scale’s ‘fair’ mark.

About John Burns Real Estate Consulting:

John Burns Real Estate Consulting is a national consulting firm that helps executives make informed decisions on the housing industry. The company provides third-party research and analysis to executives across the United States.

—Lauren Varga

The devastation is incomprehensible. An unbelievable 750-plus homes destroyed, 350,000 hectares of land consumed, with more than 150 lives lost—a number that is sadly expected to rise. Our thoughts extend to all those who have been affected by hell’s fury.

Donations and pledges have reached $70 million AUD, but much more is needed. There are ways to help those involved. For more information on how to assist, please check out the links below.

 Important Contacts & Advice:

Victorian Bushfires — support website

Victorian Bushfire Information Line: 1800 240 667

Victorian Bushfire Accommodation Donation Hotline: 1800 006 468

How you can help people affected by the bushfires

Country Fire Authority Victoria

State Emergency Services

Victorian Government

Victorian Council of Social Services

Bushfire Appeal

Bushfire Information Line

Free Legal Advice

Australian Red Cross (the Red Cross have advised that their donation line and website are struggling under the weight of demand, but ask that you keep trying! Additionally, please give blood - the Victorian blood-bank is struggling.)

Salvation Army

Commbank - Emergency claims and assistance, donations, including clothes, household goods

Commonwealth Bank Bushfire Appeal

Wildlife Victoria - donate to help save the animals caught in the fires (special request: please leave water outside for injured animals, and keep household pets - cats and dogs - contained to protect weaker wildlife)

 —Robert Burke

Although Canada’s banks haven’t dished out risky sub-prime loans and don’t practice some of the questionable trading practices that occurred in the U.S., its real estate market is still slumping, said Pam Alexander, CEO and managing director of North American operations for RE/MAX Ontario-Atlantic Canada Inc. and the Integra Enterprises Corporation.

Alexander was speaking in January as part of panel on international real estate at the Inman News Real Estate Connect conference in New York City.

“If the United States sneezes, we catch a cold,” she said.

Not only do Canadian banks abstain from sub-prime loans, they keep the vast majority of their mortgages on their own balance sheets, she said, so there is no mortgage crisis in Canada. Activity is down simply because of sagging consumer confidence, she said.

“Anywhere that saw double-digit increases in the last four to five years will see adjustments downward,” Alexander said, noting that British Columbia is seeing price declines of 10-11 percent.

—Mark Moffa
 

Attention football fans—It’s first and goal for a chance to place a bid on the suburban Atlanta home of Atlanta Falcons quarterback, Michael Vick. The home is expected to hit the auction block on March 10th. Previously listed at $4.5 million, the residence will now start with opening bid of $3.2 million. The auction will be held in either Atlanta or Gwinnett County.

What can one expect to find with the purchase of the Duluth mansion? A two story foyer with double curved staircase, a home theater, a workout room with sauna, an elevator and a full bar for starters. For more on Vick’s home, check out the story by AP writer Larry O’Dell: Auction of Vick’s Georgia Home.

—Robert Burke

The Home Price Index for December was released by the Integrated Asset Services, LLC (IAS). The index reflects a 13.8% decline in house prices for 2008 and an overall decline of 19.1% since the market’s peak at the tail-end of 2006.

The report also notes 10 counties hit the hardest during the national decline, showing that many were in states that saw the largest gains during the housing bubble, including California and Florida.

At the U.S. Census region level, both the West and the South experienced double-digit declines for the full year 2008. The West, which dropped 18.4% in 2008, fell over 24% from its peak in 2006, while the South, down 12% during 2008, was off nearly 18% from its high. The Northeast saw declines of 9.4% for 2008 and 11.7% from its peak. The Midwest, despite significant declines, was the least impacted region in the U.S., and posted declines of 7.4% in 2008 and 10.4% from its peak.

At the MSA level, San Francisco, San Diego, and Miami were the hardest hit areas in 2008, with declined rates of 23.9%, 22.7%, and 20.8% respectively. Within San Francisco’s MSA, Contra Costa County declined at an astonishing rate of 35.5% during 2008 and 42.2% since its 2006 peak. Also within the San Francisco MSA, Marin County and San Francisco County posted less astonishing declines of 11.3% and 13.9% from the 2006 high, while declines accelerated to 15.4% and 16.1% across 2008.

But an end to the decline may be in sight, as noted in a in a story published on Bloomberg.com. Despite the continued price fall, Moody’s Economy.com suggests the light at the end of the tunnel is approaching. Prices will likely continue a decline through much of 2009, but are expected reach bottom by year’s end. For more on this, check out the story at Bloomberg.com.

 —Robert Burke

*The IAS360 House Price Index is a comprehensive housing index tracking monthly change in the median sales price of detached single-family residences across the U.S. The index, based on all arms-length transactions, tracks data of 15,000 “neighborhoods”, which is rolled-up to report on the changes in 360 counties, nine census divisions, four regions, and the nation overall.

Defying the gloom felt by many as a result of the recession, the American International Fine Art Fair closed with record attendance, dealer optimism and significant sales. 

February 9, 2009, West Palm Beach, FL: Record-breaking attendance, stronger than expected sales and uniformly optimistic and enthusiastic dealers characterized the American International Fine Art Fair, ending its six-day schedule on February 8 at the Palm Beach County Convention Center. Defying an expected sense of recessionary gloom, good sales and robust attendance created a positive atmosphere throughout the fair as the 70 international dealers welcomed a record-breaking 3,400 people to the Vernissage, a benefit for the Norton Museum of Art. The fair welcomed back the museum’s involvement, which returned after a four-year hiatus. 

Throughout the duration of the fair, which attracted a total attendance of 24,000, a broad range of participating dealers reported sales from $5,000 to $5,000,000. 

Recently re-acquired by founders David and Lee Ann Lester, the fair’s elegance and stature returned, as did the excitement and energy that was the hallmark of earlier years when the show was originally held in spectacular temporary structures along the waterway. With the re-launch, the Lesters established a new model by combining elements of TEFAF Maastricht fair and Art Basel Miami. Like the Dutch fair, AIFAF is managed in close consultation with a core group of participating dealers. From Art Basel Miami came the concept of adding a strong social component, comprised of VIP programs, receptions and private dinners to which dealers were encouraged to invite their important clients. 

"Lee Ann and I, the dealers, the Norton Museum and the entire local community were pleased with the vast improved quality of the fair and the unexpectedly strong and favorable public response this year. It provides the foundation for making AIFAF one of the great fairs of the world each year," said David Lester. "Next year, we look forward to adding several new major exciting components to the fair."

During the fair, the Lesters organized three special evenings for the dealers and their clients. On Wednesday evening, a Dealers & Collectors Gala was staged at the exclusive Mar-A-Lago Club, the sweeping grand former residence of Marjorie Merriweather Post. Thursday evening, the Norton Museum was the venue for a private viewing of the Georgia O’Keeffe and Ansel Adams exhibitions followed by cocktails and dinner. The festive fair week ended with a tribute to three prominent South Florida museum directors: Christina Orr-Cahall of the Norton, John Blades of the Flagler and Myra Janco Daniels of the Naples Museum of Art, held at Flagler’s new glass Beaux Arts Pavilion housing Henry Flagler’s private dining car overlooking the Intracoastal Waterway. The Norton Museum’s Bal Des Arts on Saturday evening provided a spectacular weekending event for local supporters and visiting collectors.

Wilbur and Hilary Ross, Tom Quick, Mario Buatta and Pauline Pitt served as co-chairs of the AIFAF Collectors & Connoisseurs Committee. Both Ross and Quick and hosted pre-fair events in New York and Palm Beach. 

Among the prominent designers and collectors attending the fair were Scott Snyder, Brian McCarthy, Matthew Patrick Smyth, Betty Sherrill, Stephanie Seymour and Peter Brant, William Koch, Earl Mack, Stephen Schwarzmann, Mr. and Mrs. Louis Shirley, Iris and Carl Apfel, Michel Witmer, Nancy and Walter Racquet, Maura Benjamin, Maureen Donnell, Diana Wister, Robert Nederlander, Pat Cook, Gigi and Harry Benson.

– Sarah Binder

Educational video access at your fingertips—RealtyAcademy.com offers exactly that!

Through cutting-edge video technology, real estate experts now have free access to professionally produced videos featuring many of the industry’s top coaches, speakers, vendors and authors. RealtyAcademy.com’s video channel highlights industry experts and covers a variety of topics including strategies, techniques and principles designed to assist agents during challenging times.

Interviews with real estate experts are recorded regularly in both the Realty Academy’s Orlando area studio, as well as at other locations around the nation.

The multi-channel video player allows real estate professionals to view experts and topics on-demand, while learning at their leisure.

RealtyAcademy.com’s one-click functionality offers the ability to e-mail the videos, as well as embed them on blogs and websites.

For more on Realty Academy, visit RealtyAcademy.com

Realty Academy is a division of Realty Video USA, which offers a wide variety of specialized video content and services for the real estate industry.

—Robert Burke
 

Homeowners across the country are worrying about the economy and are looking for efficient ways to cut costs on household expenses. Vacation rental property owners have to worry about two or more properties, not just one, and it is causing some to panic.

“While the prospect of ‘cutting back’ may seem overwhelming, you’ll find that a few small, simple, conscious changes can make a huge difference to your bottom line,” says Christine Karpinski, director of Owner Community for HomeAway.com and author of How to Rent Vacation Properties by Owner, 2nd Edition: The Complete Guide to Buy, Manage, Furnish, Rent, Maintain and Advertise your Vacation Rental Investment.

Karpinski recommends that vacation rental property owners should create a vacation home budget and once all of the expenses are written down, they can put their cost-cutting strategy into place.
Some of Karpinski’s other tips include cutting the middle man out and rent by owner, doing the updating and maintenance yourself and think about refinancing. “Refinancing may be stressful for some, but it typically well worth the effort,” says think about refinancing,

For more of tips, you can purchase a copy of Christine Karpinski’s book, How to Rent Vacation Properties by Owner, 2nd Edition: The Complete Guide to Buy, Manage, Furnish, Rent, Maintain and Advertise your Vacation Rental Investment here 

—Shari Barbanel